Why I’m Not a Fan of Gold
For those of you that haven’t been to third world nations much of this will go over your head, but In some places around the world he who has the land Rules. These same rules apply once you get into the topic of GOLD. Fiat Currency has a problem of Inflation Gold has a problem of Deflation. Fiat currencies in time lose their purchasing power; Gold over time eventually flows into the hands of a few hands. Gold is in a free market, fiat currency exists as long as there’s government in place. Gold is only a hoarded asset when fiat money is in circulation; therefore fiat currency is and always will be considered debt.
Dig For Gold and Barter
If I live on a farm and have everything I need why would I need any Gold, Just like fiat money there are rules to Gold and the simple easy to understand rule first and foremost is he who has the gold rules. Under a Gold standard there is no need for government, because as proven in the last great depression if the people act up or if the markets or things in general get risky the rich will simply pull their money out. When the rich pull their money out which under a gold standard is “Gold” the economy whatever it is collapses.
The 2009 Melt Would Have been worse under a Gold Standard
At the time I’m writing this its 2011 the world is in a recession. America and the world were able to avoid a complete financial meltdown only because of fiat money. What people don’t understand is why the financial collapse happened. The financial collapse happened because all the rich people and even the middle class took their money out of the stock market. This caused the markets to crash to fix this problem the government printed more money to put back into the system. Call that whatever you want the bottom line is had the world been on a Gold Standard that problem would have been way worse.
If people took their gold out of the market everything would have been at a standstill until people decided to put their money back in. The last great depression lasted 10 years. Really think about that for a moment the world as we know it went on a stand still just because of shiny piece of metal. Gold doesn’t do anything? It’s not used in cell phones, we don’t use it to put gas in our cars, and it doesn’t help us eat better food. Gold as it stands now is nothing more than a hoarded shiny piece of metal. Now tell me why in the h*ll we should base our entire economy on Gold?
Don’t Let the Greedy Fool You
They’re greedy people all of the world that are praying for the fall of fiat currency, these people want this because they know and already fully understand the gold markets and if there is a fiat crash they set to gain the most from it. Remember under a gold money supply the person(s) with the gold make the rules. Under a gold supply there really is no need for government, with a gold standard government really is just a “party”. Under a gold standard there is no bailouts there are no entitlement programs it’s every man woman and child for themselves.
In a Gold standard if you don’t work you starve, if you lose your job with a gold standard there are no benefits or entitlement programs. The history of gold speaks for itself and the only reason fiat currency never worked in the past was because the fiat money that was printed at that time was backed by gold.
Understanding the New Wealth and the information age
The old wealth was one of inheritance example of this is a person being born into a wealthy family. If you were born rich unless another kingdom invaded your country you would most likely be rich for your entire life. This was one of the main reasons there was so much war in the old world. The new wealth is determined by what you can do with debt. Fiat currency is debt, but if you spend it wisely you can leverage your debt, the information age as we know it could not exist and would not have proper funding without fiat currency
I would personally choose bartering over gold. Also don’t let movies like “Zeitgeist Addendum” or conspiracy theorists fool you a larger percentage of the world was poor when Gold was being used. In this day and age most people are poor because they’re ignorant of the new wealth, and this ignorance is caused mainly because of their culture and/or religion. If you’ve been to these third world countries like i have and talked to the people of these places their culture their religion and their governments are the ones holding them back.
If you only read one book or receive one opinion about how everything should be you limit yourself and your abilities. If you have a computer and electricity to read this post consider yourself blessed, if you ate at least one meal today consider yourself blessed if you have an opinion about what I just wrote consider yourself blessed. The perfect world is one we create for ourselves the American dream is taking nothing and turning it into something on that “note” I think “fiat currency” is as American as it gets…
God Bless America