Honest Money

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Henry Ford once said, “It is well that the people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.”

Are you confused by all the talk about monetary policy, fiat money and inflation? You’re not alone. Bankers and politicians have worked hand in hand for many decades to obscure their activities from the public. They hide behind elaborate structures designed to inflate the money supply while creating the false impression that they are looking out for our best interests.

Inflation is a very simple concept to understand: More money = less value. It may seem contradictory but it’s very straightforward.

For illustration purposes, join me on a brief journey of the imagination. One beautiful morning, you wake up and realize that you own twice as much cash as you had just last night. Magic money elves entered your home and bank account and simply doubled your entire cash assets. You’re now twice as wealthy (or half as poor as the case may be).

But you soon realize that the same thing happened to everyone else in the country. The money supply (total amount of money) has doubled! It’s just a one-time event and your regular income remains the same… you just got lucky this one time. It’s okay to dream, so stay with me.

What happens next? If you’re like most people, you probably start spending. You buy things you always wanted to buy but couldn’t afford. You pay back some debts. You buy stocks. In other words, you put the new money into circulation. So do most other people in the country.

Demand for many products increases because a lot more people can afford them now. Consumers are buying so much stuff that some shortages occur. To protect themselves against these shortages, shops and businesses decide to increase their prices. They know that once prices go up, fewer people will be competing to buy the same products, and the situation will be back to normal.

As a side effect of these higher prices, shop owners start earning higher profits than usual. They have more money in their bank accounts, which allows them to increase their spending. They will invest in new stock or expand their business. They might pay out dividends to their investors and bonuses to their employees, allowing these people to buy more products as well. This additional demand puts even more pressure on other shops to increase their prices.

A few months later, prices of almost everything have gone up. Suppliers and manufacturers are faced with the same threat of too much sudden demand from their clients so they too decide to start charging more.

You went on a one-time buying spree and look what happened! Your income stayed the same, but after a few weeks you can suddenly no longer afford the products you used to buy all the time because all prices in the economy have gone up.

Naturally, you demand a higher salary from your employer. If you’re self-employed or in business, you have to charge your customers more money just so that you can maintain your standard of living. Everyone else is in the same situation. Higher prices keep spreading throughout the entire economy, and it’s getting more and more difficult to make a living.

Can you see how this lucky one-time incident which at first seemed so exciting was extremely harmful not just for you but for the entire country? You briefly had a good time but now you’re worse off than before. In our story there are now twice as many dollars in circulation, but your income remains the same and each dollar you earn is worth only about half as much as it used to be. You’re really hoping for those money elves to come back.

As a matter of fact, some people, companies and banks have managed to develop an inside connection to the “money elves”, allowing them to receive new money into their bank accounts whenever they want to. The money is officially a loan (credit), but they know they never have to pay it back… they just “roll it over”, i.e. take up even more debt. With all that easy money in their accounts, and after hearing on TV that stocks only go up and that real estate prices will continue to rise forever, they tend to get a bit lightheaded and start making bad investment decisions. They know that if anything happens to their investments they will be bailed out by the government, so they do not hesitate to take huge risks with their new found “wealth”.

Let’s stop dreaming and look at the reality of things. What if I told you that these “money elves” do exist and that they spring into action not just once in a lifetime, but every couple of weeks? And that they repeatedly give money to their closest friends, but not to you? That prices are going up because the total amount of money in circulation increases, but that you’re missing out on all the fun?

Well, that’s inflation at work. Who benefits from inflation? Only those who are at the top of the pyramid and receive all that new money directly from the source. As you might have guessed by now, the source is the Federal Reserve, and its recipients include the government which “borrows” a lot of new money each year, without any intention of ever paying it back. Another beneficiary these days are failed banks that are being “bailed out” for the good of the “economy”, or defense contractors that receive money to build up our military so we can have a constant presence all over the world and fight never-ending and unnecessary wars. There was even a huge number of small-time beneficiaries who received consumer loans and sub-prime mortgages they would never be able to pay back.

What, then, is fiat money? It’s exactly what we just talked about: money that can be inflated or increased at the push of a button at the say-so of a powerful person or organization. Nowadays most dollars are just blips on a computer screen and it’s extremely easy for the Federal Reserve to create money out of thin air whenever they want to.

If our money were backed by gold and silver, people couldn’t just sit in some fancy building and push a button to create new money. They would have to engage in honest trade with another party that already has some gold in their possession. Alternatively, they would have to risk their lives and assets to find a suitable spot to build a gold mine, then get dirty and sweaty and actually dig up the gold. Not something I can imagine our “money elves” at the Fed getting down to whenever they feel like playing God with the economy.

As you can see, inflation and fiat money are very seductive and beneficial to those at the top, and very dangerous to everyone else and the nation as a whole. That’s exactly what Henry Ford was talking about. He knew that every country that relies too much on fiat money is ruined sooner rather than later.

There is only one possible solution to the inflation problem: Stop creating money out of thin air. But we’re already in such a mess that the only way to have a real impact on the money supply is to increase interest rates so that people pay back their loans and borrow less money from the banks, which decreases the amount of money in circulation. However, higher interest rates might very well crash the economy. So the Fed’s current “solution” to overcoming inflation is… creating even more of it.

Fiat money is a dangerous addiction. Even if the Fed found a way to stop inflation, as long as the current system persists the temptation will always be there to resume pushing the easy money button. That’s why we need to get back on the gold standard and eliminate the Federal Reserve altogether.

But that won’t happen “before tomorrow morning”, as Henry Ford said, or even this year. Ron Paul believes that the first step towards monetary freedom is to allow open competition in currencies. Once gold and silver are allowed as legal tender and can be sold without sales tax, everyone can use them to store their wealth and to pay for the things they want to buy. The Federal Reserve will finally have a very compelling motivation to stay honest and maintain the value of the dollar because if they don’t, they will simply lose all their customers.

Ron Paul has been an advocate of the gold standard and open competition in currencies for many years. He is the Federal Reserve’s most outspoken opponent in Congress and has frequently questioned Alan Greenspan and Ben Bernanke about the Fed’s actions.

Join the Ron Paul Revolution and help us put the Fed where it belongs: into the history books and out of our financial lives.

More Information

Thomas Jefferson and Andrew Jackson understood “The Monster”. But to most Americans today, the Federal Reserve is just a name on the dollar bill. They have no idea of what the central bank does to the economy, or to their own economic lives; of how and why it was founded and operates; or of the sound money and banking that could end the statism, inflation, and business cycles that the Fed generates.

