According to a press release for February 2, Domestic Monetary Policy and Technology Subcommittee Chairman Ron Paul has announced the first subcommittee hearing for the 112th Congress to take place on Wednesday, February 9 and will focus on the consequences of the Federal Reserve’s policies on job creation.In his statement, Subcommittee Chairman Paul announced:
I’m very pleased to hold our first subcommittee hearing in the new Congress on a topic that could not be more critical, namely unemployment. Despite enormous amounts of monetary and credit expansion by the Federal Reserve in recent years, the nation’s unemployment picture remains bleak. While many focus on the impact of fiscal policies on employment, the effect of monetary policy often goes unexamined.
In my view we are now experiencing the bust that inevitably results from the misallocation of capital and human resources in a period of artificially cheap credit. It is important to understand the Federal Reserve’s role in creating today’s unemployment crisis, while also highlighting that high unemployment and low economic growth can persist even in the face of tremendous monetary inflation.
As Chairman, Rep. Paul will have the opportunity to steer the subcommittee to further investigate the full magnitude of the Federal Reserve’s role in the nation’s current high unemployment.
