Wednesday on CNBC’s “Squawk Box,” Texas Republican Rep. Ron Paul warned that recent global unrest can be traced back to inflation-related price jumps for for food and other goods everywhere. He cited conflicts in the Middle East and North Africa and austerity measures in now in place in European nations with generous social welfare systems.
Rep. Paul warned that these crises could easily become more widespread.
“I cannot believe people would have high rating for any of this paper money and paper bonds, long-term when it earns no interest,” he continued. ”It’s so distorted. And then they decide that, you know, all we have to do is set up a committee of twelve and we’re going to come up with so-called cuts, which aren’t cuts. There are no cuts that anybody’s proposing. So, no wonder why people are negative.”
“[W]hat I worry about the most is the consequence of currency destruction and violence,” Paul said. “And, boy, every day there’s more and more violence whether it’s in London, a demonstration in Israel, all around the world, revolutions going on. And this is all related to sometimes prices of food going up. This is all related to the fictitious notion about what money is and what it should be.”