25 responses to “Ron Paul on Gold and Sound Money”

  1. Tom B

    I would agree that we need “sound money”. But I would think that to have a money system backed up by gold alone would be a great mistake. One commodity such as gold can (and probably IS) be cornered and thus monies that are backed by it would be manipulated by the very same banksters that now manipulate nations into wars and steal the world’s wealth to the end that all humanity may be their slaves. I would think that two precious metals for coinage, an interest free government / treasury note, and a banking system based on SUBSTANTIAL reserves of both coinage and currency would work for lasting monetary stability.
    HELL YES!! Get rid of the dammed FED! AND their collection agency the IRS !
    Yes, use gold, but remember that gold is scarce. So back that up with silver… they’ll have a harder time cornering that one. And restore the ‘faith & good credit’ of our currency with ‘red-seal’ United States Notes’. End fractional reserve banking.
    And what should be done with the ‘bankster/criminals? FEED them the ‘green seal’ notes that they love to print! Let them eat of their own fruit!

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  2. JuggerGrimrod

    Check this website out

    http://www.monetary.org

    Cheers!

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  3. eGold – Real Wealth » Blog Archive » How eGold came into being

    [...] seeking to “topple the dollar” were at play in the 1896 too! Even today, senator Ron Paul’s movement, and the Austrian School in europe, are torch bearers of the gold based model, and we too [...]

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  4. No More Regulation! « Freethinker

    [...] more prudently. They would have to; the disciplines of a free and competitive market combined with a sound currency encourages this. Currently, with our semi-fascist mix of government and private industry, we see [...]

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  5. (d)N0t » Blog Archive » Dream Not Of Today – More regulation is not the answer by Robert Taylor

    [...] more prudently. They would have to; the disciplines of a free and competitive market combined with a sound currency encourages this. Currently, with our semi-fascist mix of government and private industry, we see [...]

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  6. Is the gold standard “Mission: Impossible”? « JohnSeilerBlogs.com

    [...] Republicans refuse to heed the sage advice of Ron Paul on returning to the gold [...]

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  7. Lee W.

    Just an idea from a no buddy.
    Both John McCain And Obama were asked to submit proof of citizenship
    only McCain complied.Obama has been fighting turning in his birth records tooth and nail and its pretty obvious he has something to hide.
    A Democrat leader even filed a lawsuit to force him to submit these records and Obama is doing every thing to keep them hidden.
    What if a suit was filed in every state ?
    Obama would be forced to comply thus ending his candidacy leaving Ron Paul to fill the gap. Is this a dumb idea or is their no time left to try this.
    I honestly believe Obama is fighting this for a reason and it would kill his chances. I believe this is the most important election of my life time and the worst possible thing that could happen to our Country would be Obama im not all that found of McCain either but its such an up hill battle for Ron Paul and quite frankly im scared.

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  8. Jose Grimez

    4th grade ecomomics state that “time is money”.You borrow money and pay for the time that you have the loan…What poses as our government igonores this reality… The time factor of money Reviving our economy requires the printing of short money.This money would have to be spent within a time frame of 180 days. All welfare recipients,government employees,(excepting disabled vets) and government grants would be paid in short money.This method would stimulate the economy for those who labor in the private sector… (Government employees get a state or federal retirement, 401ks, SS.Colas;while private sector employee’s pensions and benefits are adjudicated out of existance)… Banks would cull short money (red) from the system and return it to the Treasury.This would insure a pulse of money into the economic system, thereby stabilizing the money supply.Short money could not be sent offshore.Short money could not be wired.Foreign Aid would be in short money. All private payrolls would be paid in “long money,” that is, money that does not expire…Foreign countries that have a trade imbalance with the US would have treasuries redeemed and money credited in proportion to the percentage of our trade imbalance.All naked short selling must be stopped. The FBI,SEC and State AGs must prosecute those who perpetrated the mortgage scam. Bamk officers, CEOs, those who schemed to legalize dishonesty must be prosecuted individually ,with restitution made…Brokerages and banks must be made separate.(Again)…I agree that gold is a hedge for prudent people but to expect a return to the gold standard would require the Treasury and every central bank in the world to stop increasing money supply.When the printing presses stop and ethics and fiscal morality return to law;then perhaps we can consider the gold standard. With the current “leadership” things in the US do not look good….The disco-posing politcal hacks crow about “running out of time”, what that really means is running out of time..It happened to the old
    Soviet Union, it can happen here…

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  9. LC

    Sam Kennedy, you lay it out perfectly however, my prediction is a revolution in 2010 but hopefully sooner. A revolution that will claim back what you have described in detail. Unfortunately, I don’t think congress today has the guts to put an end to the corruptness without a peoples revolution taking place first.
    It’s been quoted many times before that “change takes place when the pain becomes more unbearable than the change itself” and I don’t think the American people feel enough pain yet.

