Ron Paul: Audit the Gold!

Ron Paul explains why we need to audit U.S. gold reserves: to make sure the gold is still there and has not been secretly removed or loaned out. The Congressman also asserts that it’s time to abolish Fannie Mae and Freddie Mac and replace them with free market solutions.

Date: 08/26/2010
Channel: Fox Business


    The stupid blond Bitch said “I have been to the federal reserve and they showed me the gold “. I mean how stupid can this journalist be ? is she an accountant to know if the amount of gold she saw there was ok when she saw that gold?If this Is how smart journalist are in the US then we are not out of trouble in this world yet.

  • cocytus4

    ron paul 2012 money bomb already in the works! google runronpaul.


  • tatomuck18

    do you see people in the Federal Reserve flying planes into buildings and killing mass numbers of people??

  • tatomuck18

    Ron Paul is just a lieing cheating stealing politician scum just like all of them. He is only saying these things and promising them just to get VOTES! All of them do this. Once he gets elected, he will do nothing to help.

  • tatomuck18

    Were better off NOW then we were with the so called founder fathers way back then. At least now theres no more SLAVERY and JIM CROW laws!

  • GodHatesPortugal

    Gold bars in the reserve are fake…the Jews stole the Gold.

  • blackraider777

    who’s this ho?

  • Citizen

    The “Big Lie” is our Government has sold its citizen’s gold and now is smoking the printing presses.

    Alan Greenspan said:

    “in the two decades following the abandonment of the gold standard in 1933, the consumer price index in the United States nearly doubled. And, in the four decades after that, prices quintupled. Monetary policy, unleashed from the constraint of domestic gold convertibility, had allowed a persistent over issuance of money.”

    What part of this don’t we yet understand.

    End the Fed…. Use gold and silver, Ron Paul 2012

  • garrethdavis

    his little laugh at .37 really says it all

  • SkyBlueAugust

    She’s so sarcastic: “This is really important to AVERAGE Americans.” Like – who is she? Is the media ELITE?

  • stevemcgee99

    Hey bitch – bring him back in 3 years, play the tape from this show, and see if he was right or not.

  • 7Solucion

    Where did this chik get her GED?
    There should be a minimum requirement b4 being allowed to speak to the Dr..

  • Citizen

    Hey Dfens,
    Now which is it…. “we have no gold” OR “we have 147 Million oz of gold”

    It can’t be both, well maybe it can be in your world.

    They way I see it, that 147 Million ounces of Gold belongs to the American People and should be PHYSICALLY distributed to everyone who has M2 money, cash, demand deposits (checking or savings) and cash equivalent accounts estimated to be $8.4 Trillion FRNs aka Fiat Dollars.

    Again Dfens, Which is it, Do have 147 Million ounces OR Not??

    • Dfens

      Amazing! The one time you won’t listen to what Ron Paul has to say. At the very most we have 150 million ounces and I doubt that number is correct to within a factor of 10. Even if we do have that much, it’s worth less than a trillion dollars even at today’s inflated prices. That ain’t spittin’ in the ocean compared with the number of dollars that are out there. It’s less than our annual federal government budget deficit and less than our annual trade deficit (thank Ron for that one). So what are you going to do, borrow some more money so we can go on a gold standard or socialize all the US gold mines?

      You’ve got to have gold to go to a gold standard. We don’t have gold. We don’t have silver. We don’t have sh*t. We’re broke. What’s the mystery? At this point we’re better off stockpiling steel, copper, and aluminum — because you can make weapons out of that and take someone else’s gold.

      • Citizen

        What part of DEVALUATION do you not understand?
        We are not talking a “factor of 10”

        Its a far greater factor, a FRN is worth only 0.0009 of a Gold Treasury Dollar
        The US Treasury is minting Gold Eagles in $50 Gold Dollar unites per ounce.

