We must now act quickly…

To combat the depression by a forced credit expansion is to attempt to cure the evil by the very means which brought it about; because we are suffering from a misdirection of production, we want to create further misdirection–a procedure that can only lead to a much more severe crisis as soon as the credit expansion comes to an end.  – Friedrich August von Hayek, Introduction to “Monetary Theory and the Trade Cycle,” 1932

 

Hayek won a Nobel Prize for his work explaining what caused, worsened and prolonged the Great Depression.  “Austrian School” economists have ever since warned us about what’s now unfolding before us as an even greater socioeconomic catastrophe. 

 

Putting this into a political perspective, Libertarians have been right and the other parties have been wrong.  Americans have believed the proven nonsense of the entrenched powers to our undoing.

 

Putting this into still another perspective; you are the victim of highly organized crime.  You’ve been robbed, and the theft will continue until you stop it.

 

OK, so now what?

 

First, as Hayek pleaded, we must stop misdirecting the markets; and by extension, we must stop voting for/empowering those who’ve misdirected the markets.  Fire the thieves/cheats/liars.  You must.

 

Next, we must prepare for some tough times.  As I’d warned in the 2000 gubernatorial bid, “We’ve had our years of plenty, and now we must prepare for the years of hard times.”  And we have far less time now than we had in 2000!

 

As an immediate measure, I propose massive budget cuts, refusal of unfunded/underfunded “federal” mandates, and reactivation of voluntary social services (churches, fraternal organizations).

 

I also propose we immediately invoke the Indiana Constitution’s Article 11 with a currency backed by gold or silver, to immunize Hoosiers against the deflation/collapse of the dollar.

 

Here’s Section 7: “All bills or notes issued as money shall be, at all times, redeemable in gold or silver; and no law shall be passed, sanctioning, directly or indirectly, the suspension, by any bank or banking company of specie payments.”

 

This Sound Money Proposal can be implemented by electronic/virtual acquisition of assets such as described at http://www.goldmoneybill.org/.

 

We’d better do this fast…

 

 

 

 

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7 CommentsLeave a comment

  1. Great post. When I shared this on Facebook I wrote that the reason I’m voting for you over Daniels is because with you, I don’t have to take the bad with the good.

    If there was any doubt left in my mind, Mitch’s commendation of Indiana Congressmen who voted for the bailout sealed the deal for me. Besides, how could I not vote for a man who quotes Hayek?

  2. I have been solid on voting for you already, this is just frosting on the cake. Invoking the Indiana State Constitution’s Article 11!!! Section 7!!! This would make us immune to alot of Fed BS. Invoking the US Xth amendment at the same time….:) I am grins ear to ear…:)
    Please tell me you will bring this up in the up and coming debate…I understand that people, by 10 to 1, who contacted thier Congressmen about the bailout said a resounding “NO!” And rightfully so. Mitch evidently sided with the less than 10%…mistake…huge mistake…:) How does JLT stand on the bailout fiasco? Just guessing she is on the wrong side of it as well…
    I have stated before, I am glad this bailout BS happened before November 4th…you are going to have a field day with this…:) Pin them to the wall Andy! I can hardly wait…:)

    R3VOLUTION!

  3. WOW! This just gets me more pumped for Andy Horning!!! Signs and fliers will be hitting the north side soon!

  4. Thanks for the site. What ever became of the Liberty Dollar story? Is there currently any state representatives who would be friendly to the idea of Article 11 section 7? Who might that be? I have followed Federal races for so long I don’t know the faces or names of our State assemblymen and how they stand. Has the idea ever been introduced to the State Assembly before?
    I thought of something else…just dawned on me. What is to stop the State of Indiana from passing a law that will require all banks within the State of Indiana must back thier Federal Reserve notes with specie of silver or gold? The State can do this right? Any State should have this ability. Just because the Federal Government doesn’t care to follow the U.S. Constitution, what should stop a State government from enforcing what the Feds have become lax in doing? I realise that any law requiring this would make all banks move to Ohio, Kentucky, or Illinois, so a small % at start, say 10% backing by specie initially as a requirement by law, then a 2% increase each year until it reaches 70% or 80%. Of course, the Liberty dollar or any hard coinage of silver and gold would have to be reintroduced to Indiana’s economy at the same time as this was implemented or it wouldn’t work. Also, quarterly audits…”okay you have x amount of loans out, and you have y amount of silver and gold to back it”…If the numbers don’t jive, then fines “only” paid in specie should be issued…:) I am of course dreaming, but what they hey?
    The Federal Constitution requires that Congress set the weights and measures and should control the nations money. Can the States make the requirements by law, that the Federal government has just stopped doing? The Federal Reserve is an unconstitutional entity and should not be allowed to exist. It is the root of most all economic woes. Some would argue by design. “Wealth is never destroyed, only transferred.”
    Americans and Hoosiers have transferred enough of thier hard earned wealth into the hands of greedy crooks…
    Thanks Andy for putting the Constitutions back on the ballot…:)

  5. I voted early this last Wednesday and I proudly voted for Andy Horning and Lisa Kelly. I have slept well since knowing I voted for the best instead of the lesser of two evils.

  6. There are no words to accurately express how absolutely thrilled I am to be able to vote for someone without compromising my beliefs. I think that Andy would win in a landslide if more people got a chance to hear and understand what Libertarianism is all about. I think the fact that Mitch and Jill and the thugocracies they represent aren’t allowing people to hear and understand is proof of it. This, of course, is true nationwide. Voting for the lesser of two evils is still voting for evil and nothing will ever change until we outsiders stop capitulating on that basis.

    Irritants create pearls, and the greatest nation the world has ever known was started by outcasts and malcontents. Long live the Revolution.

  7. Long live the R3VOLUTION! I am in full agreement here with this, If all Hoosiers actually heard and understood Andy’s message he would have a landslide victory. Question is, why haven’t they? There is 2 parts to the root cause of this that I can identify, there may be more, and deeper why’s I am sure:
    1. The media does not report it.
    2. The voter’s do not look for it.
    In industry there are quality concepts that surround something called ‘continuous process improvement’. Our political process definately needs improvement. If we want higher quality statesman, such as Andy is, then we need to put some ‘continuous process improvement’ activity in place…:)
    A deep problem analysis, some brainstorming, a fishbone with a why-why analysis, coupled with some good countermeasures for each why is what we can start doing…
    “Know your enemy, and know yourself, and you will always be victorious.” Seems like the political machine knows us and themselves…Let’s turn the tables on them in 2010 with knowledge and a confident and far reaching third party vote…:)
    Wouldn’t it be great to place x bar and R charts on Congressional spending?…”Hey you are out of control here!”


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