Mel Watt is a discrace

U.S representative Mel Watt recently stripped HR 1207 of all of its powers.. something that is terrible for any freedom loving American. While defending his new "audit" bill, that actually limits GAO's ability to audit the fed, representative watt thrashed around on his stand making a series of bogus claims one after the other. His claims included:

"What I don't want is for us to be second guessing.... or the GAO another un-elected body, to be second guessing daily, or weekly, or monthly the decisions the FED has made. It would be counterproductive to our economic system, It would increase our cost of doing business, it would increase our interest rates, it would diminish the amount of capital in our system and I think it is a serious bad public mistake if we do that".

Lets examine the hypocrisy of his claims for a moment... so many jump out at one time it is difficult to know where to begin. Starting out with his first claim that an audit of the FED would be counterproductive to our economic system. He is so far out of line with this comment it is hard not to over empahise how out of touch with reality he is. The FED itself is counterproductive to our economic system, its very existence puts a burden on the American economy and tax payer. The FED is allowed to print money (inflation) and hand out this money to whomever it sees fit.

Lets take a look at his next claim "It would increase the cost of doing business". While it is hard to be certain how anyone could feel that an audit would do anything to alter the cost of doing business for any American citizen we can be certain that this would not happen. Again, it is the very existence of the FED that causes an increase in the cost of doing business. The FED was created and currently operates under the guise of making sure prices stay low, interest rates stay low, and inflation stays low. Well as we have already touched on the FED actually contributes to our rising inflation by printing money out of thin air. This act itself actually increases the cost of doing business for every man woman and child in this country, so representative Watt's claims that auditing this secretive organization would increase the cost of doing business folds under pressure like a lawn chair, it is a blatant fear mongering tactic.

Finally "it would increase interest rates and diminish the amount of capital in our system". While he actually does get part of this statement correct, an audit would help to diminish the amount of capital in our system, his view of this being a bad thing is wrong. We need to have less capital in our system, we Cannot continue printing money and flooding markets with our dollars, this will inevitably lead to a dollar crisis... something that regrettably has already started and is most likely imminent. Mr. Watt highlights how this audit would increase interest rates... this again is a blatant fear tactic, and again is something that most likely needs to happen regardless. It is the very notion that a room full of 10-12 bankers have the intelligence to sit down and set interest rates in the first place that has gotten our country into this mess. Why is this set up the logic consciences, to put it in perspective does it seem like a good idea to allow 10 people to sit down and decide the price of gasoline for the entire country? Could they possibly forecast demand for each individual county in the united states? Or is it smarted to let each county regulated the price it sells gas for as they have a better idea what their market needs? This almost gets back into a debate about central economic planning and which system is better the free market or communism... a debate which has long been concluded in the favor of Freedom, and the free market.