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  10. Joe D

    Gold as currency : Miner finds gold he cannot eat it, so exchanges it with farmer for food, farmer exchanges it with carpenter to build home, carpenter exchanges it with tailor to buy shirt……. the transactions progress like this and the last person holding the gold cannot sustain life with it he/she has to do one more exchange to realize value/energy, when there is a resource crunch / famine the last person holding gold cannot make one more exchange and he/she ends up as the looser in the series of transactions. Essentially it ends up as a ponzi scheme.

    Ancient wisdom of becoming rich while doing business with gold currency is to understand the “secret that gold is worthless substance” and hold on to it for minimum amount of time. As soon as one gets gold, exchange it for something valuable like food grains and store it, food grains like rice, wheat can be stored for 20 years. When food scarcity hits the market negotiate favorable terms while exchanging food grains against gold with clear understanding that gold is worthless substance while food is essential for survival.

    This is why using gold as currency without redemption obligation by issuer was the longest running scam in the world. Gold does not have a inherent value/energy so exchange value has to be negotiated during each transaction, so it cannot act as store of value. During times of scarcities like famine, exchange value of gold goes down drastically.

    Food as currency : Farmer produces food grains consumes some, gives rest to carpenter to build a home, carpenter consumes some and barters rest to tailor to buy cloths. Consider a series of transactions like this as the last transaction happens the final recipient of food currency can simply consume it to realize energy, essential for sustaining life. All transactions are complete everybody in the series of transactions has realized value out of transactions. Then the next cycle of transactions starts with farmer producing food…… this is how the ecosystem works…..

    Today we have one more important ingredient fuel in the economic system, fossil fuels are used to produce food, or stating more clearly today we need fossil fuels to produce food to feed 6+ billion population of earth.

    The only substance we can use as “currency” without redemption obligation is food. All other substances when used as currency needs redemption obligation by the issuer in terms of food/fuel/energy otherwise market manipulation is very easy resulting in 7% of people owning 80% of resources world wide. This is what is happening today and is the basis for current economic crisis.

    Sadly the federal reserve bank does not have food/fuel/energy reserve hence it cannot regulate markets.

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  11. Stan Nobody

    Wow, lets take out country back:

    Please use your local cable access channel to broadcast videos, about the truth.

    http://www.accesschannel.com/

    one may not reach millions but hundreds are OK. Where can we get Videos for Broadcast.

    You could also make Audio CDs and give them to Cops who have time to listen to them in a car. If anybody wants MP3s of RonPauls or Chuck Baldwin’s campaign please email me at: protomtom@yahoo.com

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  12. John

    To Sam Kennedy,

    You don’t seem to realize that Ron Paul has been effectively muzzled by the Rupert Murdock controlled media because everything that he stands for would disrupt the non stop greed of the financial elite that now controls the world economy.
    He has been trying to convey the truth message for some time now, but in order to reach the TV masses you have to be allowed to be on TV and be allowed to reach the millions who watch.
    I have been listening to Ron Paul for many years and he is the answer to the leadership that we now seek to pull us out of the mire that we are stuck in, due to the multinational corporations that have sold us down the road to ruin, in order to further their
    greedy ambitions.

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  13. For Dr. Paul's Consideration

    Excerpt from A Brief Proposal to Restore Financial Sanity and the People’s Wealth by Sam Kennedy

    Everyone in the patriot movement saw the “crisis” coming. The World Bank reaching out to confiscate the wealth of a nation. The methods are well known. Create a crisis. Promote hysteria. Act ABRUPTLY to consolidate power and seize society’s wealth.

    ………..

    HERE’S AN ALTERNATIVE that will provide immediate relief by returning to the people all of their assets, making credit unnecessary, and eliminating all of the house-of-cards phony baloney “markets” that everyone admits is beyond comprehension:

    1. Repeal the Federal Reserve Act of 1913. Takes about five minutes to write the statute. This would provide an instant end to the $9 trillion dollar U.S. debt currently owed to the Fed for borrowing our own money that they merely print (that’s what the Act actually says). What, you actually thought the country owed $9 trillion to China for making trinkets? Think again. the Fed buys most of the Treasury notes that we have to repay – and they use new money hot off the presses at a cost to them of 4 cents per bill. How do YOU think the country might fare if $9 trillion in debt were wiped out overnight? Would we be flowing in new capital? Our own capital? Rather than the banking cartels flowing in our capital?

