In principle,
and as part of the 1913 rationale for the Fed, one can compare the actions
of the Fed to the body's blood pressure.
Previously,
gold and silver production increasingly failed to match the growth of the
economic body which was effectively deflation or low blood pressure. It is
like a baby's body being limited to its original blood quantity instead of
the normal adult's six quarts of blood. People and economies die when drained
of blood. Currency is the blood of an economy. The Fed was supposed to increase
currency supplies to match the growth of the economy.
Monflation is analogously high blood pressure which will
kill you and kill an economy. The Fed has consistently fostered an inflationary
policy.
Economic chaos
and collapse historically has been a combination of high and low blood pressure.
Politicians cause bipolar currency instability by legalizing economic leeches,
vampires and phlebotomists that suck the life fluid out of our future economic
well-being.