Comments on: Ron Paul on Gold and Sound Money

By: Roger Brewitt

Roger Brewitt — Tue, 06 Oct 2009 22:47:47 +0000

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.

By: JuggerGrimrod

JuggerGrimrod — Mon, 05 Oct 2009 15:50:38 +0000

Check this website out

http://www.monetary.org

Cheers!

By: eGold – Real Wealth » Blog Archive » How eGold came into being

eGold – Real Wealth » Blog Archive » How eGold came into being — Sat, 22 Aug 2009 15:21:28 +0000

[...] 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 [...]

By: No More Regulation! « Freethinker

No More Regulation! « Freethinker — Fri, 14 Aug 2009 04:21:52 +0000

[...] 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 [...]

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

Fri, 14 Aug 2009 04:20:44 +0000

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

Tue, 14 Jul 2009 17:57:20 +0000

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

By: Lee W.

Lee W. — Mon, 13 Oct 2008 06:27:35 +0000

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.

By: Jose Grimez

Jose Grimez — Fri, 26 Sep 2008 19:03:01 +0000

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…

By: LC

LC — Fri, 26 Sep 2008 03:57:49 +0000

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.

By: Joe D

Joe D — Fri, 26 Sep 2008 01:38:46 +0000

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.