Dedicated to Murray N. Rothbard, steeped in American history and Austrian economics, and featuring Ron Paul, Joseph Salerno, Hans Hoppe, and Lew Rockwell, this extraordinary new film is the clearest, most compelling explanation ever offered of the Fed, and why curbing it must be our first priority.

In this 1988 interview, Ron Paul talks about money, banking and the Federal Reserve, and predicts the current financial crisis.

Show: American Power Structure
Date: August 1988

Explanation of Fiat Money:

Here’s an amazing introduction to the history of the US dollar:

The American Dream Film:

Ron Paul Money Lecture Series — “What is Money?”


7,318 responses to “Honest Money”

  1. darmowe pozycjonowanie strony

    Howdy our house loves your current wonderful web site and pls keep the ball going

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  2. Shogun Bullet Hell Shooter

    Honest Money I was recommended this blog by my cousin. I am not sure whether this post is written by him as no one else know such detailed about my difficulty. You are incredible! Thanks! your article about Honest MoneyBest Regards Lawrence

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  3. Jim

    Well well, I see the debate continues. I haven’t been on here in a while.

    Would anyone care to explain this to me?

    During times of war, many nations counterfeit their enemy’s currency and inject it into the enemy’s economy. Why? Because it WEAKENS the enemy’s economy through the inflation it causes.

    We have used this before in the past. The fed KNOWS exactly what it does. It HARMS an economy.

    So explain to me, how using a tactic, that is normally reserved for use against an enemy, is going to somehow do the exact opposite of what they KNOW it does.

    It HARMS an economy.

    »crosslinked«

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    1. Citizen

      James,
      YOU’RE RIGHT.. enemies counterfeit each others currencies to “destablize” their respective enemy economies, but uncle Ben does it to “stimulate” growth.
      Hmmm hasn’t worked yet??

      Welcome back… a whole new crop of bloggers has shown up.
      Even a few FED apologists.

      The “Mathematically Perfected Economy” [aka central money planners] people have vanished…I suspect that they discovered their numbers just didn’t add up.

      A lot of the same old misinformation about the Gold Standard and ignorance about the FED…

      TEA

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  4. Citizen

    E=mC^2

    E is the energy
    C is the “constant” speed of light

    M is GOLD (AU) the CONSTANT MASS of the material world

    Fiat Paper Currencies are the VARIABLES that constantly lose their value.
    Fiat currencies are the method of Government’s theft of our prosperity

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    1. monetaryjustice

      @Citizen Interest over falsified debts is the method. Nothing wrong with paper (our promisses to each other) without the middleman (banks) and strict money management rules in place. Gold won´t save us

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      1. Citizen

        Monataryjustice,

        You are right… “gold won’t save us”
        People confuse the “gold standard” with actual physical gold as currency.

        We don’t need gold coins as a currency per se…
        We need a commodity based currency that is linked to hard commodities like, oil, copper, silver, wheat and even gold.

        The point is that “paper notes” indiscriminately printed out of thin are are are lies worth nothing in current value, and are worth MUCH LESS in time.

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  5. Citizen

    Mind Boggling…

    The current Whitehouse spin is that the “Buffet Rule” will help reduce the deficit and put America back on the road to prosperity.

    WHAT A CROCK OF MALE BOVINE EXCREMENT!

    Even it if passed tomorrow by 100% of both houses and King Obama signed it “retro-active” the most it would generate is LESS THAN $5 BILLION….

    Now let’s put that in perspective…..
    Out Federal Government is currently spending $3.8 TRILLION annually.
    thats $3,800,000,000,000.00

    $5 Billion is
    5,000,000,000.00
    or only 0.13% LESS THAN 1%

    NOW some more perspective…..
    The government is spending a NUT of $10.4 BILLION per day…
    that PER DAY!!!!!!!

    Government could tax 100% of the riches money away and still not be able to cover that DAILY NUT!

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  6. USA

    I like how more people are trying to back citizen about what he says saying he’s a conspiracy theorist… He’s making the most sense actually. Think about it… Let’s say I go and make a money printing machine and just start printing twenties like crazy. Even though I have nothing to back it up, is it still worth 20 bucks??? tell me that savethefed… because that’s exactly what the FED does. If you think otherwise you’re ignorant.

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    1. No ignorance allowed

      Read again. Citizen was accused of being a conspiracy theorist because he claims that the government hires out tons of Keynesian economists to lie to the people. Everyone knows that the FED prints money out of thin air. Just some of us don’t care.

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      1. Citizen

        Hi NoIg…

        It’s a superfluous point HOW government(s) defraud their citizens.
        The fact is that its the universal method of choice, debase the currency.

        “some of us don’t care”
        That’s the “slow boiled frog” response…

        Our country was established, in part, under the principal of …
        “No taxation without representation”

        Debasing the currency is simply Taxation without the consent of the governed. As long as the water is only luke warm, the frogs don’t sense any danger and just keep carrying on.
        Inflation is a slow boil pot, WE the People won’t know we’re cooked until its too late to jump out. And now the boil is just starting to show….

        Those who “don’t care” are Traitors to our country. If YOU know a CRIME is being committed, YOU have a patriotic duty to act to protect the innocent and future generations, to preserve and secure their Liberty!

        Fiat money printing is fraud and a criminal act by the political elite and corruption at the very base level of our countries foundation.
        If WE don’t act, the blood is on OUR hands!

        And “There Will be Blood”
        (movie title 2010 w/ Daniel Day Lewis)

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  7. FED openent

    OK, my cousin and I debated on this subject yesterday. He is learning econ in highschool, and I am a ron paul supporter in Middle school. He says that gold is only valuable when people think that it is valuable. When I brought up the point that paper is worthless, he said that gold is worthless if people think that it is worthless. He also says that the FED makes our economy stable and that the free market is a powerful tool, but it could get out of hand very fast like the housing bubble. I myself am a libertarian, but my cousin believes governement is the solution. Is it really?

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    1. Citizen

      Fed Oponent,

      Your cousin is confused…
      “FED makes our economy stable”
      Or so their charter claims they do.
      The truth is that the FED has been the principal cause of the Boom-Bust business cycles and instabilities over the last 99 years.

