Treason From Within, By Economic Advisor To President Obama

Wednesday, February 1, 2012
By Paul Martin

Manifest Destiny Derailed: Treason from Within

By Rob Kirby
GoldSeek.com
Tuesday, 31 January 2012

By Rob Kirby

Something very unusual recently occurred in financial journalism. If you are from or rely on the mainstream western financial press as your primary means of being informed – you surely wouldn’t have noticed – because this ‘oddity’ involved a real act of investigative journalism by one Lars Schall.

Mr. Schall is a German freelance journalist who noted an ‘old quote’ of former Federal Reserve Chairman, Paul Volcker. Paul Volcker was the U.S. Treasury Department’s undersecretary for international monetary affairs from 1969 to 1974 and became Fed chairman in 1979 – a post he held until 1987. More recently, Mr. Volcker has been a top economic advisor to President Obama. The quote that intrigued Mr. Schall was excerpted from Mr. Volcker’s memoirs and published in The Nikkei Weekly back on November 15, 2004:

“That day the United States announced that the dollar would be devalued by 10 percent. By switching the yen to a floating exchange rate, the Japanese currency appreciated, and a sufficient realignment in exchange rates was realized. Joint intervention in gold sales to prevent a steep rise in the price of gold, however, was not undertaken. That was a mistake.”

Schall wondered why Mr. Volcker – a man “widely revered” with a reputation for being a serious inflation fighter back in the 1980s – had never been questioned as to “why not rigging the gold market was a mistake.”

So Schall decided to put the question [appended below] to Mr. Volcker himself:

The Rest…HERE

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