        Therefore the ratio is 147M*50 / 8.1 Trillion (M2 estimated base) = 0.0009
        A massive devaluation / DISPOSAL of ALL Fed Reserve Notes
        In exchange for Gold Treasury Dollars and an END to the FED

        The 0.0009 factor would be the common denominator for all FRN denominated assets. However the current “$50” face valuation on the Gold Eagle is absurd since gold has a much greater natural rarity commodity value and would have to be set at $5000 / oz.

        Therefore at that exchange rate your $235,300 (avg home price) would become $21,351 gold dollars if an ounce of Gold became $5,000 Gold Treasury Dollars.

        Thus the current “Peoples” Treasury gold would be the new basis GOLD standard

      • GB

        Your (erroneous) concern about the quantity of gold is allayed in paragraph 15 and following of the article in the link below. Read up.

        • Citizen

          I liked the article, especially the point that gold coins should be minted and circulated by “weight” and not given face value.

          Thereby currencies and gold will drift toward their respective equilibrium states naturally and without Government coercions/manipulatoins.

          Ron Paul has sponsored a bill to allow “competing currencies” that would permit citizens to use the currency or commodity money that represents a secure store of value.

          The assumption being that the people would choose the most stable currency and discard the fiat paper. However a fundamental reform would have to be that “the people willingly reject government coercive subsidies”.

        • Dfens

          By your standard, we are on a gold standard now. I can buy gold bullion at market price for a given weight now. I can buy coins the same way. Whoo Hoo, we’re on a gold standard! Except this time it’s a gold standard for feeble minded. Now let’s start defining all our problems away.

    • Libertarian777

      The way I see it, Ron Paul is only advocating a gold standard as an INTERIM step, to stop runaway government spending and debasement of the currency.

      His vision is competitive currencies. One can be backed by gold, another by silver, yet another by platinum or palladium.

      But each of us has the CHOICE of which currency they wish to trade in.

      Even if there is a gold standard, Ron Paul would NOT advocate the US treasury storing all the gold backing the notes in Fort Knox. He’s against centralised control.

  • Machine2063

    Honest lovable straight shooter RON PAUL! The do it all representative that fights the good fight and never gives up!

  • havoc092

    What was done under roosevelt is that they manipulated the public, took their gold, then it was sold cheap to bankers after which Roosevelt bumped up the price of gold and then these guys made a killing selling and reselling gold and silver as it happens, with each twitch of Roosevelt’s manipulation of the prices. The elite stole from the American people and then got rich selling what they stole – under color of authority. IMHO, that’s what’s about to happen again.

  • matrixman609

    they bring ron paul on to try to make look crazy, but all he ends up doing is turning the tables on them by speaking the truth!

  • M3minusGrowth

    The US Federal Reserve Bank is the largest Terrorist Organization in the World. The US Federal Reserve is 100% a privately owned and operated business. Why not sell War Bonds instead of borrowing money from a privately owned institution US Federal Reserve? If Americans really wants to go to war to steal natural resources from developing nations they can but War Bonds.

  • jimberkt

    If Ron Paul made clear that his policies would prevent rich people from staying rich for generations he would get a lot more support.

  • infokemp

    Its not if there is gold but what it is being used for.

    Ron Paul is right but he needs to ditch like a rock into a sewer these 9/11 liars (truthers) there are some evil people behind them who just want to gain power by using the 9/11 (question of how the towers where destroyed, should we not consider that since the Binladens build & demolish buildings they would not know how to bomb the twin towers as well as the plane strikes).

    We should produce to the maximum social benefit.

  • Gabe Molstre

    I have a question about inflation vs debt and was hoping a fellow Austrian Economist could help me out. I constantly listen to Ron and Peter Schiff as well as read Misses and Rothbard but am slightly confused as it relates to how the inflation problem on the horizan corresponds with our personal debt.

    If hyperinflation or very strong inflation is on the way… yes we want to own commodities but why not submerge ourselves in debt (maybe even to purchase more commodities)? I understand everything comes with a risk … but I am confused when, for instance, Peter Schiff promotes buying gold and silver but says stay away from home ownership and debt. If hyperinflation was to hit… and 100k was then worth a loaf of bread… a 100k fixed interest rate mortgage on a rental property may be a good thing right?

