Former Rep. Ron Paul, Texas Republican, says Janet Yellen, President Obama’s nominee to replace Ben Bernanke as chairman of the Federal Reserve, will merely continue the Fed’s “reverse Robin Hood”-like approach of benefitting the rich and doing nothing for the average American.
As the national economy limps along, the Fed has continued a program known as “quantitative easing” — a bond-buying plan meant to shield the country from plunging into another recession. Ms. Yellen defended the program during her confirmation hearing, but acknowledged it couldn’t continue forever.
Mr. Paul, though, pointed to ex-Fed official Andrew Huszar, who apologized for the program in a recent Wall Street Journal piece and called it “the greatest backdoor Wall Street bailout of all time.”
“As recently as five years ago, it would have been unheard of for a Wall Street insider and former Fed official to speak so bluntly about how the Fed acts as a reverse Robin Hood,” Mr. Paul wrote in his weekly column. “But a quick glance at the latest unemployment numbers shows that QE is not benefiting the average American. It is increasingly obvious that the Fed’s post-2008 policies of bailouts, money printing, and bond buying benefited the big banks and the politically connected investment firms.”
Mr. Paul goes on to write that the Fed is the main cause for America’s boom-and-bust economy, and it must be audited — and ended.
“Auditing and ending the Fed, and allowing Americans to use the currency of their choice, must be a priority for anyone serious about restoring peace, prosperity, and liberty,” he wrote.