      “that the free market is a powerful tool”
      The Free Market is not a tool, it is the polar opposite of a Command and Control economy, an economy that is totally run and directed by a Marxist government. In a command and control economy, the government decides what is produced and at what price it is produced. Prices are set and production is pre-determined by a central command authority. Like ObamaCare

      A Free Market is one where the government has little involvement. In a free market, the Price Mechanism dictates the flow of capital and goods produced and where the Consumers determine what is produced and what the are willing to pay… Apple iphones

      “my cousin believes governement is the solution.”
      Like I said above…

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      1. FED oponent

        I completely agree, but my cousin keeps saying that the housing bubble of 2007 burst because of the free market. I said that the FED was the one who lended the money in the first place to the banks, then those banks called up their contractors to find more mortgages, then when the prime mortgages were depleted, they went for sub-prime mortgages. When more and more houses re-entered the market due to the lack of dependablitity of those sub-primes, houses go down in prices. Soon the bank who borrowed tons of money from the FED now can’t pay it back because the leverage was now just a box of worthless houses. Is there anything flawed with my explanation? Or is my cousin right about the consequence of the free market?

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        1. Citizen

          Hi, FED Opponent ,

          It all started with Pres. Carter’s Community Reinvestment Act (1976).
          Bill Clinton directed his AG, Janet Reno (1995) to sue the banks that refused to make loans under the CRA law, forcing them to make loans to otherwise “unqualified” borrowers.

          You know, the kind of borrowers that, have no jobs, have no tax returns, have no down payments, etc. In otherwords, if you have a pulse, you were suddenly qualified for a home loan… no questions asked.

          It gets worse… Congressman Bawney Fwank (4th Dist MA) had a boyfriend at FreddieMac (cheap government loans) and told the banks…
          “don’t worry, we the Government, will buy all of those worthless loans and guarantee them… No Problem”

          The deck was stacked and the “HOUSE” (litteral) of Cards came tumbling down 2008.

          FREE MARKET?…. not even close!
          A manipulated housing market contrived by Government agency interference at multiple levels, creating an unsustainable market condition, a Crash fabricated and underwritten by the FED’s easy credit policies sponsored by Congressional coersion, plain and simple.

          Oh… about the “greedy banksters” absolutely, Capitalism counts on that being a fact of life. Banksters wouldn’t make those loans unless they were FORCED by the CRA to do so.
          But No Worry, WE the People bailed them (banksters) out

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    2. End_The_Fed

      With the FED in place since 1913, we have had 18 recessions because of their so-called market stabilizing. YOU CANNOT STABILIZE SOMETHING THAT DOES NOT HAVE A CONSTANT. They treat the market as if there is some magic formula, but there isn’t. It comes down to the basic supply and demand cycles. They are printing money and giving it to major financial institutions nearly interest free, while they loan it out and make profits on higher interest from free money. Its the best ponzi scheme ever.

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      1. Citizen

        End the Fed

        Your Right, the “special treatement” is for the Crony Capitalists Banks and other Big Businesses that have Political Elite favor

        Its also known as FASCISM…

        It’s when Big Government directs Big Businesses to do its bidding in the market place.
        There is NO Competition and the FED arranges the payments.

        It’s the Perfect Economy…as long as your BIG business.

        and WE the People LOSE !

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  8. Citizen

    Hi NIA aka “National Inflation Association”

    U Wrote: “A lot of them use their money to better the poor people…”
    I agree, there are a lot of philanthropist who do a lot of good. But I’m talking about the 1% who are the government Central Planners who have a New World Order in mind. A NWO that believes the herd needs to be thinned out and fleecing the sheeple is just part of the strategy to amass their fortunes.

    U Wrote: ” the little bit that fiat money hurts us Americans does not even compare”
    If it were ONLY just a “little bit” I’d have no complaint. For 42 years since Nixon closed the gold window and welshed on Americans payment of its debts in REAL MONEY, American’s have paid the price in terms of an errosion of our living standards. The dollar has lost 85% of its buying power since 1972 and we have become the proverbial “slow cooked frog in the pot” At first we didn’t really recognize the problem, but now we are near being fully cooked as the pot comes to a full rolling boil. You should already know this, but just for giggles, go the KC Fed Reserve web and look at the M1 monetary base, the exponential rocket increanse since 2008. They won’t publish the M3 anymore for fear of riots in the streets.

    U Wrote: “you just have radical views…What is your opinion on a solution to the deficit?”
    I have grandchildern and I view the deficit as being an anchor around their necks. Printing paper notes is no solution to the moral hazard or “mental illness” where a parent sells his/her childern into economic slavery so that they can Party their lives away. As Jeremiah Wright likes to say “them chickens have come home to roost”, meaning that DEBT will be paid back, maybe even in massive warfare bloodletting. The Chinese aren’t just going to take another IOU for much longer.

    U WRT: “…I think America has 2 options: 1-stop reckless spending especially with starting wars and/or 2- increase the taxation on the people.
    #1 As Ron Paul says in his champaign, “cut a trillion immediately” AND “balance the budget in three years” This would simply mean that the Govenment would have to be cut in to 1/3, from 37% of GDP to 12% of GDP, then and only then can our economic base recover and compete in the world market.

    #2 Raise Taxes, They HAVE!!! that’s essentially what DEBASING the currency QE2, QE3…etc is, TAXATION of the entire population to cover our Government’s spend thrift ways. To pay $16 Trillion of debt off, we’d have CONFISCATE ALL (100%) of the countries entire GDP in excess of direct costs for a period of 32 years without any inflation, simply IMPOSSIBLE.

    U WRT: “Also do you agree with Dr. Paul’s ideas of competing currency to introduce the gold standard back?”
    YES… competing currency means resinds the Legal Tender laws, permitting citizens to use other currencies to transact business. It was no mistake that the Government set up the INCOME TAX, IRS and the FED in the same year.
    February 3, 1913 when the 16th amendment was questionably ratified AND the FED on Dec 23rd, 1913.
    Permitting competing currencies would break the FED’s strangle hold over the STATES and they could legally MINT and use coins per the Constitution.
    People would conduct business in the “prefered currency” and the IRS would go bust.

    U WRT: “moved permanently away from the gold standard and will never return.”
    FIAT currencies throughout history have always failed, the USD will be no exception. Even the NWO folks know the dollar will collapse and they intend to replace it with a new World currency and a promise to “back it with gold” of course NO ONE but the elites will be able to exchange it for gold, so the lie will continue at OUR expense.

    U WRT: ” give the economy the control that a private central bank provides.”
    That is the the mantra of the Central Bank advocates chant, “stability and control” while the truth is just the opposite, the patterns of BOOM to BUST are a direct result of unbacked money credit creation “easy money” and the invariable liquidity collapse… the BUST.

