The Federal Reserve, more commonly known as “The Fed”, is the central banking system of the United States. As the common saying among sound money endorsers goes, The Fed is “no more ‘federal’ than Federal Express”. It is in actuality a quasi-federal cartel of private banksters and federal bureaucrats which centrally dictate United States economic policy with no oversight, transparency, or accountability; in fact, it has never been audited in its entire existence. The Fed claims one of its primary objectives is to control inflation, but in fact, the purchasing power of the dollar has decreased by more than 95% since its initiation, and the US has seen a number of recessionary and depressionary periods.
US dollars, more accurately called Federal Reserve Notes, are fiat money; that is, money backed by nothing of intrinsic value, traditionally such as gold or silver. For this reason, The Fed can engage in a little-understood but extremely detrimental act known as quantitative easing (QE). QE is, simply, the printing (or digital creation) of new (but worthless) money (also known as “expanding the money supply”), and is tantamount to legalized counterfeiting. This has the effect of decreasing the value of all other money in circulation, essentially stealing from your savings.
To counteract this criminal enterprise, the US must drastically reform its monetary policy. We must Audit the Fed and determine exactly where our money has been going for decades. We must return to a system of sound money, backed by a valuable asset like gold or silver.
It is no coincidence that the Federal Reserve Act and the Sixteenth Amendment (which established the income tax) were enacted in the same year, 1913 (as a matter of fact, the Seventeenth Amendment was introduced in this year as well, making it a very bad year for the US). Prior to the income tax, most citizens were able to live the majority of their lives without the involvement of the government. The government was funded via consumption taxes, and a return to such a method would do us well.
The Fair Tax would simplify and basically eliminate the current leviathan tax code, decreasing the burden on individuals and small businesses. It would place an emphasis on savings (the wealth of a country), as individuals would have an added incentive to contemplate their own spending. And it would spur economic growth and return jobs to the US, as corporations scramble to invest in the return of industry.