Taking the Fed to the Streets

Original post here.

Calling Liberty Minds at Texas Tech

As I was browsing the internet (searching articles about Ron Paul) I came across this article from the Texas Tech student paper:

Federal Reserve not perfect, but necessary:

Now this is one of the biggest arguments politicians like Ron Paul and other anti-federal proponents like to make; that the fact that the fed is partly private and owned by commercial banks somehow constitutes some sort of giant conspiracy against the people of this country. This argument is misguided and naïve.....

Now, let’s say you have just been shot and are suffering from a bullet wound. Who are you going to trust to treat your wound? An accountant? A lawyer? A politician or bureaucrat? No, you’re going to trust a physician, somebody with experience in the field. You’re going to trust somebody like Ron Paul, because he is a physician by practice.

Mr. Paul has no formal education or background in economics or financial matters, yet some people like to believe he knows more about the economy than economic PhD recipients. 

So it is possible for someone liberty-minded at Texas Tech to respond?  If not, I (or someone in YAL?) would be glad to respond.  I believe a response is needed, not to defend Dr. Paul, but to point out flaws in the argument and it's a great chance to publish an article about the Fed. 

You can read the rest of the article here.

Have YOUR "End the Fed" Sign in Silver Circle Movie!

Silver Circle is producing an animated film about a rebel group that takes on the mighty Fed.  In this futuristic tale, heavy inflation takes over as the financial institution's power grows.  

The cool parts about this film are all the ways to get involved.  Through the whole month of May you can submit your photos of signs or send the actual sign to be included in the movie to the address or e-mail listed here in the Facebook event.  Any protest signs you would like to send it that are relevant to monetary policy and the Fed are welcome!

The students at Drexel University's Student Liberty Front as well as Silver Circle will hold an online gallery of the photos where, after the submission period has ended, everyone can vote on their favorites.

Let's Abolish the Minimum Reserve Requirement

I, along with anyone who adheres to the Austrian School of Economics, would like to completely abolish every regulation in our currently unfree "free market." Not surprisingly, this includes abolishing the Federal Reserve which would ultimately give rise to commodity money (or "hard money"). This is because sans a government decree, no sane person would accept pieces of green paper backed by nothing as "money." They would expect it to be exchangeable for a tangible good, whatever it may be. Throughout most of history, money has been backed by either silver or gold for reasons too numerous to write. Money has also been as unconventional as bottles of water and tobacco.  

Since commodity money is backed by a physical good, it cannot be created out of thin air. This is unlike fiat money which is backed by nothing, enforced through government decree, and can be created out of thin air.

As a result, a minimum reserve requirement in a free society (one with commodity money) is redundant. Banks would more or less serve as a warehouse for people's money. Unhealthy or reckless banks that could not produce its deposits for its consumers would likely go out of business because of increased consumer vigilance. Therefore, it would be both irresponsible and unprofitable, in the long run, to not hold all deposits.