February 11, 2014 Update: My in-person discussions with many people make me believe this book's title is well-known while the content is practically unknown. This book has nothing to do with whether the Fed should ease or restrict monetary supply. At its heart the book questions our government's balance of power and holds that a group of bankers is too dominating. Meanwhile the political activities of Ron Paul and Rand Paul have often confused me and I cannot connect a lot of their positions with this book. (end of update) .....
Paul's book is a polemic that makes certain statements. For example, "The Fed is run by creditors." This book discusses several consequences of the Federal Reserve System, many unintended and unforeseen. End the Fed is Paul's story of how the country ended up with a lot of debt not necessarily through informed choices but because of our money system.
Ron Paul introduced H.R. 833 to abolish the Federal Reserve System.
The main counter argument to ending the Fed is that it would be a terrible mistake to give total money power to elected officials. The late Milton Friedman offered an alternative to the current system which "might" satisfy a broader constituency.
Friedman thought U.S. Notes could work if they were printed only to match population increase or else align increases of money supply to a price index. The system that Friedman talked about would leave physical money creation independent of political control IF it could be implemented. Currently, physical money is created through Treasury debt. When a dollar is created, it's an asset and also a liability that generates interest.
Friedman acknowledged that it may not be politically possible to take money power away from the Fed. Even after reading this book, I think Friedman was correct.
459 people found this helpful.
Was this review helpful to you?