The Fed is pushing America dangerously close to socialism

Last Monday, the Federal Reserve began its latest round of "quantitative easing," through which "at least" $700 billion will be pumped into the U.S. economy in the hopes of limiting the economic damage imposed by the spreading coronavirus.

And that's just the beginning. The Fed also lowered interest rates down to 0, and it has already signaled it could expand these efforts in the months to come.

Further, the White House and much of Congress is frothing at the mouth to impose a new "stimulus" package that could end up costing $1 trillion. (Yes, you read that correctly. That's "trillion" with a "t.")

America's monetary system is ridiculously complex, to say the least. Trying to understand every action by the Fed is sort of like attempting to solve a Rubik's Cube while blindfolded. And drunk. And underwater.

But don't worry about drowning to death. The idea behind quantitative easing is simpler than it appears at first glance.

In times of an economic crisis – you know, like when a killer virus from China sweeps across the world – regular folks like you and me get really worried and start saving our money in anticipation of future economic problems. Investors, corporations, and just about everyone else also become terrified, and start preparing for tough economic times, slowing or even reversing economic growth.

In an effort to get America's economic engine roaring again, the Fed, the central bank for the United States, effectively creates money out of thin air and uses that "cash" – which is really just numbers on an electronic spreadsheet – to buy assets so that more money finds its way into the hands of bankers, investors, and maybe even eventually average Joe's like you and me.

The Fed believes that if people have more money, they'll spend it, and we'll all be better off as a result.

The Fed believes that if people have more money, they'll spend it, and we'll all be better off as a result.

If this sounds way too good to be true, that's because it often is. Inventing money purely for the purpose of incentivizing bankers, investors, and consumers to spend cash when they know it's probably not a good idea to do so creates all sorts of negative repercussions and eventually causes more economic crises. (If you're looking for a good example of a Fed-inspired economic crash, look no further than the 2008 financial crisis.)

Introducing trillions of new dollars into the economy can also create inflation, devaluing dollars and encouraging consumers to spend as quickly as possible, rather than save, introducing lots of additional economic distortions.

That doesn't mean there aren't extremely rare times when reasonable people might think such policies make sense. Heck, I'm not even trying convince you that this particular crisis doesn't justify action on the part of the government. All I'm hoping you'll get from this article is that these actions, coupled with the frivolous monetary policies utilized by the Fed over the past two decades, pose substantial risks – not only to our economy, but to our freedom.

This article isn't really about quantitative easing or the absurdities present throughout the U.S. monetary system. It's about socialism. Because as difficult as it might be for some to believe, if we continue down this road of printing a seemingly endless amount of cash to solve all our problems, socialism is exactly where we're going to end up – a reality Glenn Beck expertly explains in his newest book, Arguing with Socialists, which will be available everywhere books are sold on April 7.

As Glenn notes, whatever the intentions are of the folks running the Fed, one of the primary effects of their decision to pump trillions of dollars into the economy is that it gives significantly more power to the national government.

The U.S. federal government is broke – and when I say "broke," I mean living in the dumpster behind the Chinese food restaurant broke. At last count, the federal government is already $23 trillion in the hole. It doesn't have any money to buy toilet paper for government buildings, never mind enough to spend tens of billions of dollars to bail out airlines.

So, how does Congress do it, then? The simple answer is that the federal government steals – eh, I mean taxes – trillions of dollars from hardworking Americans and then fills in the rest by issuing bonds that the Federal Reserve happily buys with the money it prints, money that is backed by nothing more than the "full faith and credit" of the very same government issuing the bonds in the first place. (Suddenly, Charles Ponzi doesn't look so bad, huh?)

The federal government then burns through the cash by expanding and adding government programs – including stimulus packages – it can't afford. This cycle repeats year after year after year, allowing the government to get progressively bigger and more powerful.

