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Tom Coburn: "We're Gonna Lose This Currency"

"We're gonna lose this currency, the way we're running," explained Coburn, referring to the Fed's inflationary money strategy of the past two years. "The greatest problem with what the Federal Reserve is doing is the financial repression that will come about, because it's going to be impossible for them to sterilize this money supply. And they're pushing on a string, the more money they put into M!, M2, the slower the velocity is. When it finally comes, they won't be able to reverse it."

It's a common conservative concern, expressed well here. Inflation isn't actually a problem right now. The current rate, below 3 percent, is within the range it's been for the past decade. But Rickards, Ron Paul, and... well, and Coburn, endorse the view that the fiat money bomb will eventually explode, egged on by rival economies declaring trade wars on the U.S.

"By engaging in quantitative easing," writes Rickards, "the Fed has effectively declared currency war on the world."

http://www.slate.com/blogs/weigel/2012/05/22/tom_coburn_we_r...




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Hate to say it....

But the sooner the currency self-destructs the better off we all are in the long run. Of course Dr. Paul will create competing currencies allowing a smoother transition. Outside of that, prepare for chaos.

Tricks and treachery are the practice of fools, that don't have brains enough to be honest. - Ben Franklin

This also provides evidence that Sen. Coburn...

... while not affiliated with the Liberty Movement, is a pretty good guy, all things considered.

A Constitutional, Christian conservative who voted for Ron and stands with Rand

reedr3v's picture

Surprising to see this at Slate. Opportunity

for knowledgeable people to comment there.

I totally agree, it's mostly

I totally agree, it's mostly why I made a thread...

"Any fool can criticize, condemn and complain and most fools do." -Benjamin Franklin

Little Elm, Tx