Ahead of the debate among Republican presidential candidates on Monday night in New Hampshire, Texas Congressman and GOP presidential contender Ron Paul issued a four-point guidance on the keys to economic growth.
In a written statement on the status of the American economy, Texas Congressman and Republican presidential candidate Ron Paul used his weekly "Texas Straight Talk" forum to highlight four keys to economic growth that Mr. Paul believes will lead the United States out of the economic morass it finds itself in.
Congressman Paul's posting comes just hours ahead of a key debate in New Hampshire Monday night among GOP presidential hopefuls. The debate will be aired live on CNN.
"First and foremost, we must create a sound U.S. currency backed by gold or some other commodity respected by the market," Paul stated. "No nation in history with a rapidly depreciating currency has attracted private capital. Unless and until we prohibit the Treasury and Federal Reserve from essentially creating money and credit from thin air, we cannot restore the U.S. economy."
On recent news from Chinese sources saying the US has already defaulted, wealth management sites like Wealth Daily are advising readers to follow the divergence between the US dollar and gold in the shadow of a full default.
"The world's largest economy, the U.S. of A., has been systematically destroying the value of the dollar for the past several years," Wealth Daily reported. "This is done through creating money."
Congressman Paul identified the regulatory environment as one that is central to a US economic rebound.
"Second, we must create a favorable regulatory environment for U.S. business," Paul wrote. "This cannot be stressed enough. When businesses don’t know what’s coming next from the EPA, when Obamacare spikes their healthcare costs, or when the Dodd-Frank bill adds almost unknowable regulatory compliance burdens, businesses simply will not expand and hire. It is time to start shrinking the federal register."
Regulatory hurdles have been seen as an obstacle among leaders in the business community, and President Obama met with his Council on Jobs and Competitiveness on Monday to discuss easing the regulatory environment, according to Bloomberg.
Congressman Paul sees the need to stop spending on costly foreign wars as a step toward economic recovery.
"Third, we must stop spending trillions of dollars overseas on foreign wars," Paul wrote. "There is no point in debating a foreign policy we cannot afford. It no longer matters what neoconservatives want. Our interventionist foreign policy is financed on credit, and our credit limit has been reached. Our economy would be infinitely better off if those trillions of dollars had never been removed from the private economy or added to our debt."
It is unclear when the United States military will fully withdraw from Afghanistan, Iraq and Libya. The costs of all three wars have climbed dramatically, with a recent report in Digital Journal demonstrating the inability of the Pentagon to accurately project the costs of running the Libyan war alone.
Paul's last point on economic growth is tied back to what he sees as a favorable tax environment.
"Finally, we must completely revamp the U.S. tax system and move to a territorial model that does not tax foreign source income," Paul concluded. "U.S. corporations are sitting on more than a trillion dollars in foreign earnings that cannot be repatriated to the U.S. because of taxes. We need to stop taxing unpatriated funds to bring those earnings home. Better yet, we need to abolish the income tax altogether."
The CNN GOP debate will feature seven contenders: Rep. Michele Bachmann; businessman and talk show host Herman Cain; former House Speaker Newt Gingrich; Rep. Ron Paul; former Minnesota Gov. Tim Pawlenty; former Massachusetts Gov. Mitt Romney; and former Sen. Rick Santorum.