    2. Repeal the Income Tax Act of 1913 which exists to pay the interest on the debt to the Fed. How would YOU fare with the elimination of withholding from YOUR paycheck?

    3. Process (finally) the Articles of Impeachment filed (and still pending) for conspiracy, fraud, unlawful conversion and treason in 1934 by Congressman Louis McFadden, the chairman of the House Banking and Currency Committee, against the Board of Governors of the Federal Reserve Bank, the Comptroller of the Currency and the Secretary of the Treasury.

    4. Deliver to every media outlet in the country the following words of the world’s most knowledgeable man on the issue of banking spoken to Congress in 1934:

    “Mr. Chairman, we have in this Country one of the most corrupt institutions the world has ever known. I refer to the Federal Reserve Board and the Federal Reserve Banks, hereinafter called the Fed. The Fed has cheated the Government of these United States and the people of the United States out of enough money to pay the Nation’s debt. The depredations and iniquities of the Fed has cost enough money to pay the National debt several times over.

    “This evil institution has impoverished and ruined the people of these United States, has bankrupted itself, and has practically bankrupted our Government. It has done this through the defects of the law under which it operates, through the maladministration of that law by the Fed and through the corrupt practices of the moneyed vultures who control it.

    “Some people who think that the Federal Reserve Banks United States Government institutions. They are private monopolies which prey upon the people of these United States for the benefit of themselves and their foreign customers; foreign and domestic speculators and swindlers; and rich and predatory money lenders. In that dark crew of financial pirates there are those who would cut a man’s throat to get a dollar out of his pocket; there are those who send money into states to buy votes to control our legislatures; there are those who maintain International propaganda for the purpose of deceiving us into granting of new concessions which will permit them to cover up their past misdeeds and set again in motion their gigantic train of crime.”

    5. Confiscate the total assets of the Federal Reserve Bank thereby effectively returning all the credit, liquidity and wealth that were stolen from the American people in 1913, 1933, 1964 and 2008.

    Imagine that. With the mere stroke of a pen on a single piece of paper, Congress, with or without the President, could effectively:
    - Return all of the people’s wealth.
    - End the greatest financial scam in history which will otherwise inevitably lead to tyranny, oppression and destruction of world order.
    - Restore the dignity of the American people by abandoning satanic principles such as debt, instant gratification and avoidance of responsibility.
    - Restore dignity AND SOLVENCY to our children and grandchildren. The deeds to THEIR home should never again call them a TENANT.
    - End the vile satanic Internal Revenue Service scam that has literally destroyed the lives of hundreds of thousands of honest Americans and transferred the wealth of a nation to a private banking cartel.

    If you agree with the above, might I suggest circulating it as never this plan as widely as possible? If just one noteworthy media outlet reports on these options, if Ron Paul were to come forth from his cocoom and speak out at this very moment, perhaps the course of events could be changed and your children might be spared enslavement.

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  14. For Dr. Paul's Consideration

    A Brief Proposal to Restore Financial Sanity and the People’s Wealth by Sam Kennedy

    Everyone in the patriot movement saw the “crisis” coming. The World Bank reaching out to confiscate the wealth of a nation. The methods are well known. Create a crisis. Promote hysteria. Act ABRUPTLY to consolidate power and seize society’s wealth.

    In 1995, it was the Mexican “bailout” where annual inflation of 125 percent forced Mexicans to accept $40 billion in NEW CREDIT (new debt obligations) from the World Bank (and of course, all of the usual austerity measures and tax demands), effectively transferring the wealth of a society to a privately held banking cartel. In 1993 it was deflation in Argentina, and more credits and bank oppression. And in 1933, it was the transfer of all American wealth to the Federal Reserve Bank when F.D.R ordered all of our families’ privately held gold to be delivered to the nearest branch of the Fed (ask your grand parents) and passed laws replacing payment of debts with the spurious legal concept of “discharging” debts using notes which are printed by a private banking cartel and backed by nothing. Yes, the Federal Reserve Bank IS privately owned by the Rothschild, Rockefeller and Morgan families. Something Henry failed to mention on this week’s television blitzgkrieg.

    This very week, the latest crisis comes to fruition – total seizure of wealth by fear-mongering the collapse of “markets” that never existed in the first place other than as digits in Paulson’s computer system. The man who is widely acknowledged as the architect of the securitized mortgage, architect of the notorious investment scheme that brought the world to its knees when he was chairman of Goldman Sachs (the only Wall Street brokerage dynasty unscathed by the credit meltdown), is now in charge of your life, your home, your retirement, your welfare. Even as he blames speculators, unscrupulous lenders, and your poor judgment for the crisis.

