Fed as a Criminal Organization
by Walter Block: Global
Warming, Air Pollution and Libertarianism
I often get
very nasty letters that make my blood boil. I guess that is the
price regular columnists of LewRockwell.com have to pay for contributing
to this blog, since we all take rather unpopular positions on many
issues. Often these letters are filled with nasty expletives, question
my parentage, and much worse.
do I receive a letter that really infuriates me. The one below is
entirely polite. There is not a slur in it. No questioning of my
sanity, my morality, my ethnic or religious persuasion. There is
no threat in it, implied or explicit. And yet this one is far worse
than those others. I repeat it below, along with my response to
it. See if it doesn’t enrage you too.
[email protected] [mailto:[email protected]]
Saturday, January 21, 2012 2:28 PM
Federal Reserve Board Research Assistant Opportunities
I am writing
to request your assistance in informing your department's students
Research Assistant (RA) positions at the Federal Reserve Board.
Our positions are highly competitive; each year we hire approximately
20-30 recent undergraduates as RAs. While at the Board, RAs work
on a broad range of topics and have the opportunity to increase
their quantitative skills by working on both real-world policy issues
and high-level research projects. After their time at the Board,
many of our RAs move on to top graduate school programs.
we offer summer
internships for economics, mathematics, and finance students
to work on advanced research projects with Board economists.
Thank you for
supporting our program.
Dustin R. Rawlins
of Research and Statistics
of Governors of the Federal Reserve System
Dear Mr. Rawlins:
I will indeed
pass along your message to my students. I will do so, despite the
fact that I think yours is a criminal organization, because, one,
I owe it to my students to pass along information about all (presently)
legal job openings and two, because I like to have my students make
up their own minds about issues of this sort.
But when I
do so in my next mailing to them, I will append a message of my
own, alongside yours.
Here it is:
I regard the
Fed as a criminal organization, since it engages in (well, aids
and abets) counterfeiting. The Fed is to the U.S. economy as was
the old central planning apparatus of the late and non-lamented
Soviet Union to the entire economy of the U.S.S.R. The Federal Reserve
System has been responsible since its inception in 1913 for destroying
some 97% of the value of our dollar, the life blood of our economy.
This organization has exacerbated the business cycle. It has created
both inflation and unemployment. These people, along with HUD, Fannie
and Freddie, are responsible for the depression that currently afflicts
us. (For more on this read Ron Paul’s End
the Fed and Murray Rothbard’s The
Mystery of Banking and What
Has Government Done to Our Money and The Case for a 100 Percent
I pray, hope
and trust that Ron Paul will be the next President of the U.S. If
so, I think I have a shot at being one of the people he brings to
Washington D.C. to help him implement his programs of reducing the
governmental footprint. If so, I hope he appoints me the next head
of the Fed. If so, I will do my level best to end this monstrosity
of an institution with all deliberate speed, and institute a 100%
gold backed dollar in its place. But more. I shall also do what
I can to institute a Nuremberg type trial for all employees of the
Fed. Not only should we audit them, we should throw in jail all
of those responsible for counterfeiting, creating unemployment,
inflation, and all but destroying our currency.
And here is
a message for you, personally, Mr. Rawlins.
(me) for supporting (your) program." But what makes you think
I support the Fed? Is it because I am an economist, often write
on macro-money issues, and your organization has suborned almost
this entire subset of the economics profession with high paying
jobs, assistanceships, and entre into prestigious journals which
are necessary for promotion in academia (See this on that: White,
Lawrence H. "The
Federal Reserve System’s Influence on Research in Monetary Economics."
Journal Watch, Volume 2, Number 2, August 2005, pp 325-354.)
Well, if so, yours was a good guess. Most economists, particularly
those who do research in macro-money, have indeed been purchased
by your organization. However, I fear, I am an exception to this
general rule. I oppose central planning whether in farming, manufacturing
or, in the provision of money and central banking. I am a rarity
in the economcs profession: someone who actually supports Ron Paul.
See on this here.
I have no doubt
that "After their time at the Board, many of (y)our RAs move
on to top graduate school programs." All I can say about this
is, So much the worse for "top graduate school programs."
What they teach there, and what you use at the Fed, is Keynesianism
and Monetarism. It is greatly to be regretted that at none of these
institutions is Austrian economics even considered, let alone mentioned.
What the Fed and these "top" programs do to Mises, Hayek
and Rothbard, namely ignore them, is what the mainstream media try
to do to Ron Paul; namely, act as if he is the 13th floor
of the hotel, in the words of that great philosopher, Jon Stewart.
For this reason alone yours is not a legitimate scientific institution.
it is not too late for you, personally. You can quit your job in
that evil institution and seek honest employment elsewhere. There,
you can actually contribute to the creation of goods and services
purchased by voluntary customers instead of mercilessly battening
down on them.
Walter E. Block,
Harold E. Wirth Eminent Scholar Endowed Chair and Professor of Economics
Joseph A. Butt, S.J. College of Business
Loyola University New Orleans
6363 St. Charles Avenue, Box 15, Miller Hall 318
New Orleans, LA 70118
tel: (504) 864-7934
fax: (504) 864-7970
is no crime to be ignorant of economics, which is, after all, a
specialized discipline and one that most people consider to be a
‘dismal science.’ But it is totally irresponsible to have a loud
and vociferous opinion on economic subjects while remaining in this
state of ignorance."
~ Murray N.
Block [send him mail] is a
professor of economics at Loyola University New Orleans, and a senior
fellow of the Ludwig von Mises Institute. He is the author of Defending
the Undefendable and Labor
Economics From A Free Market Perspective. His latest book
Privatization of Roads and Highways.
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