Fed begins taper light as Senate approves Yellen as Fed chief

BROOKINGS, Ore. - Jan. 16, 2014 - PRLog -- The US Senate confirmed Janet Yellen on a 56-26 vote, to replace Ben Bernanke as chairman of Federal Reserve. Unemployment dropped to 6.7% in December, with fewer people in the work force. Labor participation fell 62.8%, the lowest since 1978. Many economists believe the US will have to add 200,000 jobs a month for five years to get unemployment below 5%.

The last two previous Fed Chairmen, Allen Greenspan and Ben Bernanke, were primarily monetarists. Monetarism emphasizes the role of governments in controlling the amount of money in circulation. It became popular when Keynesian economics seemed unable to explain the contradictory problems of rising unemployment and inflation in the 1970s. Many critics, such as David Stockman, blame Allen Greenspan for creating the dot-com bubble, and the housing bubble.

President Obama nominated Stanley Fischer to replace Yellen as Fed vice chair. Fischer was the Ph.D. adviser for Bernanke at MIT. He also taught Larry Summers and Mario Dragi, current President of the ECB. Yellen received her Ph.D. from Yale under Keynsian professors James Tobin and Joseph Stiglitz.

Janet Yellen will be the first woman and the first openly Keynsian economist to chair the Fed. John Maynard Keynes believed an economy in depression could stay there and not return to equilibrium without government help. The “Keynesian Revolution” provided the intellectual rationale for the transformation of the State from primarily an administrator of the rule of law (as the Bible teaches) into an economic central planner with broad, open-ended powers.

Keynes inherited his nihilism from Darwinism, his notion of “animal spirits” from Freud, and his opposition to capitalism from Marx. History has shown Darwin’s simple cell is actually complex, the transition from one kind of animal to another does not exist in fossil records, and the probability of spontaneous life is zero. Marx’s socialism failed in Russia, China and India because central planning lacks measurement through market prices. Freud theories of psychoanalysis were developed while he was addicted to cocaine. His use of hypnosis came from the occult, and was formerly called mesmerism by the Austrian doctor Franz Anton Mesmer.

Hypnosis is an altered state of consciousness, and is found in Buddhism, Yoga, Hinduism, and witchcraft. It has proven to be unreliable and is forbidden in the Bible. Deuteronomy 18:10-12 states that enchanters, charmers, wizards, or consulters with familiar spirits are an abomination to God.

Keynes’ economics, sexual perversion and his religious worldview are opposed to the Christian worldview. He believed Darwinism destroyed the Bible and the Christian religion. His fellow Fabian socialists repudiated personal liability to God, which made morals unnecessary. He believed labor produced wealth and the capitalist class was unnecessary.

Keynes believed thrift was bad, roughly akin to sexual repression. He saw human beings as irrational, even wicked creatures. He rejected all morals, and found Christian morals to be evil, which appears to be an oxymoron. He saw economies as essentially being driven by unconscious, pre-human impulses or animal spirits. One of Keynes’ homosexual partners was Lytton Strachey, his homosexual brother James, translated Freud’s works from German to English.

Many of today’s progressives such as Janet Yellen, Joseph Stiglitz and President Obama agree with Fabian socialists that the government should redistribute wealth on a more compassionate equitable basis. Many progressives believe extreme disproportion in wealth, income and economic growth should be reduced on a world basis. 　

However, socialism through the abolition of private property and government re-distribution of wealth is an anti-Christian philosophy. Developed nations became developed precisely because they used free enterprise capitalistic systems that encouraged individuals to work hard and reinvest their wealth to increase productivity.

Christians believe it is God who ‘sets up and takes down’. Calling and gifts are from God and are unique to each individual. Christians cannot hold to an egalitarian worldview which plunders from producers. Adam Smith observed that hard work alone does not result in prosperity. Primitive tribes that hunt and gather the whole day often have full employment but lack prosperity. The difference between poverty and prosperity is determined by how much skill and thought is invested into productivity.

Indian philosopher Dr. Vishal Mangalwadi, in “The book that made your world”, states that the industrial revolution was the result of the protestant Biblical worldview. Christianity destroyed classical animism which held back third world countries. The teaching that human beings, not spirits, were meant to rule over nature, allowed the West to develop technology. Determinism in the East implied that we do not exist as individuals, and are only products of our environment or culture. Western civilization, on the other hand, believed that human beings were creative creatures, made in the image of God, and therefore could change “reality” for the better. This enabled the West to virtually eliminate many of the ills that still plague third world.

Starvation and financial failure forced Russia, China and India to turn to Western style free markets. As emerging markets turn to capitalism, the West turns to socialism, and declines under the weight of increased government control, entitlements, debt, taxes, and bureaucracy.

“When they knew God, they glorified him not as God, …but became vain in their imaginations, and their foolish heart was darkened. Professing themselves to be wise, they became fools. For this cause God gave them up unto file affections…” Romans 1:21,22,26”

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