    Now if we consider hyperinflation doesn’t set in but we get strong inflation.. how would it work out? I agree that home prices still have a ways to come down, but who cares if I’m not selling for 20 or 30 years. By that time the value of the dollar would be much less and so would my debt on the home. Yes the home market is screwed up and still higher that true market values but when we start experiencing strong inflation… all prices go up right ?

    • GB

      Have pondered this myself. Am not strong on LvM, but…

      On the one hand, it seems that locking in a fixed (mortgage) payment has the effect of keeping stable the cost to the purchaser, and inflationary policy would devalue the debt like you say.

      On the other hand, it was the advent of stretching out the ownship of a home to 30 years, i.e. the mortgage (among other things but for this discussion, mainly), that drove up their prices; the easy credit enabled after 1913 can be blamed for this.

      Perhaps Schiff eschews debt as a matter of principal.

      Sorry if I sound convoluted or elementary.


    • Libertarian777

      Hyperinflation is NOT EQUAL to high inflation.

      High inflation = increasing prices.

      Hyperinflation = loss of faith in the currency.

      High inflation can be caused by (persistent) increases in aggregate demand, or supply side shocks.

      Hyperinflation occurs when the ‘market’ for a currency turns on its head overnight. When no one believes in the ‘full faith and credit’ line anymore, that’s when hyperinflation will occur. It’s like in 2008, how ‘liquidity’ (cash) was freely available up to a point, then literally overnight all overnight funding was stopped cold (see Lehman Bro, Bear Stearns et al). Up until that very day that overnight funding was stopped for these companies, it still seemed like they would pull out of the crises fine (with some losses).

      Much like the US government right now, looks like it will be fine with its high debt load, high deficits. Until its not.

      Remember, each 1% interest rate increase increases the INTEREST on national debt by $280 BILLION a year (roughly). And don’t kid yourself, the government HAS to roll over 100% of its debt. So while Bernake et al are trying to say its still ok (ie. believe in US T-bills and treasuries), and the US Treasury can borrow at low interest rates, the national debt is being racked up to a tipping point where even at 0.25% interest, will consume most of the budget.

      Imagine you have a credit card with $1m you owe on it. Even at 0.25% you owe $2500 a year in interest.
      What if you only earn $7500 a year, but spend $1m a year. To ‘prevent default’ the bank extends your credit line to $2m, also at 0.25%.
      After another year you now owe $2m, $5k a year in interest, you still only earn $7500 (your interest payment has now gone from 33% to 67% of your income).
      Now imagine if you interest rates goes up to 2.25%
      All of a sudden your interest bill is now $45k a year. And you’re still earning $7500.

      Is the bank still going to list your account as a ‘AAA’ rated loan? You’ve given them your ‘full faith and credit’ statement as collateral.

      • Citizen

        Libertarian 777

        I’d suggest that its not even that complicated….
        A simple tests is that most Americans have NO SAVINGS because the currency inflation makes it impossible to save for a rainy day.

        We have been FORCED to Live on CREDIT and we live paycheck to paycheck. A condition similar to a farmer being forced to eat half of his spring planting seed every year in hopes that next year will be bumper crop. But one bad crop year and he’s wiped out and so are we.

        As a debtor nation, we’ve eaten ALL of our spring planting seed and are now reduced to begging our world neighbors for their planting seed.

        The FED has us, the American Citizens, just where they want us, as feudal serfs living from hand to mouth on the land and property they’ve mortgaged to the hilt.

        Just examine the small American farmer being squeezed out by Big Agra Business with lucrative CARTEL relationships with Big Government. Monsanto is leading the way to a total monopoly on the hybrid seed market where EVERY farmer MUST buy Monsanto seed or else risk law suit and ruin.

        Hugo Chavez and Barrack Obama are a great team, squeezing the last remaining wealth from the nation to create the Perfect Totalitarian State.
        Stalin did the same to the farmers in Russian in the 1920’s and millions died.

        How soon we forget the history of Socialism’s Dismal Failures and we are so willing to repeat them again.