    This very morning, George Will called Paulson’s bailout plan “the start of the Paulson administration” but offered no alternative. Every politician and pundit seems to agree that the fate of the world during the biggest crisis in history should rest on the shoulders of the fox who ate the hens. They are quick to point out that no one understands the crisis nor how much is owed, but…“We have to do SOMETHING.” We’re politicians. First in line for your wrath when your IRA bottoms out.

    And that “something,” of course, is the takeover of the financial world by the United States government, and it’s backers, the Federal Reserve Bank acting as agent and receiver for the World Bank, as always.

    WELL HERE’S AN ALTERNATIVE that will provide immediate relief by returning to the people all of their assets, making credit unnecessary, and eliminating all of the house-of-cards phony baloney “markets” that everyone admits is beyond comprehension:

    1. Repeal the Federal Reserve Act of 1913. Takes about five minutes to write the statute. This would provide an instant end to the $9 trillion dollar U.S. debt currently owed to the Fed for borrowing our own money that they merely print (that’s what the Act actually says). What, you actually thought the country owed $9 trillion to China for making trinkets? Think again. the Fed buys most of the Treasury notes that we have to repay – and they use new money hot off the presses at a cost to them of 4 cents per bill. How do YOU think the country might fare if $9 trillion in debt were wiped out overnight? Would we be flowing in new capital? Our own capital? Rather than the banking cartels flowing in our capital?

    2. Repeal the Income Tax Act of 1913 which exists to pay the interest on the debt to the Fed. How would YOU fare with the elimination of withholding from YOUR paycheck?

    3. Process (finally) the Articles of Impeachment filed (and still pending) for conspiracy, fraud, unlawful conversion and treason in 1934 by Congressman Louis McFadden, the chairman of the House Banking and Currency Committee, against the Board of Governors of the Federal Reserve Bank, the Comptroller of the Currency and the Secretary of the Treasury.

    4. Deliver to every media outlet in the country the following words of the world’s most knowledgeable man on the issue of banking spoken to Congress in 1934:

    “Mr. Chairman, we have in this Country one of the most corrupt institutions the world has ever known. I refer to the Federal Reserve Board and the Federal Reserve Banks, hereinafter called the Fed. The Fed has cheated the Government of these United States and the people of the United States out of enough money to pay the Nation’s debt. The depredations and iniquities of the Fed has cost enough money to pay the National debt several times over.

    “This evil institution has impoverished and ruined the people of these United States, has bankrupted itself, and has practically bankrupted our Government. It has done this through the defects of the law under which it operates, through the maladministration of that law by the Fed and through the corrupt practices of the moneyed vultures who control it.

    “Some people who think that the Federal Reserve Banks United States Government institutions. They are private monopolies which prey upon the people of these United States for the benefit of themselves and their foreign customers; foreign and domestic speculators and swindlers; and rich and predatory money lenders. In that dark crew of financial pirates there are those who would cut a man’s throat to get a dollar out of his pocket; there are those who send money into states to buy votes to control our legislatures; there are those who maintain International propaganda for the purpose of deceiving us into granting of new concessions which will permit them to cover up their past misdeeds and set again in motion their gigantic train of crime.”

    5. Confiscate the total assets of the Federal Reserve Bank thereby effectively returning all the credit, liquidity and wealth that were stolen from the American people in 1913, 1933, 1964 and 2008.

    Imagine that. With the mere stroke of a pen on a single piece of paper, Congress, with or without the President, could effectively:
    - Return all of the people’s wealth.
    - End the greatest financial scam in history which will otherwise inevitably lead to tyranny, oppression and destruction of world order.
    - Restore the dignity of the American people by abandoning satanic principles such as debt, instant gratification and avoidance of responsibility.
    - Restore dignity AND SOLVENCY to our children and grandchildren. The deeds to THEIR home should never again call them a TENANT.
    - End the vile satanic Internal Revenue Service scam that has literally destroyed the lives of hundreds of thousands of honest Americans and transferred the wealth of a nation to a private banking cartel.

    If you agree with the above, might I suggest circulating it as never this plan as widely as possible? If just one noteworthy media outlet reports on these options, if Ron Paul were to come forth from his cocoom and speak out at this very moment, perhaps the course of events could be changed and your children might be spared enslavement.

