I want Ron Paul on the three dollar bill
…unless you want super bad inflation, at least back it with silver.
I support , the future President of the USA, Ron Paul !!!
……….Since Romney now has 5x the islands purchasing power that YOU have, you will work for Romney. Obama still owes Bernake so he taxes both you and Romney to get back the 40 pieces of paper money + interest money which will have to come from the pre-existing gold money supply. This process continues to repeat itself until Bernanke has all the real gold in the money supply and everyone else is at he mercy of loans of paper gold created by Bernanke and distributed by Obama. The end
Then suppose Obama asks for a “loan” from Bernanke of 40 pieces of paper gold and Ben approves the loan. Now there is a total of 80 pieces of “gold” in the money supply representing all the same goods and services that are on the island which means the VALUE of each piece of gold is worth half as much. Now Obams gives the money to Romney to “expand the islands credit”. Now Romney has 50 pieces of gold and YOU still have 10 pieces of gold. …………cont.
But like I said to dlucas90, I think it IS possible for the government to “dilute” the gold supply–they just have to control the gold’s distribution. So my original question remains unanswered: Why can’t we just fix the currency system we have now instead of converting to a whole NEW system? Ron Paul wants to switch to a gold standard because he wants to reduce spending/debt and manage the budget better–but I don’t see why it’s impossible to do that with paper currency.
EXPLAINATION FOR THE GOLD STANDARD IN A NUTSHELL
Let’s pretend that YOU, Bernanke, Obama, and Romney are stranded on a desert island. Each of you has 10 gold coins making for a total of 40 gold coins which represent all the goods and services on the island (money supply). Now let’s say Bernanke is given the God-like ability to create paper money from DEBT (NOTHING) that has the same purchasing power as the gold coins and loan it out at interest. ……………..cont.
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