Rand Paul's Ideal Fed Chairman: Friedrich HayekSubmitted by ewrp on Thu, 08/08/2013 - 21:56
Rand Paul interview with Businessweek:
Q: You’re a big reader of Austrian economists such as Friedrich Hayek and Ludwig von Mises, who don’t believe in stimulus and say the economy can return to health only through austerity.
A: You can stimulate prosperity by leaving more money in the hands of those who earn it. If you want to stimulate the economy in Louisville, leave more money in Louisville and send less to Washington. My plan has a 17 percent flat tax with very few deductions, and it would leave $600 billion in the economy. But it would work better than a government stimulus because of the Milton Friedman proposition that nobody spends somebody else’s money as wisely as they spend their own. I think you’d have a boom like you’ve never seen in this country.
Q: Who would your ideal Fed chairman be?
A: Hayek would be good, but he’s deceased.
Q: Nondead Fed chairman.
A: Friedman would probably be pretty good, too, and he’s not an Austrian, but he would be better than what we have.
Q: Dead, too.
A: Yeah. Let’s just go with dead, because then you probably really wouldn’t have much of a functioning Federal Reserve.