The gold coin standard, although imperfectly adhered to, permitted startling economic growth combined with falling prices in the 19th Century. In the 67 years since the abolition of the gold standard, the Consumer Price Index has gone up 625%. In the previous 67 years, under an imperfect gold coin standard, the CPI increased 10%. In his 1848 Communist Manifesto, Karl Marx urged: “Centralization of credit in the hands of the state, by means of a national bank with state capital and an exclusive monopoly.” Sixty-five years later, the United States followed his advice, and passed the Federal Reserve Act of 1913.
Gold, Peace, and Prosperity, by Ron Paul, p. 23 - Dec 31, 1981
A major reform of our monetary system must come. There are four reasons why governments reject gold’s discipline and promote paper money.
- 20th century economists have taught three generations that gold is a relic of the past.
- A gold standard limits government deficit funding and both liberals and conservatives need a central bank to monetize debt.
- The knowledgeable elite who are in charge of the affairs of state use control of the money to control the wealth of the nation.
- Ignorance of what money is and how the Federal Reserve operates prompts many citizens and members of Congress to avoid getting involved in the issue.
For 50 years now, essentially all economists teaching at our major universities justified economic intervention, credit creation, and deficit financing. The result is what we have today: a Congress filled with members who know little else, staffers who spout their professor’s clich‚s, and a press that regurgitates the same nonsense.
Freedom Under Siege, by Ron Paul, p. 128-129 - Dec 31, 1987
Q: Does our country’s financial situation creates a security risk?
A: It’s absolutely a threat to our national security because we’ve spent too much, we tax too much, we borrow too much, and we print too much. When a country spends way beyond its means, eventually it will destroy the currency, and we’re in the midst of a currency crisis. Our dollar is going down rapidly as we speak. It’s because we have lived beyond our means. We can’t afford the foreign policy that we have. We have to cut back. We have to live within our means. If we’re going to spend money, we ought to spend it at home, and that is why we have to change this foreign policy. We can’t afford it to do what we’re doing today because it will destroy our dollar.
2007 Des Moines Register Republican Debate - Dec 12, 2007
Q: Should we allow Italy to fail? Should we have a stake in what's going on in the eurozone right now?
PAUL: No, you have to let it liquidate. We've took 40 years to build up this worldwide debt. We're in a debt crisis never seen before in our history. The sovereign debt of this world is equal to the GDP, as ours is in this country. If you prop it up, you'll do exactly what we did in the depression, prolong the agony. If you do prop it up, you do what Japan has done for 20 years. So, yes, you want to liquidate the debt. The debt is unsustainable. And this bubble was predictable, because 40 years ago we had no restraints whatsoever on the monetary authorities, we had no restraints on the spending. And if you keep bailing people out and prop it up, you just prolong the agony, as we're doing in the housing bubble. We don't allow the market to determine what these mortgages are worth. If you don't liquidate this and clear the market, you're going to perpetuate this for a decade or two more.
2011 CNBC GOP Primary debate in Rochester, MI - Nov 9, 2011
Q: Gov. Perry's critics in the state of Texas--you're a congressman from Texas--say he practices crony capitalism as governor. Are they right?
PAUL: I haven't analyzed it enough to call him a crony or not. But there is a lot of crony capitalism going on in this country. And that has to be distinguished from real capitalism, because this "Occupation" stuff on Wall Street, if you're going after crony capitalism, I'm all for it. Those are the people who benefit from contracts from government, benefits from all of the bailouts. They don't deserve compassion, they deserve taxation, or they deserve to have all their benefits removed. But crony capitalism isn't when somebody makes money and they produce a product. That is very important. We have to distinguish the two. And unfortunately, I think some people mix that. But this, to me, is so vital, that we recognize what capitalism is versus crony capitalism. When you have crony capitalism, and that's why we're facing this crisis today.
2011 CNBC GOP Primary debate in Rochester, MI - Nov 9, 2011
Q: You have actually sponsored 620 measures. Only four made it to a vote on the House floor, and only one has been signed into law.
PAUL: That demonstrates how much out of touch the US Congress is with the American people because I'm supporting things that help the American people. But as far as working with other groups, I think my record's about as good as anybody's because I work on the principle that freedom and the Constitution bring people together.
SANTORUM: One of the reasons people like Rep. Paul is his economic plan. But he's never been able to accomplish any of that.
PAUL: It's not exactly a simple task to repeal approximately 100 years of us sliding away from our republic. What about change in monetary policy? We've had that for 100 years. And right now we're winning that battle. The American people now agree. About 75% of the American people now say we ought to audit the Federal Reserve, find out what they're doing and who are their friends that they're bailing out constantly.
Meet the Press 2012 GOP New Hampshire debate - Jan 8, 2012
Supports Balanced Budget Amendment & on-budget accounting - Republican Liberty Caucus Position Statement - Dec 8, 2000
Voted YES on restricting bankruptcy rules - Bill S. 1920; vote number 2004-10 - Jan 28, 2004
Voted NO on $15B bailout for GM and Chrysler - Bill H.R. 7321; vote number 2008-H690 - Dec 10, 2008
Voted NO on additional $825 billion for economic recovery package - Bill H.R. 1; vote number 2009-H046 - Jan 28, 2009
Pretty consistent all the way around. Audit the fed, don't bail out the banks or corporations. Get back on the gold standard. Mostly agree, though the gold standard itself wouldn't work anymore. Gold is used for too much for it to get stuck back in vaults doing nothing. Personally I think a basket of various precious commodities and the average of their prices would be the best idea.
Dr. Paul tries to pin Santorum as a big spender (quoted here) but I couldn't find any specific things he could hit him on. Santorum DID vote for earmarks, but it's hard for Ron Paul to hit him on it given that Ron Paul believes everything should be earmarked in government bills. Quoted by his own followers.