Printing Money is Treason

Weigel
Reporting on Politics and Policy.
Aug. 16 2011 8:55 AM

Printing Money is Treason

ThinkProgress catches this from Rick Perry at an event last night. He gets a question about the Federal Reserve. At first, he wisely starts to dodge the question. But he thinks again and answers it.

If this guy prints more money between now and the election... I dunno what y’all would do to him in Iowa but we would treat him pretty ugly down in Texas. Printing more money to play politics at this particular time in American history is almost treasonous, in my opinion.
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All the focus seems to be on the implied threat here, but that's not really surprising. We live in a time of heated political rhetoric. Ask Joe Biden about it.

No, the strange part of this is the implied agreement that it would be good for the economy to let the Fed print more money. After all, if it was being done "to play politics," we assume that there would be a political benefit to the Fed's action. The Fed's action may be good for the economy, may be good for employment. So Perry is classifying as "treason" something that would boost the economy, but sounds bad. There's a strong case to be made that he's completely wrong about this.

David Weigel is a reporter for Bloomberg Politics