Ron Paul vindicated

Over much of the Republican primary contest, Ron Paul was sidelined and virtually ignored by the media that was busily sticking its head further into the sand. Sand blown in by the spivs and speculators, no doubt.

I came to see that Ron Paul spoke for people like me. Naturally conservative, but not hidebound. Libertarian to a degree, but not zealously so. I reckon there are plenty of people like that, not only in the US, but in the UK and beyond. Ron Paul gathered an army of supporters via the internet. But he failed to win the nomination.

His way has been rejected, or at least for the moment. Paulson's policies now prevail. But Ron Paul saw this coming. Bonnie Alba puts it well, when she says on the RenewAmerica site, "Ron Paul: the republic's financial prophet". In 2000 he said this -

"Although many claim the 1990s have been great economic years, Federal Reserve board action of the past decade has caused problems yet to manifest themselves. The inevitable correction will come as the new century begins and is likely to be quite serious.

The stage has been set. Rampant monetary growth has led to historic high asset inflation, massive speculation, over-capacity, malinvestment, excessive debt, negative savings rate, and a current account deficit of huge proportions. These conditions dictate a painful adjustment, something that would have never occurred under a gold standard. The special benefits of foreigners taking our inflated dollars for low-priced goods and then loaning them back to us will eventually end. The dollar must fall, interest rates must rise, price inflation will accelerate, the financial asset bubble will burst, and a dangerous downturn in the economy will follow."

Well, well, well! The bubble has burst. And a dangerous downturn has followed. What does the Bible say about prophets in their own lands? We were warned, OK!!

Posted in: credit crunch,economy,Republican Party,Ron Paul