Is the Fed Making Money out of Thin Air?

While everyone is focused on Election Day, the Federal Reserve will be meeting this Tuesday and Wednesday to decide if it will pursue another round of “quantitative easing.”

Dubbed “QE2” by analysts, this means the Fed will once again pump money into the economy by buying government bonds.

The Fed thinks this will stimulate the economy by lowering interest rates (which are already near zero) – the same kind of interference that led to the housing bubble and this crisis.

And the same kind of interference that has only made this crisis worse.

Despite all of the talk about “change” in Washington, our leaders seem capable of only using plays from a tired, old, Big Government book.

As we’ve written before, this hasn’t been a very good year for the Fed.  Whether it’s watching the U.S. Senate reconfirm Ben Bernanke with the fewest votes of any Fed chairman, seeing 80% of the American people voice their support for Audit the Fed, or listening to increased criticism about its QE2 plans, it’s clear we’ve got the nation’s most secretive institution playing defense for the first time.

The massive groundswell of support we created for Audit the Fed made it almost impossible for the vast majority of the U.S. House to refuse to cosponsor Dr. Paul’s original legislation, H.R. 1207.

But talking a good game for the cameras and backing it up are two very different things, and when their support was required to keep a thorough audit in the House financial reform bill, many of those cosponsors turned their backs on you and voted against it.

Click here to see our “Hall of Shame” displaying who thought their Big Government agenda was more important than true transparency.

And learn more about the Fed’s plans by clicking on the image below to view C4L’s new video, “QE2: Return of the Printing Presses”:

http://www.youtube.com/watch?v=KFBSUzI9u3k

It’s long past time America threw out the federal government’s outdated playbook of ineffective interference.

To strengthen our economy, we must drastically cut spending, cut taxes, and restore sound money.  Only then will we increase prosperity, promote growth, and end this economic crisis.

In Liberty,

John Tate

President

P.S. The liberty movement has an historic opportunity to hold big government politicians accountable.  Make your voice heard tomorrow by getting out there and voting for liberty.