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Rep. Ron Paul, (R-Texas), on what he hopes to gain from a potential audit of the Federal Reserve.
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Congressman Ron Paul has created a loyal following with his end the Fed message.
Now the Texas congressman's bill to audit the Fed the Federal Reserve that is is being put to a vote tomorrow in the house.
Earlier in an exclusive interview I asked the congressman why it's necessary to audit the Fed.
We have an obligation they're very much involved in.
Dealing with a lot of money I think they're being here and more important economically than the entire congress.
Because they don't -- fifteen trillion dollars during the prices a couple of years ago and they wanna do it in secrecy and we have an obligation in congress under the constitution that we -- in charge.
Monetary policy.
And we shouldn't just defer to.
A group of individuals who work in secrecy well -- as -- If I could -- you know I have great respect for you because you've studied this for a long time you've written about it extensively he called for an end to the Fed.
But it -- -- they don't operate and secrecy they issue a weekly balance sheet.
Federal Reserve Chairman has press conference after press conference and members of the board speak to the press.
They put out an annual -- financial statement that audited by an outside group.
What is it that you hope you would get from an audit that you don't happen now.
Well about five years ago way to known that they were involved with the Libor cut interest rates speaking next.
We know everything they do when they talk to other central banks.
When they decide that they will have currency swaps when they will bail out banks and what they do.
So we have a right to know -- in this this deal did not interfere with monetary policy and that was misconstrued in the debate.
-- it when he does his finds out what they do -- all the correspondence.
Why they pick and choose.
Who gets bailed out why do some corporations get bailed out and others -- why does the mortgage the person -- in the mortgage doesn't get help they lost their job and they lost their houses.
-- some of these big guys it did the derivatives market.
They got bailed out and all that simply stepped on the taxpayer and I wanna know why did this then what -- the circumstances and what was The Who what where the communications between.
Then that the Federal Reserve Chairman has said that what you really want it to understand -- know the conversations that go on around monetary policy.
And forget need princess but I think the last thing in the world anybody wants to see.
Is congress involved in monetary policy you guys can't pass a budget.
-- fifteen trillion dollars worth the debt most of the hands of congress.
Why should we give you the financial brains here.
You have to problems -- that one I'm not asking for that we're we're not gonna change anything they can fix interest rates if people still believe that we need.
Fixing interest rates like Libor -- -- fed fund rate.
No we we wouldn't even touch that.
But the reason it has this is some law that limits the constitution we have the absolute responsibility.
To deal -- monetary policy.
We can't turn it over to a group of individuals in secrecy they say well we don't want to politicize.
What about dealing not a company and -- another company -- is that political.
They feel.
They did they collaborate.
For your heart I mean they're not bailing out companies right now -- a hobby you know you don't know exactly what they do.
On the discount window and this and then.
And we would now we would have this they would have always half.
To have the responsibility.
That we will know what their communications and our.
And yet they can still fix interest rates they can still print money.
They can do well -- him.
Congressman I know a lot of people out there love your message but they also feel like.
If you guys had the printing presses those press is what I never got the money for a minute day.
Don't put words in my mouth are not.
Sure that they would do that.
Because the constitution does -- say we can print money.
The constitution say we can -- gold and silver coins.
And that is tall are you can't print money and you're -- congress would spend the money just this much is -- -- -- -- that our congress and congress would pass it out.
You may need to mortgage holders of the farmers they would be a little bit more populist I'm not for that don't -- -- airport that.
I wanna you wanna go -- kids quickly because they can't get you -- Republican National Convention coming up.
My understanding is that that day have helped you secure a place to speak.
Tell me what you make of that are you happy with the role you're gonna be playing here or should you be doing more.
Well I don't know what I'm gonna be doing yet we know it we have this place and they remove their restrictions they had.
Restrictions placed on -- hand.
When they knew that we could use that have a rally they said that they would to have removed -- hold up on that piece of property so yes I was I was pleased with that.
And -- haven't endorsed Mitt Romney yet -- you.
They'll always -- see what happens at the convention.
Congressman it's been a pleasure to talk to you thanks so much for the conversation particularly today with your bill on the floor that congress are you predicting victory.
You know it's going to be closed because it's under suspension we won't vote for tomorrow we have to get two thirds of the vote.
And so it's non guaranteed we -- we'll have to wait until after lunch tomorrow thank you so much appreciate your time.
