Although it is obvious that the Keynesians were all wrong and interventionism and central economic planning don’t work, whom are we listening to for advice on getting us out of this mess? Unfortunately, it’s the Keynesians, the socialists, and big-government proponents. Who’s being ignored? The Austrian free-market economists — the very ones who predicted not only the Great Depression, but the calamity we’re dealing with today. If the crisis was predictable and is explainable, why did no one listen? It’s because too many politicians believed that a free lunch was possible and a new economic paradigm had arrived. But we’ve heard that one before — like the philosopher’s stone that could turn lead into gold. Prosperity without work is a dream of the ages.

With the election behind us, our country turns hopeful eyes to the future. I have a few hopes of my own. I congratulate our first African-American president-elect. Martin Luther King, Jr. certainly would be proud to see this day. We are stronger for embracing diversity, and I am hopeful that we can continue working through the tensions and wrongs of the past and become a more just and colorblind society. I hope this new administration will help bring us together, and not further divide us. I have always found that freedom is the best way to break down barriers. A free society emphasizes the importance of individuals, and not because they are part of a certain group. That's the only way equal justice can be achieved.

You can't save free markets by socialism, I don't know where this idea ever came from. You save free markets by promoting free markets and sound money and balanced budgets. The whole reason why nobody wants to address the real problem is, we're spending a trillion dollars a year overseas running an empire, and it's coming to an end. This country is bankrupt, and we won't admit it. Eventually though, the dollar will go bust, and we will bring our troops home, and we will live within our means, but we ought to do it sensibly, rather than waiting for the collapse of the dollar, and this is what we're doing, we're on the verge of destroying our dollar. And then, you think we have problems now, problems then will be a lot worse, it'd look like the Weimar Republic, or a third world nation. And a lot of people know that, and they're scared to death, but we don't need to be making the problem worse by just propping up everything with more government programs, more inflation, and more helicopters, it won't work.

Question: ...you believe the Fed shouldn't exist... make the case.
Ron Paul: First reason is, it's not authorized in the Constitution, it's an illegal institution. The second reason, it's an immoral institution, because we have delivered to a secretive body the privilege of creating money out of thin air; if you or I did it, we'd be called counterfeiters, so why have we legalized counterfeiting? But the economic reasons are overwhelming: the Federal Reserve is the creature that destroys value. This station talks about free market capitalism, and you can't have free market capitalism if you have a secret bank creating money and credit out of thin air. They become the central planners, they decide what interest rates should be, what the supply of money should be...
Question: How does the gold standard solves that?
Ron Paul: It maintains a stable currency and a stable value. If the Fed concentrated more on stable money rather than stable prices... They push up new money in stocks and in commodities and in houses, and then they have to come in to rescue the situation. They create the bubbles, then they come in and rescue it, and they do nothing more than try to do price fixing. Capitalism depends, and capital comes from savings, but there's no savings in this country, so this is all artificial. It creates the misdirection and the malinvestment and all the excessive debt, and it always has to have a correction. Since the Fed has been in existence, the dollar has lost about 97% of its value. You're supposed to encourage savings, but if something loses its value, why save dollars? There's no encouragement whatsoever. [...] Gold is 6000 years old, and it still maintains its purchasing power. Oil prices really are very stable in terms of Gold. [...] Both conservatives and liberals want to enhance big government, and this is a seductive way to tax the middle class.

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What is moral about demanding even more needless sacrifice of American lives merely to save face with the mistake of invading and occupying Iraq? Doesn't it seem awfully strange that the Iraqi government we support is an ally of the Iranians who are our declared enemies? Are we not now supporting the Iranians by propping up their allies in Iraq? If Maliki is our ally, and he has diplomatic relations with Ahmadinejad, why can't we? … Why should we not expect many of the 80,000 Sunnis we have recently armed to someday turn their weapons against us, since they, as well as the Mahdi Army, detest any and all foreign occupation? … Since no one can define winning the war, just who do we expect to surrender?

We've lost the south, that was one of the biggest fallacies. We went in there and we served the interests of one of our enemies over there, the Iranians. We propped up the Shiites, we overthrew the Sunnis, and the British didn't hold, they left. So there's more peace and less killing in southern Iraq, because all of a sudden we've allowed local control to develop more naturally. Warlords and local people are in charge, and they're more allied with Iran. But this is not a catastrophe, that's why we should deal with the Iranians in a more respectful way: if they had more control of the oil they'd want to sell, what they're gonna do with it, drink it? That's why the balance of power and the idea of self-determination should be worked out by them, not by us. As long as we do it, there'd be resentment and that is the source of the hatred towards us.

Let me see if I get this right. We need to borrow $10 billion from China, and then we give it to Musharraf, who is a military dictator, who overthrew an elected government. And then we go to war, we lose all these lives promoting democracy in Iraq. I mean, what's going on here?

Well, at first I thought it was a very inappropriate question, you know, for the presidency to be decided on a scientific matter. And uh, I um, I think it's a theory — the theory of evolution. And I don't accept it, you know, as a theory. But it really doesn't bother me, it's not the most important issue for me, to make the difference in my life, to understand the exact origin. I think the creator that I know, uh, you know created us, every one of us and created the universe, and the precise time and manner and uh, you know, I just don't think we're at the point where anybody has absolute proof on either side.

We quadrupled the TSA, you know, and hired more people who look more suspicious to me than most Americans who are getting checked. Most of them, they just don't look very American to me. If I'd have been looking, they look suspicious.… I mean, a lot of them can't even speak English, hardly. Not that I'm accusing them of anything, but it's sort of ironic.

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What is seldom discussed in the immigration debate, unfortunately, is the incentives the US government provides for people to enter the United States illegally. As we know well, when the government subsidizes something we get more of it. The government provides a myriad of federal welfare benefits to those who come to the US illegally, including food stamps and free medical care. Is this a way to discourage people from coming to the US illegally? [...] Immigration reform should start with improving our border protection, yet it was reported last week that the federal government has approved the recruitment of 120 of our best trained Border Patrol agents to go to Iraq to train Iraqis how to better defend their borders! This comes at a time when the National Guard troops participating in Operation Jump Start are being removed from border protection duties in Arizona, New Mexico, and Texas and preparing to deploy to Iraq and Afghanistan! It is an outrage and it will result in our borders being more vulnerable to illegal entry, including by terrorists.

The original American patriots were those individuals brave enough to resist with force the oppressive power of King George. I accept the definition of patriotism as that effort to resist oppressive state power. The true patriot is motivated by a sense of responsibility, and out of self interest -- for himself, his family, and the future of his country -- to resist government abuse of power. He rejects the notion that patriotism means obedience to the state. [...] Resistance to illegal and unconstitutional usurpation of our rights is required. Each of us must choose which course of action we should take: education, conventional political action, or even peaceful civil disobedience to bring about necessary changes. But let it not be said that we did nothing. Let not those who love the power of the welfare/warfare state label the dissenters of authoritarianism as unpatriotic or uncaring. Patriotism is more closely linked to dissent than it is to conformity and a blind desire for safety and security. Understanding the magnificent rewards of a free society makes us unbashful in its promotion, fully realizing that maximum wealth is created and the greatest chance for peace comes from a society respectful of individual liberty.