Tuesday, January 7, 2014

Ron Paul: Yellen is ‘Worse Than Average’

“She’s worse than average,” Ron Paul told The Daily Caller in a phone interview shortly after the Senate voted 56-26 to confirm Yellen’s nomination, “but I don’t dwell on that at all.”

“It was never the chairman himself, herself that’s the problem,” Dr.Paul said. “It’s the whole system.”

“I put a lot of blame on the problems that we have, the booms and the busts and the unemployment and this recession that we can’t get out of –– it’s all due to the monetary system,” Paul said, saying they were “living in this dream world” to assume that one body could set interest rates. “And the head of the Federal Reserve just is the symbolic head of a deeply flawed system that should’ve never been created.”

“I think they’re living a pipe dream and it’s going to soon be very apparent what terrible shape our economy is in,” he said.

Yellen will hasten that revelation, Paul said, explaining that the reason he sees her as “a little bit worse than average” is “because she is probably going to be more excessive in creating money.”

“But what can she do?” Paul said. “They’ve taken the interest rates down to zero, the only tool they have is printing money, creating money out of thin air, so there’s nothing left. And she believes in even doing more of it.”


  1. “It was never the chairman himself, herself that’s the problem,” Dr.Paul said. “It’s the whole system.”....how right he is.

    JP Morgan Pays $2 Billion to Avoid Prosecution for Its Involvement In Madoff Ponzi Scheme

    Bernie Madoff has said all along that JP Morgan knew about – and knowingly profited from – his Ponzi schemes.

    So JP Morgan has agreed to pay the government $2 billion to avoid investigation and prosecution.

    While this may sound like a lot of money, it is spare sofa change for a big bank like JP Morgan.

    It’s not just the Madoff scheme.

    As shown below, the big banks – including JP Morgan – are manipulating virtually every market – both in the financial sector and the real economy – and breaking virtually every law on the books.

    Here are just some of the recent improprieties by big banks:


  2. Are we in a fed created boom or a "recession we can't get out of"? As usually, he makes no sense. Just tossing out a word salad of bad economic events and suggesting all would be well if the fed tightened up credit. Kooky as usual.

    1. There's a manipulated boom in some segments of the economy even though the overall picture is one of recession.

      Paul is referencing the fact that money is not homogeneous(Rothbard) in his mentioning bubbles.

      I'm not sure where you get that he thinks tightening the credit at this stage "all would be well", that's not anywhere in his statement...in fact, he ends with “But what can she do?”

      His point is that she will only make things worse and there's not path to making things better at this point....just degrees of "bad".