Economy Vexes GOP at South Carolina Debate

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Bon Qui Qui of PA 9:46AM November 02, 2009

LOL! ideas are bullet-proof...our numbers grow every day...we have people around the world around the clock watching whats going on...your time is limited...tv will fade into the ethers and who reads a newspaper these days?
the brushfires of freedom have been lit...why do you think Ron Paul supporters are so "loud?" why do you think he has such a diverse crowd of supporters? liberty does not discriminate or silence...liberty is the one thing that can bring us all together, but still be individuals at the same time
almost every person ive talked to about ron paul became a supporter very quickly...so his poll numbers are low and he probably wont win, and we all know why (ie articles like this one), but as we work the crowds his message gains support, even if not for the man himself...this is gonna be big... the rEVOLution will be uploaded!
and why are these guys so afraid of the constitution? hmmm?

partnumber39842789r of OH 12:29AM January 13, 2008

The two most important issues we face today are the war and the economy. Both are tied to the Federal Reserve, and Ron Paul sees both as a threat to American prosperity. Let me explain:
Inflation comes from an uneven change in the volume, say, when money is printed and given to a defense contractor. For the moment the contractor's suppliers do not realize the money volume has changed, the recipient of the printed money experiences increased purchasing power. The workers end up receiving the wage in old money, but then are faced with prices in the new money after the vendors adjust to the new money supply.
Dr. Paul, much like Jefferson and Jackson, believes as I do. The central bank is not only unconstitutional, but causes inflation by printing money from thin air causing the citizens to issue T-bills to support the created money. It is our children that pay for the treasury bills we issue to prop up the markets. Any money it releases to “curb market jitters over sub-prime woes” is a tax on unborn children who will be paying the interest on the debt we have accrued.
Let’s look at the big picture here. If the Fed injects more money into the system, which causes more spending, then you will have more money chasing the same number of goods which causes inflation. The gold standard would prevent this kind of intervening in the economy because the Fed can't just print gold; it has to be produced through mining and has historically existed at stable quantities relative to the rest of the value in any given economy. Thus Americans will indeed be affected in their ability to buy domestic goods because their money will be worth less than it was before valueless currency was injected into the economy to artificially lower interest rates.
Oh and by the way, the whole principle and function of money has switched. Back in the day it was free for citizens to turn their gold and silver into money, which increased the money supply as a wealth to the people. Now green backs created out of thin air are loaned into circulation as debt against future production, not exchanged into circulation as production performed. Money has been switched from an evidence of wealth to an evidence of debt.
A legalized competing currency such as gold would be a great way to phase out the Fed's monopoly money. I want to be perfectly clear on one of the implications. Wars won’t be fought unless the majority of the American PEOPLE want to fight the war.

Dave of SC 3:30PM January 12, 2008

Ron Paul said a lot more than that. You just don't want to print it because it hits a little close to home for your buddies.
Ron Paul's economic mentors have won Nobel prizes. I suggest you start paying attention when he talks about economy. It's always one third of his discussion.

Rhys of MI 11:51AM January 12, 2008

No one can prevent the economy from going through cycles. Recessions can sometimes be forestalled but that usually just postpones the pain.
The thing to do is learn the lesson: Make sure such bad mortgages are avoided in the future, etc.
Though no one has a true cure that will matter in the short-term, in the long run I like the FairTax. This shifts taxation away from production which is where our prosperity truly lies.
In places like Michigan, and anywhere that manufacturing has been suffering, the FairTax could really improve things in the long run. American firms are at a disadvantage because the U.S. has the HIGHEST rate of corporate taxation in the developed world. Before they even hit the showroom, American cars are at a disadvantage because their very production is taxed at a much higher rate than in Japan and Europe.
The FairTax would level the playing field with our foreign competitors-- even perhaps tilt it in our favor. Since both American and foreign cars would have the same tax applied to them, the disadvantage would be removed. (This might even start a trade war with Europe and Japan complaining our taxes are too low... hahaha!)

