1 00:00:07,200 --> 00:00:14,200 MEGYN KELLY: Joining me now 2 00:00:50,030 --> 00:00:56,770 is someone who has thoughts about this and warned about it, and that’s Texas Congressman 3 00:00:56,770 --> 00:00:57,230 Ron Paul. 4 00:00:57,230 --> 00:01:00,329 Congressman, thanks so much for being back with us. You’ve had your eye on Greece for 5 00:01:00,329 --> 00:01:03,560 a while now. This probably comes as no surprise to you. 6 00:01:03,560 --> 00:01:09,409 RON PAUL: No, not at all. And I think this is just the opening of a much more serious 7 00:01:09,409 --> 00:01:11,469 crisis than the financial crisis. 8 00:01:11,469 --> 00:01:16,189 I think what we’re seeing is a shift from the financial crisis, the financial institutions, 9 00:01:16,189 --> 00:01:21,109 to a currency crisis. Even though the dollar is up sharply today and has been up sharply 10 00:01:21,109 --> 00:01:24,399 last week, I see this as an attack on the dollar. 11 00:01:24,399 --> 00:01:30,429 Because in terms of gold, the dollar has been rampantly devalued and this means that gold 12 00:01:30,429 --> 00:01:31,439 is acting as money. 13 00:01:31,439 --> 00:01:35,649 They’re giving up on the paper currencies and I think this country and the world is 14 00:01:35,649 --> 00:01:40,499 in for big trouble because this is a currency crisis and it’s much worse that having a 15 00:01:40,499 --> 00:01:41,389 financial crisis. 16 00:01:41,389 --> 00:01:44,609 MEGYN KELLY: You know they say that look, what’s happening in Greece is one thing, 17 00:01:44,609 --> 00:01:48,549 but if this expands to Europe and they’re saying Portugal could be next, 18 00:01:48,549 --> 00:01:52,829 the German chancellor says she’s very worried, and that the European [Union] has to bail 19 00:01:52,829 --> 00:01:56,130 out Greece because she’s worried about it spreading to Europe, and there are other countries 20 00:01:56,130 --> 00:01:58,759 that could follow, Spain and others. 21 00:01:58,759 --> 00:02:03,359 If this becomes a European problem, it very much becomes an American problem as well, 22 00:02:03,359 --> 00:02:03,849 does it not? 23 00:02:03,849 --> 00:02:09,599 RON PAUL: There’s no doubt about it. It is a world problem and we’re going to be 24 00:02:09,599 --> 00:02:14,290 the last one to fall because we have the dollar and people still think that the dollar will 25 00:02:14,290 --> 00:02:16,590 save everybody. 26 00:02:16,590 --> 00:02:21,150 The dollar is going to have to bail out California and so many other problems that we have here. 27 00:02:21,150 --> 00:02:27,200 But that’s going to make the whole world vulnerable. It’s a debt explosion, it has 28 00:02:27,200 --> 00:02:31,920 occurred for 40 years, we’ve known it has been building, we knew it couldn’t last, 29 00:02:31,920 --> 00:02:36,140 and we knew it would end first with the financial bubble collapsing, and now we’re in the 30 00:02:36,140 --> 00:02:37,659 midst of a currency crisis. 31 00:02:37,659 --> 00:02:40,980 MEGYN KELLY: You know, it’s really scary to see what can happen in a society when the 32 00:02:40,980 --> 00:02:43,909 overspending comes home to roost. 33 00:02:43,909 --> 00:02:47,489 You know, when you see the consequences of years and years of overspending. 34 00:02:47,489 --> 00:02:50,769 Obviously people here are very worried about our debt and our deficit. 