Advancing a Free Society

Bernanke, Earn Your Money and Save the Greenback

Tuesday, June 7, 2011

If you're feeling uneasy about the economy and wondering why unemployment remains stubbornly high while money is so cheap, you are not alone.

Not since the Civil War has United States relied on the printing of dollars to make the economy work. Call it the Keynesian fallacy or the law of unintended consequences. Washington's intervention and attempt to spend our way back to prosperity is not only failing, it is turning our system on its head.

Real economic recovery is not only being delayed, but we are in effect killing the goose that lays the golden eggs. The record is clear: The Federal Reserve's engineering of low interest rates has done more to facilitate deficit spending and growth of government than they have stimulated private sector lending and job creation. For further proof of this, look no further than Friday's dismal jobs numbers.

Continue reading Scott Powell in USA Today...