Thomas E. Woods, Jr., is the New York Times bestselling author of 11 books, including The Politically Incorrect Guide to American History and Meltdown (on the financial crisis). A senior fellow of the Ludwig von Mises Institute, Woods has appeared on MSNBC, CNBC, FOX News, FOX Business, C-SPAN, Bloomberg Television, and hundreds of radio programs... (Read More)

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But I Thought Ron Paul Was the Candidate of Big Business

10th November 2012      by: Tom Woods     

All through the 2012 campaign, we had to listen to naive progressives who thought Ron Paul was the obvious choice for big business, since after all he favored competitive markets, lower taxes, etc. Somehow they missed that Dr. Paul opposed all bailouts, opposed all corporate welfare, and wanted to shut down Bailout Inc., the Federal Reserve. For reasons that to this day have not been made clear, this counted for nothing.

Also counting for nothing is the fact that virtually every Wall Street firm you can think of would, in the words of Albert Jay Nock, see the whole world burn down before they would accept a pure free market. They want a system that benefits them.

Here’s Michael Jones, CIO of Riverfront Investment Group, explaining on election eve, as the re-election of Obama is looking increasingly likely, why “the market” will be relieved that no sound-money person like a Ron Paul will be appointed to the Fed. (By “the market” he doesn’t mean the array of voluntary exchanges in society; he means the parasites that need non-market institutions like the Fed in order to survive.)

The one thing you’ve definitively and undeniably taken off the table, is whomever [sic] replaces Bernanke is 2014 will be every bit as committed to monetary accommodation as Bernanke is. So there’s no chance of a Jim Grant, Ron Paul, hard-money advocate at the Federal Reserve at the end of Bernanke’s term and that’s a tremendous reassurance to the market.

If Obama wins, which is looking likely, the fiscal cliff is on the table, hard money is off the table, and net-net, I think the market will say, ‘Well, we never were that scared about the fiscal cliff anyway, and isn’t it going to be great to have Bernanke at the Fed for the foreseeable future.’

(Thanks to Lynette Largent.)

Unlearn the Propaganda!

  • http://trevorsullivan.net/ Trevor Sullivan

    That quote makes me sick to my stomach.

  • Zach

    My progressive friends favored the bailouts, “knowing that we would be in dire straits” had they not been funded. This argument did not win them over.

  • guest

    Try this:

    War and the Fed | Lew Rockwell

  • http://www.facebook.com/profile.php?id=1631324412 Piotr Ługowski

    What does scared have to do with it?
    If you’re broke – you’re broke. After the fiat money reality there is still actual commodity reality. If you can’t make things you want, can’t offer anything valuable in trade and people stop lending… I say 50% lower living standards in the USA after the fiscal cliff – no matter how bravely the establishment will march off it.

  • http://twitter.com/tomesnyder Tom E. Snyder

    Well, I guess THAT explains why the stock market has tanked since the election.

  • http://educatorssite.com/ romacox

    It is very clear : After seeing what happened in the Primaries, I no longer believe the people elect the President. The establishment elects the President. In 1933, Vice-President John Garner, when referring to the international bankers, said: “You see, gentlemen, who owns the United States .”

  • chris

    the “tremendous reassurance,” Obama’s victory brought to the market was, I think, best expressed in the drop in the market on the day after the election

  • Anonymous

    Well on the day after, when the market tanked, NPR assured me that it was due to “concerns about Europe”. I almost crashed the car laughing…

  • Gamble

    What would it take to start teaching Liberty and Free
    Markets to First and Second Grade public education students? Currently my son
    is a second grader and they are pumping him full of liberal indoctrination. I
    am really surprised how heavy they are hitting him with “ Vote” “Republicans or
    Democrats, Lincoln was awesome etc.

    At parent teacher night, the hallway walls were covered with
    civics, voting, eagles, Liberty Party versus Justice Party BS. I would like to find the boob that put that stuff up and ask then why liberty and justice are mutually exclusive.

  • Robert Roddis

    “Fiat” means there’s no static asset metric that a unit of account (currency) is convertible to upon demand. Rather, the unit of account is backed purely and only by the initiative of the public issuing the currency – and it’s conversion rate to static assets must float, by definition. Simple network dynamics dictate that to make liquidity co-scale with expanding options, a growing population and economy must steadily increase fiat incomes and savings, NOT maintain buying power of the unit of account. If population & economic options are increasing, then price stability must float, although hopefully within variance tolerance limits allowing continuously smooth transitions instead of wasteful gyrations.

    What the heck is this MMTer talking about?


  • Jeremy

    I have to just shake my head in disbelief at the notion that Ron Paul is some big business lackey. The utter inanity of it is just too much to take seriously.

  • Citizen

    Whewww, I’m so glad that Bernanke and QEInfinity will go on uninterrupted!
    Gee could you just imagine if we had “sound money”… stable prices and prosperity for the rest of us NON-government private sector types.
    Yes sir… In GOV we now trust!
    Good Luck with that

  • http://www.facebook.com/profile.php?id=594867230 Ashley Ericksen

    Yeah, you’re an idiot.

  • skpg

    When I think of big firms, I think of Microsoft , nVidia, Apple, and Intel. Big firms who benefit from intellectual property at the expense of the consumer.

  • http://www.facebook.com/profile.php?id=546092083 Terry Mcintyre

    If the big corporations loved Ron Paul so much, you think they could have opened their purse strings a bit, eh? Seriously! SMH!

  • Daniel

    Yeah somehow people were not moved by a candidate that was going to end the IRS. In other words had Ron Paul won, I would now have at least an extra hundred dollars in my paycheck. Money talks but I guess the free government money to the poor talks more than the money being taken away from the incomes of the middle class. And they call the poor disenfranchised, I think the middle class is disenfranchised.

  • Mechanized

    Interestingly enough, a considerable amount of taxpayer dollars are typically shifted toward wealthy politically-connected corporations in the form of subsidies and bailouts. Oddly, many individuals complain about such actions yet continually vote in candidates that continue to the policies they claim to despise.

  • http://www.facebook.com/people/Bevin-Chu/100003454433777 Bevin Chu

    “But I Thought Ron Paul Was the Candidate of Big Business”

    The short answer is that one of the two “Candidates of Big Business” will be occupying the White House for the next four years. Big Business saw to that.

    Ron Paul, the Candidate of Constitutional Rule was shut out. Big Business saw to that also.

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