As we all know from personal experience, the government doesn't fly over every state dropping bucketloads of the cash it gets from the Fed out of helicopters. It selectively chooses who is worthy of receiving money and who isn't. Or, as conservatives have often said, it "picks winners and losers" by favoring some groups, corporations, industries, and ideas over all others.

When the federal government is small, the problems this crony system can cause are relatively limited. But as the government expands significantly, which has only been made possible thanks to the Federal Reserve, it ends up consuming whole industries and gigantic portions of the economy and society. (Note that without the Fed inventing money, single-payer health care would be completely impossible to achieve absent other significant cuts to government spending.)

As the government expands significantly... it ends up consuming whole industries and gigantic portions of the economy and society.

A country with a conservative central bank could theoretically ensure its nation's government is acting responsibly, but America's central bank has proven that it's anything but conservative. In fact, it seems hellbent on ensuring that the power of the Federal Reserve and the federal government is expanded significantly.

As Ron Paul noted recently, "Boston Federal Reserve President Eric Rosengren has suggested that Congress allow the Federal Reserve to add assets of private companies to the Fed's already large balance sheet," a move that would give the Fed direct control over the economy.

Another way the Fed moves America closer to collectivism is by socializing the cost of money and savings. When the Fed introduces trillions of new dollars into an economy to spur demand, rather than as a reaction to market forces, it devalues everyone's currency, discouraging people from saving.

And the mere ability of the Fed to manipulate the currency whenever it pleases is in and of itself a form of socialism, because it ultimately gives the Fed's Board of Governors (a government agency) huge amounts of power over the entire economy, including setting the price of just about everything indirectly.

If we continue down this dangerous path, it's only a matter of time before we have full-blown socialism in the United States, especially since it seems unavoidable that crises like the one we're facing today will continue to be used as a justification for further power-grabs. (Just imagine how many trillions of dollars a Democratic president in the White House would say are "desperately needed" to stop climate change from wiping out humanity!)

This all might sound like a tin-foil-hat conspiracy, but it's not. As Glenn explains in detail in Arguing with Socialists, many of the nation's leading progressives and democratic socialists are big supporters of a fringe economic idea called Modern Monetary Theory, which directly calls for the Fed to print whatever amount of money the national government needs to control the economy. Debt and deficits don't really matter, they claim.

This theory has been fully adopted by politicians like Bernie Sanders, who made Stephanie Kelton, one of the world's leading MMT theorists, the chief economist for the Democratic members of the U.S. Senate Budget Committee. Sanders also named Kelton a senior economic adviser to both his 2016 and 2020 presidential campaigns.

This is what twenty-first century socialism looks like. The national government isn't going to go door to door confiscating homes and businesses and throwing people into gulags – well, at least not at first. It's much easier to have a central bank like the Fed control the currency and bankroll a national government's takeover of the economy through a never-ending stream of new government initiatives, bailouts, and massive services.

Justin Haskins is editorial director of The Heartland Institute and the editor-in-chief of StoppingSocialism.com.

To learn more about this topic, and just about any other related to socialism, be a good capitalist and pre-order Glenn Beck's Arguing with Socialists today.

Everything comes down to the two Senate runoffs in Georgia. If we lose both races, we lose the country. Democrats know this and are pouring in millions to usher in a Marxist agenda.

As the Left tries to hide how radical the two candidates really are, Glenn takes us inside the Democrat war room to expose the wolf in pastor's clothing, Raphael Warnock, and America's Justin Trudeau, Jon Ossoff. Socialism, the Green New Deal, and "defund the police" are all on the table. And Glenn warns of what's to come if conservatives don't activate: Chuck Schumer will weaponize the Senate, and the radical Left will launch an all-out assault to ravage the Constitution.

Watch the full special below:

The election and its aftermath are the most important stories in America. That's why we're offering our most timely discount ever: $30 off a one-year subscription to BlazeTV with code "GLENN." With BlazeTV, you get the unvarnished truth from the most pro-America network in the country, free from Big Tech and MSM censors.