Andrew Davis of MI 5:46PM January 11, 2008

If you study Ron Paul you will find he is an economic genius compared to the other dolts up on stage. Of all the topics debated Ron Paul seems to be the one who get's to the root causes of our problems, whether they are economic, foreign policy related, or immigration issues.
The media has shown bias because the status quo is what has brought them into power and helped them reap the treasure chests they have. America is getting robbed, plain and simple.
With all the candidates throwing the "change" word around you have to look at Ron Paul and say "Now there's the guy that really wants to change everything". His ideas are the only ones representing change and they are all for the better. The foundation of America is cracking, we need to fix this NOW, not later.

John Harding of PA 2:50PM January 11, 2008

Duh! The economy IS in a recession. Ron Paul is right.
While the vast oversupply of housing is worked out of the market just where exactly are all the people previously involved in the housing market going to earn a living?
Builders, Realtors, closing agents, lawyers, appraisers, lenders, landscapers, furnishing suppliers, sub-contractors, roofers, swimming pools installers, painters, surveyors, etc., etc., etc.
All looking for a different source of income until building picks up again.
Oh, and don't forget the BILLIONS of dollars that the banks and mortgage lenders are writing off and will continue to write off as 2008 continues. Oh yeah, and the losses that retirement funds and pension funds will take for having bought those mortgage backed securities which are currently worth next to nothing.
But hey, what're the odds that all those big losses will put people out of work? Nah, couldn't happen, eh? Never mind that it was the FED's lowering of interest rates that spurred people on in the I-cant-afford-it-but-who-cares sweepstakes of sub-prime financing.
Sure, the FED can continue to 'stimulate', but it will only be a tiny band-aid for a gaping wound.
Has the recent 0.5% drop in rates done anything to stop the sliding stock market? NO. The DJIA is making new lows on almost a daily basis.
Sure FED, throw some more gasoline on that fire. Maybe there's someone out there foolish enough to think that will 'fix' the problem for good.....you know.... a "journalist".

Dave of FL 2:41PM January 11, 2008

As the DNC said in ‘96 ‘It is the economy stupid’.
Our Nation produces 13.1 trillion dollars of wealth each year, and of that the government takes 2.4 trillion dollars and spends 2.6 trillion dollars. Since the government spends more than it takes, it has developed a debt, which is currently 10 trillion dollars. We have promised to make future expenditures above and beyond what we are currently spending, to an amount of 58 trillion dollars between 2017 and 2040. This works out to an average of 2.5 trillion dollars a year. In addition to this, 4 trillion dollars of the debt will also need to be paid back without any additional sources of revenue, although existing taxation can be increased.
To put this in perspective, imagine that you work for a company that earns $131,000 of annual revenue, they pay you $23,000 a year, and your budget is $26,000 for the year. At the same time you have $64,000 on the credit cards and $46,000 that you have borrowed from your 401k, and just signed a 30 year mortgage for your parent’s house for $580,000, but the property is condemned. And this is all okay because you have $6.59 in the bank. Your parents are going to give you $1,000 a year until 2017, and then they need you to start paying them back.
We have established significant control over air travel, but our boarders are open, illegal immigration is not under control, our ports are not secure, and our visa system has not been updated. If the government thought that terrorism is a serious problem, they haven’t done anything to stop it, yet they have stripped our rights and liberties under the banner of terrorism since October of 2001. Although we haven’t plugged any of the holes in our system, there hasn’t been a terrorist attack on U.S. soil for over 6 years. The government spending and the economy will destroy this nation in less than 33 years.
I believe that Ron Paul is the only candidate from either the Republican or Democratic parties that will even attempt to fix this.
(Numbers have been obtained from the CIA Fact book.)

Jason Robinson of MI 2:39PM January 11, 2008

Anyone who knows anything about economics knows that we are either bordering on, or already in a recession. The DOW is down over 200 points today, and probably over 800 this month, and will continue to fall. This recession would have taken place years ago were it not for the intervention of the Fed. Eventually, artificially low interest rates result in serious inflation. I don't know why so many people fail to understand this simple logic. Ron Paul is the only Republican candidate being honest with the American people, and you paid scant attention to, and made no analysis of his assertions in the debate.
If the market and the economy tank fast enough, Ron Paul could presumably win the presidency, Republican nomination or not. Voters will remember his prescience.

James O of LA 2:31PM January 11, 2008