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  15. Nader Paul McKinney

    Ron and Ralph Fool’s Overture. History recalls how great the fall can be, while everybody’s sleeping the boats put out to sea. Borne on the wings of time, it seemed the answers were so easy to find. “Too late” the prophets cry, the island’s sinking let’s take to the sky. Called the man a fool, stripped him of his pride, everyone was laughing up until the day he died. And though the wound went deep, still he’s calling us out of our sleep.

    Apocalypse Now

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  16. Pugs5

    To Thomas Paine,
    Would it not be a “take-over” rather than a bail-out? Kind of like the Chinese have already “taken-over” most of our economy!

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  17. Thomas Paine

    I read the news today, oh boy. The Fed now wants to bail out FOREIGN banks that have exposure to the subprime debacle.

    The revolution starts now.

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  18. Pugs5

    Hey Joe D.
    Have you stopped reading this blog?
    I really need an answer as to why gold has no “value”(energy)!

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  19. Karl

    The whole banking system is a scam, and nobody actually realizes. Except for some heroes like Mr. Paul, who are willing to fight against political marginalization because the power of their enemies is so vast.

    Please, Mr. Paul, don’t give up your fight against this fraud, I am sure every normal citizen – as soon as he understands – will be on your side.

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  20. chad

    “This vicious cycle of spending, fighting and inflating is not what Americans want. It is what the government wants..” I need to understand WHY there is a difference between what govt wants and what citizens want. WHEN did this start. If you would, please explain why a nation’s govt is so at odds with it’s citizens. Forget the when or if you can, then explain all the W’s. I just simply cannot accept the drastic agenda differences between the people and the nation. Dr. Paul, where were you at the S&l crises and since? We really need you. It’s a shame you have been so marginalized.

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  21. Pugs5

    Hey Joe D.
    Explain gold, if it has no “delivery of value (energy)1

    Lead and brass have “no delivery of value” but they are necessary to protect my gold!!

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  22. Kevin

    Ron Paul,

    You are the man. We need to take this country back!

    Kevin in Los Angeles.

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  23. John D.

    I appreciate your insight and your efforts to prevent the current financial crisis.

    The prevailing “wisdom” today is that nationalization of financial instuitions is the answer. I believe that makes sense if one starts with nationalization of the Federal Reserve banks.

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  24. Joe D.

    Currency is representation of energy transfer occurring in transactions between living beings, all life forms need energy to sustain life hence it is the “only” criteria that can truly reflect transactions between life forms. Humans are now dominant life form on global ecosystem, hence all human transactions need to be represented in terms of energy, otherwise economics has no meaning.

    Currency need to satisfy 3 functions to become true representation of transactions between living beings.

    1. Medium of exchange
    2. Store of value
    3. Delivery of value(Energy)

    Using gold as currency is the longest running scam in the world, because gold can never satisfy “3.Delivery of value”, condition to be true currency, that is the secret of gold currency scam, making people exchange “valuable” stuff against a “useless” substance.

    For paper currencies to be valid the issuer should be able to deliver “value/energy” on redemption of currency, otherwise paper currency has no mechanism to satisfy the “3. Delivery of value” function to be real currency. This means that Reserve Banks should to have energy reserves to be called Reserve Banks. Reserve banks without energy reserves is the biggest scam in the modern economic scenario.

    So the solution for global economic crisis is to define 1 currency = 1 unit of energy and the reserve banks should have energy reserves against the currency they issue, energy reserve of central banks can be in the form of food, fuel both are easily storable.

    Most countries already have food and fuel stocking agencies, merging them with the central banks will create the solid foundation for a realistic “energy based currency system”.

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    1. Roger Brewitt

      All great theory. However the most important issue is not reserves.
      The important issue is to restore intrinsic value into a currency(a medium of exchange). You can’t make coinage out of a biscuit! You make coinage out of gold and silver because it is readily acceptable by all. These coins can be assayed. They are durable. They are portable and relatively high amounts of wealth can be stored in a relatively small number of coins. Whatever corrupt practices or political/economic catastrophe’s occur the coins in your pocket have value if made from precious metal, even if governments/banks fail and anarchy prevails. The lack of intrinsic value in currency protects the status quo of modern government. Where there is no intrinsic value in money, it is really only worth what a government wants it to be worth and (in trade)what other governments are willing to accept it is worth. If perceived value falls then inflation occurs. In the last transaction theory stated elsewhere, if all the last man in a chain of transactions has is gold, it is pointed out that he can’t eat it. What he can do is buy an army and capture what is needed in the way of food, shelter etc. and sell surplus for more gold and so on. Economics is not science it is philosophy and the sooner everyone remembers that, the better off we’ll all be.

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