Complete video at: http://fora.tv/2010/12/14/Uncommon_Knowledge_Basic_Economics_with_Thomas_Sowell Economist Thomas Sowell explains why he supports Ron Paul’…
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Thomas Sowell: Federal Reserve a ‘Cancer’
Complete video at: http://fora.tv/2010/12/14/Uncommon_Knowledge_Basic_Economics_with_Thomas_Sowell Economist Thomas Sowell explains why he supports Ron Paul’…
Nice to see the Chicago School coming around against the fed
I have just discovered this man, and now I can’t get enough of listening to him.
Every society that has ever existed has been dumb, and purposefully “dumbed down” by the ruling class of that society.
liberals and conservatives are not nearly as interested in the fed, guns, gay rights, government spying on private citizens on merely a "suspicion" of terrorism, torture, etc as they are interested in figuratively "destroying" each other…it's like some sort of tribal blood feud.
I agree with what you said. I'm just saying that people should be equally concerned about the PATRIOT Act, Federal Reserve, indefinite detention, and the TSA as they are about guns.
Guns is a trivial issue?
The right to arms is written into the U.S. constitution. The Federal Reserve and how we use/protect/issue out our currency is not.
I find it so sad that liberals AND conservatives can agree that the Fed is corrupt, but we're too busy focusing on trivial issues like guns and gay rights. I really think we should unite on this issue…
You are severely mis-representing the facts of those two financial situation’s. The Long depression was far less severe than the great depression and more of a slowing than a serious downturn for all those years.
How about letting the treasury print and open up the process to public review. Central bank is an unnecessary middle man …and a greedy lil f*cker @ that
This has 33 thousand views yet gangnam style has more than a billion, disgraceful
Interviewer: I may actually have to think! Really?! Well isn’t that inconvenient! That the problem with our society! We have been dumbed down so people don’t want/have to think for themselves
Great metaphor.
My respect for Thomas Sowell just increased by a factor of 10.
Hell, the Long Depression's CONTRACTION (the time from when the downturn started to when it finally hit rock bottom) was 65 months, ALMOST TWO YEARS longer than the Great Depression's downturn, which lasted from late 1929 to early '33, if I recall.
In fact, from 1792-1911, there were FIFTEEN financial panics! Contrast that with TWO OR THREE from 1913 til 2013. Yeah… I'd say the Fed has DONE AN OK JOB in that regard.
Ever heard of the Long Depression? It was an EXTREMELY INTENSE cycle of very-bad recessions from 1873-1896. Even the GREAT DEPRESSION lasted only about 12, 13 years, tops. But a downturn that lasts 23 YEARS???
No Fed during that time, either… interestingly
Bank panics were happening ONCE EVERY 10-20 YEARS from the early 1800s til about 1907. Riches, growth, etc. were WIPED OUT in a major fashion, and it became more or less a "fact of life" until the Fed came along.
is necessary. I mean, EVERY nation on Earth that has any economic clout whatsoever HAS A CENTRAL BANK! It’s practically AN ECONOMIC LAW that modern nations that industrialize, sooner or later, PUT CENTRAL BANKS INTO BEING TO MODERATE THE BUSINESS AND BANKING CYCLES. There’s NOT A SINGLE advanced economy on Earth today without one!
Besides, their function as “lender of last resort” helps KEEP LIQUIDITY IN THE FINANCIAL SECTOR, to say the least. It helps stabilize things.
better job of “cushioning the blow”, but there’s NO WAY they could’ve prevented it. Granted, they could’ve BEEN MORE FORWARD-LOOKING AND USED THEIR AUTHORITY TO TIGHTEN BANKING REGULATIONS so they couldn’t be too risky, but AFTER the roller coaster started, the Fed could do little more than watch events unfold.
I don’t think it’s as simple as saying, “The Fed is a disaster and must be abolished” or “The Fed always did the right thing and serves us well.” It’s more nuanced, but, overall, it
I mean, if you REALLY wanna know how bad it was BEFORE the Fed and REAL BANK REGULATION came into being, just LOOK UP ALL THE BANK PANICS of the late 1700s and 1800s, as well as the one in 1907. The Great Depression also happened in a time when, similar to our own, VERY LITTLE REGULATION was done for banks and financial institutions! They made out like bandits. To blame the Fed for it or say that the Fed alone "could've prevented it all" is a little silly. At most, they could've done a
in 1966 wrote a semi-famous paper SINGING THE PRAISES of the gold standard, RAN THE FED! The Fed had a MUCH-LOOSER monetary policy, to say the least. A lot of folks argue that that policy, esp. the extreme lowering of interest rates, HELPED DIRECTLY FUEL THE HOUSING AND CREDIT BUBBLES. But if Greenspan had AT LEAST a somewhat stricter approach, a lot of this shit WOULD PROBABLY NEVER HAVE HAPPENED. Of course, CONGRESS AND THE PRESIDENT'S own culpability aren't to be denied.