    U WRT: “think they are all just a bunch of thieves…”
    You do know that the “road to hell is paved with good intentions”
    The FDR gave us Social Security and Wage Support laws Davis-Bacon, LBJ Great Society 1967, the “War on Poverty” gave us Medicare, and Welfare, GWBush gave us Gov prescription program, Obama gave us….
    So now we can’t pay for any of it with simple tax collections…we’ve far exceeded our ability to pay, plain and simple.

    U WRT” “Why do you not accept Keynesian economics? ”
    John Maynard was a “good” economist, definitely not brilliant… but he published his The General Theory of Employment, Interest and Money, essentially arguing that Government should INTERVENE and MANIPULATE via monetary policies to mitigate unemployment… But every time government intervenes, it interrupts and suspends the Price Mechanism that normally redirects precious capital resources into more efficient uses. That’s the Free Market capital economics that Milton Friedman taught… Free to Choose.
    Modern “Keynsians” are on government intervention on Steroids, to them Government is EVERYTHING and must run our lives cradle to grave,

    Welcome B.Hussain Obama.

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    1. No ignorance allowed

      When you started talking about a NWO it really caught my attention. There is allot of evidence for this, especially Biblical evidence that we are headed there. Whether or not changing monetary policy will have that big of an impact on this up and coming new world order is debatable. It also looks like we are headed towards a single world currency. Heck, Israel will probably buy into the Euro pretty soon, at least they have been talking about it (so I’ve heard). Honestly whether it is gold or paper money the government will still be there (because many people want big government) and the corruption that it brings will always be a present force in this world. America once shined brightly as a beacon of liberty and hope, but now it seems that the lights are going out. Much like Sir Edward Grey remarked about Europe on the verge of world war 1, I also think that “The lamps are going out all over America. We shall not see them lit again in our time”. It would be great to be proven wrong, but sadly I doubt that these lights will ever shine again.

      Anyways, Exams are calling me.
      I’ve enjoyed our debate.

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      1. Citizen

        N.I.A.,

        YOU students are the last best hope for TRUTH and JUSTICE to survive.
        I pray we won’t have to bear arms to resist the Tyranny that appears to be building by the week.

        The GOLD is a standard that can’t be fabricated.
        Our Constitution is the source for the STANDARDS… for weights and measures.
        Few know that the “dollar” was defined as 371 4/16th grains (24.057 grams) of pure silver, Coinage Act 1792.

        So what is the dollar now??? Ben Bernanke sure isn’t saying is he.

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  9. No ignorance allowed

    Dear Citizen,

    Let me kindly offer you some wisdom.

    You said
    “The same fiat printing pestilence is destroying their economies as well.”

    You are suggesting that the entire world economy is falling apart because of their monetary system. This is completely false and there is no reason to believe it whatsoever. Monetary policy is only 1 part of what allows an economy to function. What really makes an economy function are things like the natural resources that a country possesses, the food it produces, and all the people who are working to support the technology industry, agriculture, and all the other “stuff” that the people of this world work hard to make. As long as farmers keep putting seeds in the ground, Arabs keep pumping oil, and Chinese people keep making iPhones, the world economy won’t crash. This is because the economy is not based on 1 printing press or a few bags of useless (yes I said useless) gold. Mankind continues to thrive and work hard to produce the things that it needs. Your very similar to a conspiracy theorist arguing that 911 was planned by Bush. Some people believe it, but most rational people who have sound minds reject it because of lack of evidence. I am sad to inform you about this, but most significant economic minds today will not agree with your ideas that the world economy is being destroyed by monetary policy. Do you have a good reason for why so few people who are very educated in economics find your ideas silly?

    Perhaps another conspiracy?

    You also said -NO, they will self implode as do all eventually do when they engage in relentless currency fraud. A commodity currency standard always returns when the paper flames out.

    Dude the whole reason currency is debased is because there aren’t enough commodities to back the money up. Hence, money and it’s value is tightly connected to commodities. Also paper doesn’t flame out. Did you know that the Federal Reserve can and has caused deflation before? Yes, they actually took money out of circulation.

    If you only realize one thing realize this. Money works because people believe in it. Gold is something that people have always place allot of faith in. They placed this faith in gold because they believed that something that is shiny and pretty scarce must be very valuable. The only thing gold has going for it is the fact that it’s shiny and scarce. It is the relentless idiotic faith that people place in gold that makes it a good asset. This is why banks hold gold reserves. It’s not because the gold is actually valuable in our society, it’s because tons and tons of people (yourself included probably) believe that shiny gold stuff is very very valuable. Hence, faith gives something value that it shouldn’t rightfully have. This entire gold standard argument is presented by people who, like the most primitive men, have this undying faith in shiny gold metal.

    One last point- The reason the FED and other central banks pump money into the system is because of the spending habits of people holding the money. Say instead of money everyone traded with gold. When economic decline sets in (from natural causes) people hold onto their money. In order for the economy to grow and thrive money has to move between people. So when the FED gives banks loans, the interest on the loans that bank give out decreases. This literally forces people to take out loans because hardly anyone can resist low interest loans. Hence people begin moving their money. They buy things which keeps other people employed making these things. Once the money starts moving again the economy naturally begins to grow and the people who took out the loans now still have a job which they can use to pay off these loans. Hence the FED has stimulated the economy in a very very controlled manner.

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    1. Citizen

      Morning “No Ignorance Allowed” aka “SaveTheFed” aka other avitars

      This response is Econ Course 604 “Politcal Intervention”
      (manditory curriculum of the “Statist” minded trolls)

      YOU WROTE “falling apart because of their monetary system.”
      CORRECT…From Greece, Ireland, Spain to Zimbabwe the story remains the same…. creating debt money out of thin air that can never be paid back spell economic collapse! What part of this do YOU not understand…yet?
      EVERY souverign nation that FORCES Legal Tender on its citizen and then proceeds to systematically DEBASE that monetary system is simply STEALING private property… THEFT. Transfering wealth from the private sector (We the People) to the Poltical Elites (We the Government).

      YOU WROTE “This is completely false and there is no reason to believe it whatsoever.”
      Yeah right…. that’s what the Keynesian Kool-Aid does to the weak leftist mind!

      YOU WROTE: “all the other “stuff” that the people of this world work hard to make”
      YES… and then Government(s) (without exception) systematically use their Central Banks to dilute, inflate and redistribute that “people’s hard work stuff” to malinvestments like WarFare and WelFare spending. Governments can’t tax enough to pay for those programs…. so THEY use cyber cash inflation as the prefered and SECRET method… That’s why NO GOV POLITICIANS will ever Audit the Fed, the truth would likely launch a bloodbath on the steps of Congress.
      Our Congress is essentially telling US..”Let them eat cake” [M. Antoinette 1775]
      While the common people are starving for jobs and the privalaged apparatchik government royalty are paid (30% premium) union wages and WE the sheeple are simply to be fleeced.!

