This is a continuation about gold and Andy's 'little birdy told me" postgreenspun.com : LUSENET : TimeBomb 2000 (Y2000) : One Thread
Is gold really going to be worth anything in the future? Well, make up your own mind...
The problem, as I see it, is the overwhelming perception that our dollar is worth something unto itself, our economy is capable of long term and sustained stability and our life here in the U.S. is never going to change. I absolutely don't blame anyone for having this perception. I had it about 3 years ago myself. Chalk it off to the mainstream media. They have done their job well.
The reality is: all is not well, our economy is not sustainable as is, and the value of our dollar is one of perception with no basis in truth. There is definitely proof of market and commodity manipulation to 'keep the game going'. We are at the mercy of cycles, and this wonderful long term one in existence right now is about to take a very harsh downturn.
As far as US dollar value goes, the August 1971 decision to go off the gold standard was the crucial turning point. If you do not understand the significance of this, you are either too young to remember, or you have forgotten that paper currencies WERE created as 'redeemable certificates' for gold "the real money". BUT, in order to keep our currency gold backed, we had to keep the purse strings tightened on spending/creating more paper money. Our government did not do this. Speaking in terms of this century only, the first time we were caught with too much paper currency outstanding against our reserves was when FDR illegally confiscated private gold holdings, paying out $20 ounce, then revaluing gold at $33 ounce. The 2nd time happened in 1971, but they chose not to confiscate, they simply took the paper notes and proclaimed it would be money unto itself, backed by the strength and good faith of a too-big-to-fail country. How many countries out there these days actually believe the U.S. cannot or will not fail? Not very many. Voila! Introducing the EURO! Get it???
Now, a country can create an 'issue' currency for domestic use any ole time it wants. As a matter of fact, a few tiny countries do just that in order to finance public works projects. After the projects are finished, and the paper money is used for payment of taxes, the money is then destroyed.
What the U.S. has done has submitted the entire trading world to it's phony money scam that at some point is going to have to be destroyed on an international level as well. Whether it can survive domestically, remains to be seen.
To perceive gold or silver as having intrinsic value is to change your media-fed perception of what real money is. It is a challenge, but history has borne this out. The world reserve fiat money game is about to end and the U.S. Dollar is going to take a really bad beating, if not a catastrophic one.
Am I suggesting you buy gold? No. Am I telling you to beware of our economic stability for the future? Yep. The money you do have can still be used to retire your existing debts. It will probably not go very far in securing your future/retirement, though.
Consider the recent posting showing the asset allocations for the presidential candidates. Perhaps someone can provide the link. I find that rather interesting, myself.
-- OR (firstname.lastname@example.org), September 12, 1999
Gold...what a bargain, silver too!
-- Porky (Porky@in.cellblockD), September 12, 1999.
If this is a continuation of that post, then it would seem to have been more appropriate to have appended it to that thread.
-- Jerry B (email@example.com), September 13, 1999.