35 00:02:50,769 --> 00:02:54,799 Congressman Paul, could this kind of thing happen here? Could what we’re seeing in 36 00:02:54,799 --> 00:02:57,860 Greece and in California happen on a nationwide basis here? 37 00:02:57,860 --> 00:03:01,689 RON PAUL: Absolutely. There’s going to be anger and there’s going to be riots in the 38 00:03:01,689 --> 00:03:02,730 streets as well. 39 00:03:02,730 --> 00:03:07,219 But this is all a consequence of the fact that why and how the government spends like 40 00:03:07,219 --> 00:03:07,469 this. 41 00:03:07,219 --> 00:03:12,189 It’s because they don’t have sound money. When we run up deficits, we tax, but never 42 00:03:12,189 --> 00:03:16,230 enough. We can’t tax, it would ruin the economy. Then we borrow, and we get away with 43 00:03:16,230 --> 00:03:17,359 that for a long time. 44 00:03:17,359 --> 00:03:22,480 But we rely on the printing presses from the Federal Reserve to create the money, and that’s 45 00:03:22,480 --> 00:03:23,420 where the problem is. 46 00:03:23,420 --> 00:03:29,620 This is why we have to look at the Federal Reserve, we have to get an audit of the Federal 47 00:03:29,620 --> 00:03:33,680 Reserve, we have to look at the monetary system and the dollar system because you can’t 48 00:03:33,680 --> 00:03:34,640 have fake money. 49 00:03:34,640 --> 00:03:39,099 This is counterfeit. We’ve been operating like this since 1971. 50 00:03:39,099 --> 00:03:44,700 No time in the history of the world has the whole world been on fiat money for so long 51 00:03:44,700 --> 00:03:49,379 building up these financial bubbles, distorting the economies and running up all this debt, 52 00:03:49,379 --> 00:03:52,420 and it has to be paid for. This is just the beginning. 53 00:03:52,420 --> 00:03:56,629 MEGYN KELLY: Do you actually think that the Federal Reserve may be secretly bailing out 54 00:03:56,629 --> 00:04:01,120 Greece anyway, because we can’t audit the Federal Reserve, so we don’t know what it’s 55 00:04:01,120 --> 00:04:01,709 doing with this money. 56 00:04:01,709 --> 00:04:03,609 You think they may be funneling money over there right now? 57 00:04:03,609 --> 00:04:07,609 RON PAUL: Well, they’re capable of doing it, that’s why I demand an audit. 58 00:04:07,609 --> 00:04:12,239 But we do know that the IMF has offered them a lot of money, and we’re like 25 percent 59 00:04:12,239 --> 00:04:17,220 of the IMF, and that money has to come from us, it has to come from creating new money. 60 00:04:17,220 --> 00:04:20,910 But what they do secretly we don’t know. But they’re capable of doing it. 61 00:04:20,910 --> 00:04:24,540 And believe me, if push comes to shove, they’re going to use the dollar because people are 62 00:04:24,540 --> 00:04:27,660 still trusting the dollar. We still have the big economy. 63 00:04:27,660 --> 00:04:31,610 But that just delays the inevitable and it makes the downturn that much worse. 64 00:04:31,610 --> 00:04:33,890 MEGYN KELLY: How much of this fall on the Dow do you attribute to Greece? 65 00:04:33,890 --> 00:04:39,860 RON PAUL: Oh, I think a lot. But that’s just the tip of the iceberg. They’re the 66 00:04:39,860 --> 00:04:43,260 ones who have been the first ones to fall, but then there’s going to be Portugal, there’s 67 00:04:43,260 --> 00:04:46,320 going to be California, then it’s going to be United States government, and it’s 68 00:04:46,320 --> 00:04:51,670 going to be all the governments. I mean, they talk about Germany being the powerhouse? You 69 00:04:51,670 --> 00:04:56,480 think they have balanced budgets and they’re going to be able to bail out Europe? No! Everyone’s 70 00:04:56,480 --> 00:05:01,520 in this together. So Greece is just the beginning because they were probably worse off and it 71 00:05:01,520 --> 00:05:02,730 was precipitated. 72 00:05:02,730 --> 00:05:07,480 But all the countries and so many of our states are that way and many of our corporations, 73 00:05:07,480 --> 00:05:10,860 individuals, it’s still debt that has to be liquidated. 74 00:05:10,860 --> 00:05:13,480 MEGYN KELLY: Alright. Well, Congressman Ron Paul, we always appreciate hearing your insights 75 00:05:13,480 --> 00:05:14,600 on it. Thank you so much for being here. 76 00:05:14,600 --> 00:05:17,500 RON PAUL: Thank you.