bank runs in the future ARE UNTHINKABLE. But aside from the Great Depression, THERE HAVE BEEN NO MAJOR BANKING CRISES as a result of STRICT FED RULES on lending, bank leveraging, etc. It was only when THE FED LOOSENED A LOT OF THOSE RULES that banks took WAY TOO MUCH RISK, got into the subprime business, traded risky derivatives all over the place and CRASHED THE ECONOMY! Until TWO YEARS before the financial meltdown of 2008, Alan Greenspan, a neoclassical dipshit who LOVED Ayn Rand and
late after the stock market crash and bank runs. They held to a VERY STRICT "sound money" approach, and because of that, THEY HAD NO WIGGLE ROOM in terms of fixing the money supply to DEAL W/ THE PROBLEMS, nor did they do much about ENSURING THAT BANKS AND DESPOSITORS WERE SAFE. Because there was HARDLY any fractional-reserve banking, loads of banks HAD ONLY ENOUGH FOR SOME DEPOSITORS (whatever was in the vault), and they ran out. Now, with fractional-reserve banking AND deposit insurance
Btw, the Great Depression was an ANOMALY in the Fed's existence. It occurred largely because THE FED TOOK A MOSTLY HANDS-OFF APPROACH to intervening from its inception and up to the Depression! This is what guys like Ron Paul and Thomas Sowell WON'T TELL YOU; they pretend like the Fed's Board of Governors was JUST AS ACTIVIST on monetary policy then as it is now! But that was FAR from the case, as ANY historian who's studied the Fed or Depression will tell you. The Fed did too little too
Didn’t we have PRETTY DAMN HIGH INFLATION when loads of state governments during the Revolutionary War were PRINTING MONEY OUT THE WAZOO to pay for the military? We had inflation UPWARDS OF 20-30% or more during the Civil War. We had similarly-high inflation during WW1. It likely was the result of PRINTING MORE MONEY TO FUND MILITARY VENTURES, yes. But this was AT THE BEHEST OF THE COMMANDER-IN-CHIEF, not Fed actions by themselves. Get a clue, Thomas.
And I dunno what "Fed inflation" he's referring to exactly… Is he talking about the 1970s and stagflation? Any inflation that the Fed supposedly "produced" during that time period WAS SIMPLY ADDITIONAL to the already-high inflation of that time period caused by crap like the oil crisis with OPEC.
And, pardon me if I heard wrong, but did he REALLY just say that, "We've never had inflation as high as when the Fed was around"?? LOL
Um… NOOOO. We've had far higher periods of inflation
What an idiot…
Yes, the Fed HAS MADE MISTAKES, and it’s far from perfect. I would WELCOME an audit, too! But to say that the Fed HASN’T MODERATED THE BUSINESS CYCLE AND PAST HISTORY OF MAJOR BANK PANICS is absurd! Where does he come up with this shit??
Stop drinking the Kool-Aid. MOST intelligent economists and experts agree that, overall, the Fed WAS a good idea, and without it, we’d be kind of fucked.
>>The government is illegitimate>> – tell it to the government. >>> if the free market for currency was allowed coins of precious metals like gold would prevail >>> – EXACTLY. btw what for do you send a private message and block me answering , looks not logic
if only it was allowed for the free market to issue various competing currencies that the Occupant .oh pardon, the Government, would not fight with….then suddenly no one sane on his mind would use anymore paper counterfeited by the Fed to the tune on trillions of notes
My holms, Sowell tells it straight yet again.
i dont get it. so is he suggesting going bak to a gold standard?
nothing.
this video leaves much to be desired. The interviewer should have hounded him and said would the treasurery issue money or would the free market?
more cancer! 🙂
Allow competition among currencies to exist.
Don't you know it's crazy to not save the elites from their own mistakes? 😀
@Slayer8957 Are you out of your collective mind?
Yes, yes a cancer is a perfect metaphor. The US economy has become number 1 in the nation since the start of the 1900's. You can argue semantics but it is clear that the US economy has never been helped by the Fed. I mean come on so what if the US has the biggest economy on the earth and it's been that way for some time now. The federal reserve is destructive and that is why the US has been so slow on the econ since it started, oh wait, the US is amazing despite the FED? Come on people get real
Buy the book sniped101. This is a promotion for his book. Give you enough to get you interested.
what do you place it with?
say more fool.
damn… thats a good one.
it doesnt work. 21% of the money goes to to the people that need it and the other goes to beurocrats. a voluntary donation that pledges to give 90%ish to the people and actually get from improving within the month.
wow.. thats amazing
Not really. I actually am a serious conservative. I don't like most government involvement. But, this program might actually be worth wild. Healthy moms and children are actually a good thing for our society. The cost for wic is small compared to unhealthy moms and children showing up in the emergency room, with problems that could have been avoided. That said, I want to get rid of most government programs.
W.I.C.
It's these statements that confirm Sowell as one of our great minds in modern times.
Your history is off. Kerosene from coal and shale was not cheap, especially when compared to whale oil. Kerosene only became cheap when John D. started extracting it from crude oil.
"The Rockefellers really have not contributed much positive in any way to the world" Except for John D. helping to fund Lincoln's presidential campaign and abolitionist groups. Although, I suppose you will find some excuse to write off the abolitionist streak of Rockefeller.
/watch?v=4Vw6uF2LdZw
"If someone removes a cancer what replaces it?" LOL, I like this man.
I guess the reason that the guy was so shocked is that most economists of today wouldn't take the conversation in that direction at all, so it was a bit of a change from the norm (yay!) 😀
I think the reason that he didn't was because if he did then the whole conversation and all the questions would have been about what he thought of Ron Paul's beliefs and if he supported them or not. I'm not saying that his support of Paul would have been bad (I actually think it would be a super cool if they admired each other's policies), but he just didn't want the conversation to turn into what others advocate when he's the one that's being interviewed, you know?