      YOU WRITE: “few bags of useless (yes I said useless) gold.”
      WRONG! gold serves a very USEFUL function… It restrains Governments incessant monetary fraud upon WE the People. Gold hold the government ACCOUNTABLE to Constitutional Standards of Regulating the Weights and Measures. Governments uses their FORCED Legal Tender rules to perpertrate wealth transfers to their crony friends; Taxation without Representation.

      YOU WRITE “Mankind continues to thrive and work hard to produce the things that it needs.”
      YES, but Government’s “continues its theft” by incessantly deficit spending on its Poltically favored Elitists Crony Capitalist programs and that FRAUDLENT SPENDING quietly and secretly bleeds our private prosperty away.

      YOU WRITE: ” Your very similar to a conspiracy theorist…”
      NO…. nice Sal Alinsky try, but this is no conspiracy but simply a common CANCER of all modern governments that use Central Banking fiat currencies to monetize their debts WITHOUT the consent of the governed.

      YOU WRITE: “lack of evidence. I am sad to inform you about this, but most significant economic minds today will not agree with your ideas that the world economy is being destroyed by monetary policy. Do you have a good reason for why so few people who are very educated in economics find your ideas silly?”
      YES I DO!
      Governments hire Keynsian INDOCTRINATED “educated economist” because they justify this government transfer of wealth theft. Those “educated economist” LIES are the a cancer feeding on every nation that allows it’s government to use PAPER NOTES with no intrinsic. Unbacked paper money is UN-ACCOUNTABLE THEFT

      YOU WRITE: “Dude the whole reason currency is debased is because there aren’t enough commodities to back the money up. Hence, money and it’s value is tightly connected to commodities.”
      PRICELESS…. simply priceless!
      So you’ve never heard of Greshams Law… and obviously don’t understand scarcity and issues of price mechanisms. I’m sorry, you need to bone up on Econo 300 series classes “dude”!

      YOU WRITE: “Money works because people believe in it.”
      YES, sadly the anthiests will drink any kool-aid given to them and “believe” that Government is the solution.
      “IN GOD WE TRUST” And our Constitution MANDATES that our GOV pay in gold and silver!
      So NO, I do NOT TRUST IN GOV!!!!

      YOU WRITE: “It is the relentless idiotic faith that people place in gold that makes it a good asset…”
      GEE WIZ KID… I think you’re catching on… Government(s) CAN’T PRINT IT!
      So they can’t defraud WE the People with their PAPER NOTE LIES!

      YOU WRITE: “because of the spending habits of people holding the money.”
      Yeah yeah yeah… The old “paradox of thrift” Keynsian drivel of people saving money hurts the economy so YOU, the all knowing CENTRAL PLANNERS must counter this HOARDING by DEBASING those savings! LOSER argument!

      YOU WRITE: “Hence the FED has stimulated the economy in a very very controlled manner.”
      Yeah right….Which FED Reserve branch do you work at??? You should get a REAL job where you don’t have to write these academic lies and APPOLOGIES for the FED as a web troll.

      Happy 100 years Titanic Anniversary
      I’m hoping for the death of the FED BEFORE its 100th Anniversary!
      Dec 23rd 2013

      TEA

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      1. No ignorance allowed

        This is priceless.

        I said your a conspiracy theorist and you said-
        NO…. nice Sal Alinsky try, but this is no conspiracy but simply a common CANCER of all modern governments that use Central Banking fiat currencies to monetize their debts WITHOUT the consent of the governed.

        Later, you thought again and decided that conspiracy was the way to go. YOU SAID -Governments hire Keynsian INDOCTRINATED “educated economist” because they justify this government transfer of wealth theft. Those “educated economist” LIES are the a cancer feeding on every nation that allows it’s government to use PAPER NOTES with no intrinsic. Unbacked paper money is UN-ACCOUNTABLE THEFT

        Story is the same. Governments hire highly educated people to lie to you. That is pure conspiracy bull crap sir. Governments around the world hire highly educated people to lie so that they can skim a few bucks off of the backs other hard working people? That’s laughable my friend. What do you think about illuminate theories? Surely they must be reliable too! The sad part is your leader. Poor Dr. Paul, a highly trained medical professional who must have taken economics classes on the side while he was in medical school (sarcasm). Surely he must be right! You and a handful of others have been indoctrinated by him quite heavily it seams, while the rest of the people IN THE WORLD who study economics realize the advantages of central banking. Yet only a few rowdy “revolutionists” care to voice the truth because everyone else is hired by the government to lie to people. Sounding stupid yet? It sure does to me.

        You must also be a hardcore libertarian. All this wining about how the government is ruining everything. You said something interesting-
        Government(s) (without exception) systematically use their Central Banks to dilute, inflate and redistribute that “people’s hard work stuff” to malinvestments like WarFare and WelFare spending. Governments can’t tax enough to pay for those programs…. so THEY use cyber cash inflation as the prefered and SECRET method… That’s why NO GOV POLITICIANS will ever Audit the Fed, the truth would likely launch a bloodbath on the steps of Congress.
        Our Congress is essentially telling US..”Let them eat cake” [M. Antoinette 1775]
        While the common people are starving for jobs and the privalaged apparatchik government royalty are paid (30% premium) union wages and WE the sheeple are simply to be fleeced.!

        Forget about auditing the FED man, that’s a bit low action. If you really wanted to shake things up in America just impose the American people to taxes that the rest of citizens in industrialized societies have to pay. Within 5 minutes there would be no Washington DC left, every government worker would be shot dead (cuz you guys love firearms), and you would be left with no government. Oh wait THATS WHAT YOU WANTED IN THE FIRST PLACE!!

        I absolutely adore your final statments. YOU SAID_ Yeah right….Which FED Reserve branch do you work at??? You should get a REAL job where you don’t have to write these academic lies and APPOLOGIES for the FED as a web troll.

        I’m surprised you didn’t pick up on this already. I get paid a 6 digit salary from the FED for arguing for Keynesian economics and central banking policy on online forums. It’s great man! My professor of economics hooked me up after I argued relentlessly with him about how we need to return to the gold standard. He told me that everyone in economics knows that the gold standard is better than central banking and the entire world economy is collapsing, but that I could make lots and lots of money if I shut up and preach about how we need a central bank. So he hooked me up with this sweet contract! I can even work while I’m in school because they just pay me in “out of thin air” money at no cost to themselves. You seem to know allot about economics man so I would get on the ban wagon. There’s money to be made bro! Forget about the truth just join us. I can hook you up with all the connections just email me at- conspiracy_bs@hotmail.com

        All this money is waiting for you. Just respond!

