Thursday, April 27, 2006

Why I hate the Fed

The Federal Reserve continues its unconstitutional, undemocratic assault on the welfare of the American people. From the Washington Post: "The Fed remains concerned about the inflationary risks it sees in high energy prices and rapid economic growth."

Two things:
1. High energy prices don't cause inflation, prices don't actually cause inflation. What causes inflation, you ask? The Fed itself. Yes, the Fed, by increasing the money supply, causes inflation. It does not prevent it. It would be great if one of those "free market" economists on TV pointed this obvious fact out to the rest of us.

2. Equally infuriating is the fear of "rapid economic growth." Last time I checked, that was a good thing. I don't know about you, but I don't go to sleep worried about excessive growth.

What should we do? Abolish the Fed, pure and simple.