Judy Shelton’s Lasting Legacies

Judy Shelton, a monetary policy advocate and former nominee for the Federal Reserve Board, was seen as a threat to the status quo due to her strong stance against inflation and advocacy for a gold standard. Her nomination was controversial due to her written advocacy and flip-flopping during confirmation hearings. If elected, she would have challenged the Fed's ability to print money and counterfeit the Federal Reserve Note, potentially widening the wealth gap and exacerbating inflation. Shelton's views, as expressed in her writings and speeches, emphasized the importance of sound money as a foundation for capitalism and free markets. Her opposition to inflation and advocacy for a gold standard clashed with the Fed's stated goal of maintaining a 2% inflation rate. Despite her controversial nomination and the opposition of over 100 economists, Shelton's legacy lies in her unwavering commitment to sound money and her challenge to the Fed's monopolistic control over the US monetary system.

The gold coin standard and the Federal Reserve's monetary policy are fundamentally different. The gold coin standard allows the purchasing power of money to be independent of governments, while the Fed's policy gives governments the power to create money and manipulate its value. Historically, governments have used this power to exploit and defraud their citizens through inflation. The gold standard also encourages saving, which is essential for individuals to improve their economic status. In contrast, the Fed's low-interest policy encourages spending and borrowing, discourages saving, and ultimately leads to wealth transfer from savers to debtors. The gold standard's excellence lies in its ability to protect people from government exploitation, while the Fed's policy creates an arcane subterfuge that funds government spending at the expense of the middle class.

Central banks have the power to manipulate economies and create disasters for the masses while benefiting the few in power. This is achieved through the globalization of central banking and the abandonment of gold standards, which allows governments to print money and override the voluntary decisions of consumers and savers. Historically, the absence of a gold standard has made large-scale wars and economic instability possible. A gold standard, on the other hand, acts as a natural check against inflation and government overreach. The simple principle behind commodity money is that it takes care of itself, unlike inflation, which is always imposed. The potential economic and political benefits of mining commodity money, such as gold and silver, are significant, as they provide an insurance against inflation and the potential for a restrained state. Ultimately, the power to control money and its supply lies at the heart of government control and economic instability.

Inflation is not just an extension of the money supply, but a violation of property rights that provides illegitimate gains. The return to using gold as money does not depend on material conditions, but on the abandonment of the belief that increasing the quantity of money creates prosperity. Paper money creates uncertainty and moral decay, as its value is subject to manipulation and its production is often driven by self-interest rather than reciprocal justice. Exposing the fraudulent nature of fiat currency, such as through the use of symbolic representations, is not obscene, but rather a means of holding those in power accountable. Individuals like Greenspan and Shelton, who hold opposing views to the politicized banking cartel, should stay away from the Fed, as the allure of power and financial gain can be intoxicating.