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        1. Citizen

          Evening NoIgnoranceAllowed…

          First, I’d like to thank you for your dialogue without resorting to expletives and character assisination.

          I appreciate a good debat on the issues, few will engage in a discussion the aren’t well read about.

          That said, you really didn’t respond to my points. I suspect that the historical FACTS are hard to dispute, especially if your an diehard advocate of the Central Bank fiat paper them scanm.

          I know what I said, so no need to re-past my writing unless you intend to challenge my statement, WHICH YOU HAVE NOT DONE.

          YOUR POINT: ” lie so that they can skim a few bucks off of the backs other hard working people? That’s laughable my friend.”
          NO it is NOT laughable… it is TREASON, when the leaders of nation sell their citizens into indentured debt slavery.
          Just take the exampe of Obama’s last 2012 budget of $4.2 Trillion proposed a $1.8 Tillion deficit. 481 votes AGAINST, NO ONE voted for it. 1085 days of NO budget and his entire first term is a testiment to Leftest wreckless spending.
          The FACTS, the entire US economy is just $12 trillion GDP, tax collections are $2.4 Trillion (Federal only). PLUS $1.8 Trillion of DEFICIT (money no one will, much less can lend to us, they don’t have it either) so we just monetize “print” it. So now government is 37% of our GDP. So Government uses the Central Bank fiat money option to fabricate air money to pay its obligations.

          YOU WRITE: “rest of the people…realize the advantages of central banking”
          I think you really mean the Ruling Elite “realize the advantages” of wholesale theft. The FED has no real assets, but they do have a monopoly on the dollar printing presses and they don’t account to anyone for anything. No “conspriacy” just a License to Steal Monopolly

          YOU WRITE: “hardcore libertarian. All this whining about how the government is ruining everything.” (paste my entire post)
          Again, you’ve made NO counter point

          YOU WRITE: “Forget about auditing the FED man, that’s a bit low action. If you really wanted to shake things up in America just impose the American people to taxes that the rest of citizens in industrialized societies have to pay.”
          FINALLY, you say something revealing…essentially admitting that absent a Central Bank printing press, all governments would have to directly TAX the citizen for what they spend, which would result in outright revolt.

          “Within 5 minutes there would be no Washington DC left, every government worker would be shot dead”
          NO, but there would be a TAX revolt for sure. But now only half the people have to pay taxes, to support the other half… hoorah the Welfare State.

          YOU WRITE: “cuz you guys love firearms”
          NO, wez guyz love our Constitution and the 2nd Amendment allows uz to defend ourselvz and ourz familiz

          YOU WRITES “My professor of economics hooked me up…”
          Now that part is plausible, what school probee?

          Hugo Chavez U.?

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          1. No ignorance allowed

            Citizen

            I’m sorry for maybe attacking your personal character. The major point I was trying to make is that your opinion of returning to the gold standard is not a popular one among those who study macroeconomics for a living. The last part was just me trying to point out how foolish the idea of a major global conspiracy centered around a monetary system is. I do understand your idea about how it’s not a “conspriacy” just a License to Steal Monopolly. However I don’t particularly like the way you generalize the “Eliete” class of America. I know allot of wealthy American people who donate much of what they make to charities and these are the people that give America the reputation of one of the most generous countries in the world. So to make generalizations like all the “Elites” are encouraging “wholesale theft” is inaccurate. I also think that many don’t understand monetary policy and economics. So although they are part of this “Elietest group” they could be oblivious to the fact that apparently they are robbing poorer people. Heck, allot of them use their money to better the poor people so I think it’s bad making these generalizations.

            Also my comment about tax increases was to point out how the rest of the world deals with governments “robbing them”. If you look at the taxes that some European countries have, the little bit that fiat money hurts us Americans does not even compare. Which leads me to my next question. You seem to be very knowledgeable about economics (and I’m being serious), you just have radical views. You mentioned briefly America’s deficit. What is your opinion on a solution to the deficit? Personally I think America has 2 options: 1-stop reckless spending especially with starting wars and/or 2- increase the taxation on the people. And definitely the budged has to be changed with allot more focus on getting out of debt. What is your opinion? Also do you agree with Dr. Paul’s ideas of competing currency to introduce the gold standard back?

            Personally I think world economies have moved permanently away from the gold standard and will never return. I also know professors who think the same. Governments and those in power like to give the economy the control that a private central bank provides. I do not think that the reason for this is simply so that they can rob people. I like to think that there is a tiny little part of their plan that involves making sure economies stay afloat. You probably disagree with that and think they are all just a bunch of thieves, but I guess you are entitled to your opinion. When it comes to historical facts, countries that leave the gold standard generally don’t go back, but hey you never know I guess.

            Also when I mentioned the old “paradox of thrift” by Keynes you just stated that it was a looser argument. Why do you not accept Keynesian economics? I personally think Keynes was a very brilliant economist with decent ideas. That doesn’t mean I am a Keynesian fanatic, I just think he was very smart.

            By the way you bit my conspiracy theory hook when you said that you thought it was plausible that my economics professor would hook me up with a 6 digit FED salary. If all economics professors are being paid off by the FED to feed people lies, than what you are suggesting is a full blown conspiracy. Maybe it was just sarcasm that I did not pick up on.

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    2. Jim

      Here is a quote I found that dismisses the whole, not enough gold theory.

      ” Imagine you’re a baker, and the price of a loaf of bread is 1/100 oz of gold. The population and the economy grow, and there are now many more loaves of bread (and more of every other good and service, plus new goods and services). If the price of bread is 1/100 oz gold, but now there are many more loaves of bread, we would need more gold in order for people to be able to buy you’re bread. So you have all this extra bread, but since there isn’t any extra gold in the economy, it just sits on the shelf because people don’t have the gold to pay for it. What do you, the baker, do? Do you keep charging 1/100 oz, leaving the excess bread to mold? Or do you lower the price, maybe to 1/150 oz, or 1/200 oz, in order to sell off your remaining stock? You would find, as all producers do, that 1/150 oz, while less than 1/100 oz, is still better than 0 oz, and you would do the latter, that is, to let the price adjust until you can find a buyer for all of your goods. Fortunately for you, the miller is in the same position, needing to drop prices in order to find buyers for all of his flour.

