Some huge truth exists at the face value of Mr. Schiff’s words as-is, but I think this goes deeper, and I’ll take a step back to do you one further: Why are kindergarteners running companies to begin with? Any immediate interpretation of Mr. Schiff’s analogy likely leaves this question unanswered, thus allowing the rebuttal, “The problem is that the people who run companies are acting like kindergarteners!” I have heard this argument and equivalents of it — not only in the context of a response to Mr. Schiff’s point; certainly the thought, “Greedy business managers are to blame!!” exists regardless — and yes, it’s true that business owners and managers sometimes can and should be pointed at with blaming fingers. But I do believe that quite a lot of the blame that they usually receive actually belongs with — sing it with me — the Federal Reserve. That is to say, not only is the Fed responsible for distributing candy and soda (or in their case, unsound money and easy credit); it is also very responsible for spreading the reprehensibly infantile mindset that abuses these treats and makes a mess.

Read on.

In literal instances of kindergarteners and candy, the tendency would be to blame the teacher for providing the means (pixie sticks and soda) for the students to make a mess, certainly. However, it wouldn’t necessarily follow, or even likely follow, that the teacher would also be blamed for the mindset of the young students, whatever inspired them to make a mess with the provided treats. One might attribute this to the kids’ parents not bringing them up properly, or more likely, the fact that the kids are young and naïve and “didn’t know any better.” Whatever. The point is, this blame would probably and justifiably be associated away from the teacher. Furthermore, any decent teacher would explain to their students, upon returning to such a mess, “What you did is wrong…I now realize I shouldn’t have left you alone with candy and soda pop…we both learned something today…let’s not let this happen again.” With the Fed, however, the opposite is the case: a destructive mindset is actively promoted, any retrospect after the fact is minimized and justified, and the exact same efforts and strategies are applied again. Lather, rinse, repeat. Chairman Ben Bernanke, for example, justifying printing trillions of dollars and buying up toxic assets, and then telling everybody, “Be confident; our efforts will restore market stability,” as though money that is printed at whim is finally capable of anything other than self-destruction (hint: it isn’t). Only more mess can result, and Ben Bernanke is preaching the contrary and fully aware of what he’s doing. This is a state of mind, and vocalization of it, that is morally akin to that of the school teacher who not only passes out candy to all of the kids in class, but also sticks around to instigate the sugary mess. A kindergarten teacher, standing in front of the chalkboard and shouting, “Throw it around! Smear it all over your faces!! This will all work out!” and then excuses or ignores the ramifications (e.g. the fucking mess) of providing the treats and accompanying bad advice, and does it all over again. …And again, and again.

We are now observing manifestations of such thinking that are messier than ever: a still weakening dollar, falling stocks, depleting bank accounts, closing companies and lost jobs…and the Fed’s cries and cheers are louder than ever: “We are going to print more money! TARP! Bailouts and stimulus packages! Shake your soda even harder before opening it, kids!” as though a reckless monetary policy isn’t a huge part of why this mess exists in the first place (hint: it is), as though the best way to repair a failed system is to reinforce the fundamentally unsound principles on which it is founded (hint: …well, you already know).

Any sane person would warrant such a teacher unfit for their duty, being in charge of a kindergarten class, yet this sort of nonsense and damaging thinking is allowed to go on at a central bank, where entire nation’s economies are dictated and decided, not just one group of kids’ manners, not just whether one group of kids gets cavities.

This won’t do at all.

Just as this kind of destructive mentality is unfit to teach kindergarten, it is unfit to regulate an economy. In fact, I’ll go as far as to say that there exists no place at all for this kind of abuse, and extreme and repetitive incompetence.

It’s time to grow up and wake up, and this Federal Reserve bullshit.

CLICK HERE to support HR 1207: Ron Paul’s bill to audit the Federal Reserve