Ron Paul warns that President Trump’s Iran War could destroy the U.S. dollar’s reserve status, plunging America into an economic depression worse than 1929.
Story Highlights
- U.S. spends $891.4 million daily on Iran War, with $50 billion supplemental funding request pending in Congress.
- National debt exceeds $38 trillion; war costs force Federal Reserve to monetize debt, eroding dollar value.
- International creditors reduce Treasury purchases amid fiscal instability from endless wars.
- Paul predicts systemic collapse of welfare-warfare-fiat money system, making Americans poorer and more government-dependent.
- Gold prices surge from $1,000 to $5,000-$6,000 as dollar alternative amid fiat currency fraud.
Iran War Drains American Wealth
The U.S. government spends $891.4 million every day on the ongoing Iran War, according to the Center for Strategic and International Studies. President Trump’s administration prepares a $50 billion supplemental funding request for Congress, added to the existing $1 trillion annual defense budget. This escalation contradicts promises of fiscal affordability. American taxpayers fund regime change operations with no end in sight. Military presence expands, risking ground troop deployments. Oil market disruptions through the Strait of Hormuz drive up gasoline prices at home.
Federal Reserve Monetizes Endless Spending
Ron Paul explains the war accelerates national debt past $38 trillion. Congress approves supplements while the Federal Reserve buys Treasury bonds and keeps interest rates low to service obligations. This debt monetization inflates the fiat dollar, unbacked since Nixon ended the gold standard in 1971. Excessive money printing destroys purchasing power, as seen in a Snickers bar rising from 20 cents in 1970 to nearly a dollar by 2007, now even costlier. International creditors cut U.S. debt purchases due to interventionist policies.
Dollar Faces Reserve Currency Rejection
Paul argues the Iran conflict hastens global rejection of the dollar as reserve currency. Nations reduce Treasury holdings over U.S. fiscal recklessness and hyperinterventionism. Federal Reserve expansion worsens the crisis. Paul foresees an economic crash surpassing the Great Depression. The welfare-warfare-fiat system crumbles, leaving citizens poorer, less free, and reliant on government handouts. Taxpayers face bills for bombing and rebuilding in Iran, Palestine, Gaza, and Afghanistan, repeating past follies.
Sound Money Advocates Sound Alarm
Former Congressman Ron Paul, champion of limited government and non-interventionism, calls the fiat system a lie and counterfeit. Tucker Carlson echoes concerns, questioning unaudited Fort Knox gold reserves untouched in nearly 100 years. Gold emerges as true money, prices climbing from $1,000 to $5,000-$6,000. Paul’s analysis ties war spending to monetary debasement, urging fiscal restraint. Conservatives value individual liberty and sound money; this path risks both through government overreach and inflation.
Ron Paul Fears The Dollar Will Be A Casualty Of The Iran War? https://t.co/YDbsYpRgjD
— zerohedge (@zerohedge) March 11, 2026
Conservatives Demand Fiscal Discipline
Paul’s warning highlights tensions in Trump’s agenda. Defense surges while debt balloons, pressuring the Fed. Gasoline hikes and inflation hit working families hardest, echoing Biden-era mismanagement conservatives rejected. Limited data on war justifications exists, but economic facts demand scrutiny. Taxpayers bear reconstruction costs abroad, diverting funds from domestic priorities like border security. Prioritizing endless wars over affordability erodes prosperity and freedom true patriots defend.
Sources:
Ron Paul: Will the Dollar be a Casualty of the Iran War?
Tucker Carlson Show w/ Ron Paul on Rising Debt, Endless War, Economic Collapse (Transcript)
Will the Dollar Be a Casualty of the Iran War? – Mises Institute