Sen. Ted Cruz (R-Texas) joined the "Glenn Beck Radio Program" to explain how mail-in ballots are typically disqualified during recounts at a far higher rate than in-person, Election Day ballots, and why this is "good news" for President Donald Trump's legal battle over the election.

"One of the things that gives the greatest cause for optimism is, this election ... there's a pretty marked disparity in terms of how the votes were distributed. On Election Day, with in-person voting, Donald Trump won a significant majority of the votes cast on in-person voting on Election Day. Of mail-in voting, Joe Biden won a significant majority of the votes cast early on mail-in voting," Cruz explained.

"Now, here's the good news: If you look historically to recounts, if you look historically to election litigation, the votes cast in person on Election Day tend to stand. It's sort of hard to screw that up. Those votes are generally legal, and they're not set aside. Mail-in votes historically have a much higher rate of rejection … when they're examined, there are a whole series of legal requirements that vary state by state, but mail-in votes consistently have a higher rate of rejection, which suggests that as these votes begin being examined and subjected to scrutiny, that you're going to see Joe Biden's vote tallies go down. That's a good thing," he added. "The challenge is, for President Trump to prevail, he's got to run the table. He's got to win, not just in one state but in several states. That makes it a lot harder to prevail in the litigation. I hope that he does so, but it is a real challenge and we shouldn't try to convince ourselves otherwise."

Watch the video clip below to catch more of the conversation:

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Fox News senior meteorologist Janice Dean is perhaps even more disgusted with New York Gov. Andrew Cuomo (D) for his coronavirus response than BlazeTV's Stu Burguiere (read what Stu has to say on the subject here), and for a good reason.

She lost both of her in-laws to COVID-19 in New York's nursing homes after Gov. Cuomo's infamous nursing home mandate, which Cuomo has since had scrubbed from the state's website and blamed everyone from the New York Post to nursing care workers to (every leftist's favorite scapegoat) President Donald Trump.

Janice joined Glenn and Stu on the "Glenn Beck Radio Program" Tuesday to ask why mainstream media is not holding Gov. Cuomo — who recently published a book about his leadership during the COVID-19 pandemic — accountable?

"I'm vocal because I have not seen the mainstream media ask these questions or demand accountability of their leaders. [Cuomo] really has been ruling with an iron fist, and every time he does get asked a question, he blames everybody else except the person that signed that order," Janice said.

"In my mind, he's profiting off the over 30 thousand New Yorkers, including my in-laws, that died by publishing a book on 'leadership' of New York," she added. "His order has helped kill thousands of relatives of New York state. And this is not political, Glenn. This is not about Republican or Democrat. My in-laws were registered Democrats. This is not about politics. This is about accountability for something that went wrong, and it's because of your [Cuomo's] leadership that we're put into this situation."

Watch the video excerpt from the show below:

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As America grows divided and afraid to disagree with the Democrats' woke plan for America, Megyn Kelly is ready to fight back for the truth. For nearly two decades, she navigated the volatile and broken world of the media. But as America leans on independent voices more than ever, she's breaking new ground with "The Megyn Kelly Show."

She joined the latest Glenn Beck Podcast to break down what's coming next after the election: Black Lives Matter is mainstream, leftists are making lists of Trump supporters, and the Hunter Biden scandal is on the back burner.

Megyn and Glenn reminisce about their cable news days (including her infamous run-in with then-presidential candidate Donald Trump) and to look into the chaotic and shady world of journalism and the growing entitlement it's bred. For example, many conservatives have been shocked by how Fox News handled the election.

Megyn defended Fox News, saying she believes Fox News' mission "is a good one," but also didn't hold back on hosts like Neil Cavuto, who cut off a White House briefing to fact check it — something she never would have done, even while covering President Obama.

Megyn also shared this insightful takeaway from her time at NBC: "Jane Fonda was an ass."

Watch the full podcast here:

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