      Or, imagine if we all wake up tomorrow morning to find that all of our money – checking accounts, savings, cash on hand, etc. – have all been cut in half. I had $20 in my pocket last night, now I only have ten. I come to you, the baker, in a panic. I explain that I need to buy my daily bread, but I have lost half my money. You, of course, have been hearing the same thing from all of your other customers, indeed, saw the same happen to yourself, and have discovered the miller in the same situation. There would be disruptions with such a sudden shift, as prices get sorted out, but in (probably short) time, we would see prices adjust to roughly half of what they were before.

      Don’t get to wrapped up in the details of this – they are abstractions to illustrate a point – but they show how the supply of money doesn’t matter in the way that someone who objects that we wouldn’t have enough gold thinks it does. Money conforms to the law of supply and demand just like any other good. So long as no one (read: the state) is preventing prices from dropping, the particular supply of money doesn’t really matter. The general price level is a function of the quantity of goods and services in relation to the quantity of money. For a given quantity of goods and services, more money = higher prices, less money = lower prices. Conversely, for a given amount of money, more G&S = lower prices, fewer G&S = higher prices.”

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    3. End_The_Fed

      Your name is full of irony ‘No ignorance’. So keep believing in the dollar blindly if you want, shit will hit the fan, its inevitable. The markets are artificially propped up on fake fiat currently. Once the supply stops, the markets will correct themselves in a drastic way. Notice what happens right after they initiate more QE supply of fiat. Markets go up a bit, then come down again. We cannot spend our way out of this because we have no GDP to back it up.

      I suggest you read the greatest speech written in the last decade. The Austrians theories and predictions have a great track record of being true.

      http://www.economicpolicyjournal.com/2012/04/my-speech-delivered-at-new-york-federal.html

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  10. RonP4ulisdaM4N

    “If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them (around the banks), will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered.” by: Thomas Jefferson
    (1743-1826), US Founding Father, drafted the Declaration of Independence, 3rd US President

    http://www.iamthewitness.com/DarylBradfordSmith_Rothschild.htm

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  11. cpanel reseller hosting from

    I was recommended this web site by my cousin. I am not sure whether this post is written by him as no one else know such detailed about my problem. You are wonderful! Thanks! reseller hosting | cpanel reseller |

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  12. realist

    Even though I don’t fully agree with his monetary policy ideas I do think it would be sweet if Dr. Ron Paul could become president. He shows this consistency about what he says and he totally practices what he preaches. America could truly use a President like him. It is totally a shame that he probably won’t make it, but it’s not over yet! And if he doesn’t get in I think we might actually end up trading firearms when America (and the world) gets run into the ground by the greed of man. What this world really needs is a Savior who’s Kingdom is not of this world.

    -May we all contemplate the meaning of the cross and the sinfulness of man this Easter season.
    God bless

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  13. USA

    First, I love the comment about guns being currency, that would be sweet.
    Second… If you honestly think the FED is saving America, actually reporting in everything that they do, and if you think Gold ISN’T money, you are absolutely dumb. How is Gold not money? Couple hundred years ago it was used as money, and for quite a long time. Same as silver. Gold Standard all the way, and Audit the Fed please. I hate to say this but I don’t think Ron Paul will get elected. I am all for him being president, but the electoral college decides who is president in the end and no matter what, they won’t pick him. Which is sad because that’s truely how corrupt our government is and I wish the world wasn’t like this.

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    1. SaveTheFed

      “if you think Gold ISN’T money, you are absolutely dumb.”

      The goal of an economy is not to gain money. Money is simply a lubricant that allows the effective transfer of goods and services between people (and countries). The measure of the worth of an economy is the amount of goods and services it produces. Why does this lubricant have to be gold?

      Money is a matter of FAITH and it always has been. The gold coins used back in the “olden days” were only “money” because of the inscription stamped on the front and back of them, not because of the material they were made out of. Money is a matter of “FAITH”! please understand this concept, or you will never truly understand how markets and economies work!

      Gold is good for making jewelry, high end electronics period. Beyond this it has no worth in our modern economy: and why should it?

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      1. Citizen

        SaveTheRed Ink

        “Money is simply a lubricant that allows the effective transfer of goods …”

        REALLY?…. well with Uncle Ben at the wheel, we are really…
        “greasing the skids and slipping away” into the abyss.

        Thank goodness that we have plastic debit/credit cards, if we had to use real cash to operate our day to day affairs, most people woul have to keep several hunderd Franklins in ones wallet just to make it through a week.

        Plastic money lulls people into an ignorance of the costs that are rising day by day.

        We are now swimming in “lubricant” but still no jobs, no commerce and soon food shortages. Once the currency overwhelms the natural commodities resources start to become scarce.
        An excess of “lubricant” invariably drowns market production and survivial commodities become barter items.

        You may “SaveTheFed” but at the expense of the country.

        TEA

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      2. USA

        Because of how they were stamped? really? They weighed it…. Der.

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  14. Richie

    The problem is the entire monetary system and the free market system currently in operation. The free market system has already failed, the government is just perpetuating the corruption of the whole system.

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    1. Citizen

      Richie,

      I BEG to differ that the “Free Market has Failed”

      What we currently have is a Contrived Market where Government has INTERFERED with every aspect of trade in the market.

      Free Markets are where people are “Free to Choose” {Milton Friedmen]
      The problem is that most Americans wouldn’t know a free market if it fell on them like an elephant.

      TEA

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  15. Citizen

    “Give me control of a nation’s money
    and I care not who makes her laws. ”

    Mayer Amschedl Rothschild 1766
    http://en.wikipedia.org/wiki/Mayer_Amschel_Rothschild

    Ben Bernanke’s personal hero???

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  16. SaveTheFed

    Just a quick question to you, “Citizen”:

    If we were to enter a depression having implemented the gold standard what approach to end the depression should the government take? Or should the government even intervene at all?
    Basically, are you a Keynesian or are you in support of the Laissez-faire mentality?

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    1. Citizen

      SaveTheFed…

      I am a Laissez-Faire FREE MARKET citizen…

      NO Government has ever solved economic depressions…
      In FACT, governments have been the primary CAUSE of such false booms and eventual economic busts “Depressions”

      The depression of 1921 was deep but brief because “Silent” Calvin Coolige refused to intervene in the financial markets. Within 14 months the market recovered and we had the “Roaring Twenties” BOOM….

      A boom artificially funded by the newly formed FED reserve which handed out liquid credit like it was candy, resulting in the CRASH of 1929.

