It's amazing to see the Ron Paul and the Campaign for Liberty doing sucha great job of garnering support for HR 1207. While I hope to again make videos explaining lots of the economic concepts in their most basic form to help induct people into an austrian view of economics it's nice to see some true attention being paid to the federal reserve and how it influences the entire world.
Sometimes people just don't understand how the change interest rates could have such an influence on the prices and values of everything. To understand one must understand that all debt investments must key off the risk free rates, which is the rate of treasury debt. Risk Free, how can something be risk free you say, well the only reason Treasury debt is supposedly risk free is through the Federal Reserves open market operations where it enlists primary dealers to always being to meet the supply and demand needed to meet it's objectives.
Thus this processes creates a security that has little or no risk, and also let's the government borrow money cheap, yet when something is cheap demand grrows to unhealthy levels (i.e. Lower the price of soda, I will buy more of it).
So in effect you create a mentality in where the government will overspend with ease, which creates the inflation that pushes the process to devaluate the purchasing power of dollar for citizens like you and me.
It's sad and scary, very scary. Cause in the end the level of freedom is tied to our economic health and this creates a an engine of government spending that quickly has undermined our economic health and freedoms in the process.
So Yes, Hr 1207 is important to create the transparency to make this attrocity visible to those in power who claim ignorance, this bill is important.