“No assets of the Libyan Central Bank have been stolen, gold or otherwise,” declared the bank’s new governor, according to a Reuters dispatch out of Tripoli. Here’s the dispatch: TRIPOLI (REUTERS) – Libya’s central bank, under control of the country’s new leaders, said on Thursday none of its assets had been stolen and that it
There is no single topic of greater importance to the cause of liberty and peace than the nature and control of money. When free market participants are no longer able to choose their medium of exchange, a critical part of the free market dies. The resulting seeds of a centrally planned economy slowly grow and suffocate the power of choice.
mckinley hobart sound money buttonOver the last 100 years, Americans have completely lost control of their Constitutional money; to the point where they must pay a tax to essentially make change. Imagine breaking a twenty dollar bill and only getting a ten and a five back, with the other five going to the government. This is the potential problem one encounters when attempting to spend gold or silver money. It’s no accident. The laws are specifically set up to force everyone to use fiat currencies.
S&P’s downgrading of US debt has all the news, but is this crises worse than the 2008/2009 Global Financial Crisis? Possibly not, but gold move to the upside suggests a real crisis nonetheless.
If you’ve paid any attention to the inflation vs. deflation debate you’ve noticed that it is fairly convoluted. I’ve read the arguments in great detail and have come to the conclusion that it’s mostly a problem of semantics. Strictly speaking, deflation is a decrease in the supply of money and credit. As bad loans are written off, the supply of credit, which represents the lion’s share of the money supply, decreases.
Clearly a reckless Federal government is good for gold – or more accurately, our collective can kickers in Washington DC are very bad for the dollar. Contrary to the disinformation campaign of Wall Street, and their Federal Reserve sponsored economists, gold is not a bubble. Central banks are now net buyers of gold, and not because of tradition, as Mr. Bernanke would have you believe.
The history I was taught in school never held much interest for me. It seemed like a random progression of names, events, and dates attached to motivations that made little, if any sense. It wasn’t until I began my self study of economics, and particularly the nature of money, that a whole new world was presented to me. This was a world whose history was anything but random. In fact, almost every event throughout the history of Western civilization could be traced along a single thread of motivation: the control of money and resources.
Ron Paul doesn’t have a lot of friends at the US Treasury, particularly now that he is the Chairman of the House Financial Services Subcommittee on Domestic Monetary Policy. His relatively high profile hearings regarding the US gold reserves…
Perhaps you’ve seen the stories this week about the $6.6 billion in one hundred dollar bills that the US Government managed to “lose” in Iraq back in 2003-4. Apparently, as part of the Iraqi reconstruction effort, plane loads (C-130 Hercules to be exact) of palettes containing shrink wrapped 100 dollar bills were flown in. $22 billion in all. As the Pentagon is attempting to close the books on the operation this week, it was revealed that some $6.6 billion cannot be accounted for.
Recently, The New York Sun posted a response by Ron Paul to the question of whether the US should sell its gold to pay its debt. His typically principled answer was that it would be “a good and moral decision. An individual would have to do the same.” What followed was an outpouring of protestations from proponents of both fiat currencies and sound money alike.