US Free Market

The US was founded to support a “free market economy” that obeys the law of supply and demand.  Prices are controlled by the consumers, who are free to buy chicken when beef prices rise. The price is controlled automatically by the consumers. When beef prices go up and consumers buy less beef, the beef producers find ways to drop their price to keep the beef moving and stay in business. This is the law of the grocery store jungle and nothing works better.

The US federal government was funded initially by tariffs and other fees. There was no income tax or corporate tax or inheritance tax and yet the federal government was able to pay off war debt from all the wars from 1776 to 1913.

In 1913, Congress created the Federal Reserve System, so they could print all the money they wanted and create inflation to pay for what they spent. The cost of a loaf of bread in 1913 was 2 cents, now it’s closer to $4. I’m sure those bankers who created the Federal Reserve System believed that the ability to print all the money government wanted would be a deterrent against war. But it is also a recipe for bankruptcy and they should have known that as well.

After the 1960s, government spending had no limits. The federal government would spend whatever it took to satisfy the special interests that made campaign contributions.

US consumers no longer control the price of education or healthcare based on the law of supply and demand. This was not a problem until the 1960s, when Lyndon Johnson passed Medicare and Medicaid and every President after that harped on education as soon as the American Communists had completed their take-over of the universities and they were joined by the UN to take control of the US Public School System.

Norb Leahy, Dunwoody GA Tea Party Leader