Jim Rogers: Federal Reserve is worsening the depression

Chairman of Rogers Holdings and co-founder of the Quantum Fund Jim Rogers spoke to CNBC this week to discuss the economy and the Federal Reserve. What's Rogers' advice? Abolish it.

For years, Jim Rogers, founder of Rogers Commodities Index, has spoken on CNBC, Bloomberg News and other business news networks and has consistently delivered the same viewpoint: abolish the Federal Reserve System. On CNBC’s “Squawk Box” this week, Rogers was asked about his reaction to the move in the market and the Federal Reserve adding $230 billion and the DOW Jones moving 400 points. Rogers responded, shaking his head, that the Fed is not good for the United States or 300 million Americans, “This Ben Bernanke goes from bad to worse.” Rogers added that the Fed is pouring huge amounts of money into the system, printing vast amounts of money and causing inflation, the dollar is going to continue to go down and cause an even worse recession, “The central bank is now going into the landlord business, they’re going to have all these mortgages the central bank owns. What’s Bernanke going to do? Get into his helicopter and fly around the world to collect rents from bad loans? This is getting absurd.” When asked what he would do if he was Chairman of the Federal Reserve, Rogers would abolish it and then resign. The author of “Hot Commodities” added that without the Fed, people wouldn’t be printing money, the United States Dollar wouldn’t collapse and inflation wouldn’t occur in the country. Afterwards, Rogers was asked what solutions would he propose to end the recession but he turned it around and provided insight into what he thinks that recessions aren’t necessarily a bad thing, “Recessions are good, they clean out the excesses, you start again from a sound foundation and then you go again. Spending all this money trying to prevent a recession is making it worse, and we're going to have a worse recession in the end.” Rogers concluded that the market should function freely and companies should not be bailed out because once that policy ends then there’ll be a majority of companies who will self-regulate, “More regulation? You want Alan Greenspan and Ben Bernanke? They’re the guys who got us into this situation. They’re supposed to be regulating the banking system for 50 years and let it happen. Let the market regulate it.”