You think you’re punk rock? You’re not punk rock until you understand why gold is the revolutionary substance it is.
Since the War on Cash began about a year ago (in earnest) we have seen a concerted effort to get all financial activity into the “matrix” before it’s too late. (From the globalist/control freak perspective.) Have a pile of cash? You must be a criminal. Have some silver and gold? You must be a criminal. The state wants its eyes on all transactions. It wants to make sure it always gets its cut. This has nothing to do with fighting “terrorists.”
For some of our readers this may be entirely new information. If it is I encourage you to explore fiat currencies, the financialization of the economy, gold, the Federal Reserve, and the concept of honest money. You’re in for a wild ride.
As some people say, CASH is TRASH. This has proven true in India in recent weeks. Gold however is money.
A key thing to understand for all you non “gold bugs” (and I use the term lovingly) is that gold doesn’t so much go down or up in price as much as paper currencies gain or lose value relative to the value of gold. Gold is a steady Eddie and has been for millennia. Paper has a tendency to die an ugly death.
Gold and the “poor man’s gold,” silver, are liberators and fundamentally challenge the current central bank system of debt and debt servitude.
The metals should be treated as what they are, a form of money. As such they should not be taxed.
One of the common counters to the call for sound money (a real gold standard) is the quip; “What’s the real golden rule? Whoever has the gold makes the rules.” And then some silly half baked mix of Keynesianism and Marxism usually follows along with whatever the commentor picked up in their Econ 102 course years ago.
But the truth is gold rewards thrift (which many of the ruling economists despise, they want you to spend at all costs) and hard work.
“Hoarding” is code for savings certain people don’t like. These same people then argue that your “hoarded” property is illegitimate and so subject to confiscation in the name of the “greater good.”
This is of course silly and hearkens back to old dusty ideas about the “velocity of money” etc. Wealth comes from ideas not money supply. If the economy provides enough opportunity for return on investment people will exit any “hoards.” (At least to a very large degree.) But in a world in which ROI is increasingly difficult due to poor economic and societal management people are going to be inclined to save.
Of course even when Nixon completely detached the dollar from gold we had a very very modified gold standard. But at least there was some tie to reality.
Now we live in an almost completely fiat system, though it can be argued – well – that oil is the de facto backer of US currency these days, the so called petrodollar. (Though some do not buy this argument.) Regardless we live in a highly financialized world with lots and lots of cheap money floating around.
One of the most important moments in American economic history. Nixon killed the last vestige of sound money in America. Within a decade the USA was heavily financialized.
This is a great explanation of why gold is money and it comes from all places – NPR. Hey, sometimes they get things right. Nice job here.
Indeed it is. Central planning always fails and make no mistake in many ways our economic system is “planned.” Not in the sense that it was planned in the Soviet Union but planned and controlled by the Federal Reserve through the manipulation of interest rates. The Fed creates malinvestment by trying to juice the economy. People over invest with cheap credit on office buildings, homes, cars, infrastructure projects and so on. Then when the reality of the economy hits this juiced economic situation failure occurs broadly.
If you are “resisting capitalism” you are “resisting human progress.” You are resisting the voluntary exchange of goods and services. You are resisting opportunity for people to make a better life for themselves through hard work. You are trading that opportunity for a system which rewards the uncreative and unambitious. (And perhaps you understand this.) You are fundamentally resisting FREEDOM and LIBERTY, because “economic liberty,” the right to do what you want with that which you own, is not separate from social FREEDOM and LIBERTY.
(The was a post on Facebook from Lawrence Reed at FEE)
April 5 is yet another “day that will live in infamy.” On this date in 1933, Franklin Roosevelt signed Executive Order 6102, which criminalized the possession of monetary gold. Americans were ordered to hand over their gold coin and bullion to the government in less than a month (by May 1) under penalty of $10,000 fine and/or up to 10 years in prison, so that the government could more easily inflate the money supply.