      Central Bank fiat fractional monetary policy is and always has been and remains the greatest LIE purportrated on any countries people since Mayer Amschel Rothschild tricked the French and British into the “easy money”

      The LIES must end!

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    2. Citizen

      p.s.

      The Government IS the PROBLEM… not the soultion.

      No nation can hope to survive economically with a government OVERHEAD of taxes and government enterprise burden of 37% of GDP as we have now.

      An economic FACT that has rendered ALL American products UNCOMPETITIVE in the world economy.

      TEA

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      1. SaveTheFed

        “The Government IS the PROBLEM… not the solution.”

        Wait a minute….I thought this section of this website was on the evils the Federal Reserve is inflicting on the lives of honest, hard-working Americans, not the government. These are two distinct entities that are independent of one another. The government does not order the Federal Reserve around and vice-versa. You have to be very careful in making this distinction.

        “No nation can hope to survive economically with a government OVERHEAD of taxes and government enterprise burden of 37% of GDP as we have now.”

        This 37% burden had better not be referring to Ron Paul’s ridiculous estimation of inflation. Sometimes i think he gets these numbers while under the influence of heroin. And FYI, Americans pay less taxes than almost EVERY other major county!

        “that has rendered ALL American products UNCOMPETITIVE in the world economy.”

        Really? Last time I checked we were as competitive as we were from America’s history. Yes, some economies (like Australia’s and Canada’s) are more equipped because their Fiscal Policy (not their monetary policy) but this is because their government reduced the defect in times of prosperity by raising taxes.

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        1. Citizen

          “These are two distinct entities that are independent of one another.”

          LMAO… you must be drinking the FED Kool Aid?
          Sure the FED is a “private bank” LOL, and Mayer Amschel Rothchild would have loved that joke..
          I only wish I could print PUBLIC GOVERNMENT money PRIVATELY with no recourse and making the Tax Payers pay the bills.
          I’m wiping the tears from my eyes… that’s just priceless

          “Last time I checked we were as competitive as we were from America’s history.”

          When was that….1955? because starting in the middle 1980′s jobs and businesses have be leaving in droves. We shipped our manufacturering to every third world country and what’s left is service industry and fast food AND
          The MILITARY INDUSTRIAL COMPLEX paid for by the FED cyber cash wealth redistribution system.

          A commodity currency standard prevents the FED from fabricating money out of thin air.
          That’s why Ben hates gold as money… he can’t print it or key it into his open market computer… drats foiled again!

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          1. No ignorance allowed

            You said: LMAO… you must be drinking the FED Kool Aid?
            Sure the FED is a “private bank” LOL, and Mayer Amschel Rothchild would have loved that joke..
            I only wish I could print PUBLIC GOVERNMENT money PRIVATELY with no recourse and making the Tax Payers pay the bills.
            I’m wiping the tears from my eyes… that’s just priceless

            Your ignorance is priceless. The more posts you make the more you sound like a conspiracy theorist. Oh and BTW being a conspiracy theorist will only make ignorant people cling to you. Those of us with sound minds will think you are a fool.

            Let me make just 1 point about returning to a Gold standard. Every economy on this globe uses something similar to the federal reserve. So in order to properly change that you have to revamp the entire world economy. Let’s assume that this is even possible (its not btw) would you like to tell me (using your unmatched economic mind) what would happen if a country like Iran found a massive goldmine on its soil with tons and tons of gold in it?

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          2. Citizen

            No Ignorance Allowed?

            Clearly a misnomer.

            “”Every economy on this globe uses something similar to the federal reserve.”"
            YES, that’s correct and the same fiat printing pestilence is destroying their economies as well.

            “”So in order to properly change that you have to revamp the entire world economy.”"
            NO, they will self implode as do all eventually do when they engage in relentless currency fraud. A commodity currency standard always returns when the paper flames out.

            “” if… Iran found a massive goldmine on its soil with tons and tons of gold in it?”"
            YES I can explain it; the value of the commodity would decline once it flooded the world economy. People would start making common items with it and disgarding it like plastic water bottles.
            But of course your postulate is obsurd. There are no “tons” of easy gold, it remains scarce and it can’t be printed.

            So your “1 point” is…. may I suggest, POINTLESS

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  17. Citizen

    Ronpaul4pres

    “Where every commodity is defined by a standard weight or unit of measure in pure form.” HAS NEVER BEEN EFFECTIVELY MAINTAINED BY ANY COUNTRY ECONOMY WITHOUT REVERTING TO A SYSTEM WHERE MONEY ADDED OUT OF THIN AIR.

    WRONG!!
    Every industry in the in modern world BUYS and SELLS commodities based upon Standard Weights and Common Units of Measures.

    Respect for Contracts defines private and public committment to the Rule of Law.
    It’s ONLY when Governments secretly and notoriously violate the currency in order to gain power does the Rule of Law get trashed.

    “In your fantasy world, a gold standard would actually work and be used by all the major economies of the world”

    Respectfully…. the “fantasy” is the multiple countries that believe that they can “print” or “cyber-number” their way to wealth.
    Our Government and many others are simply paying their purchases for Military Hardware and the Welfare Transfers with Direct Deposits, wire transfers with no tangible source from either Taxes or Hard Assets.

    This deceptions are made easier with the advent of cyber-banking, but eventually the Government will try and purchase REAL WORLD scarce commodities and the producers will say NO Thanks, we don’t want any more of those “magic photon pop up numbers”, we want REAL money, pay us in silver or gold bullion.

    This is already happening in the middle east where the Petro-Dollar is loosing its purchasing power. The Chinese and others are paying in metals, finished goods, and contract construction projects.

    “it has never been sustained before changing to what we have now. ”
    The bullion coin standard was the World Standard from mid 1600′s to the early 20th Century.
    Every nation paid its debts in gold and silver shipments.
    Only after the Mayer Amschel Rothchild introduced his Fractional banking proacties to the Ruling Class Aristocrats was he able to demonstrate how they could steal their subjects wealth with little chanc eof getting caught.

    Both France and England waged wars using the Amschel method of currency credit expansion / deception.

    The real question IS….
    Are WE the People going to keep being STUPID and letting our respective govenments continue to rip us off, and shrug and say it’s “not possible” to hold our Government accountable!

    Once you accept and live a lie, the blood letting just gets worse over time.
    Stop the LIE, End the FED!

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    1. gobernanke

      Watch- http://www.youtube.com/watch?v=2NJnL10vZ1Y

      gold is not money. All of the transactions that the federal reserve makes are recorded. So why the huge conspiracy if it is all recorded? Either your wrong or Bernanke is lying through his teeth. I actually wouldn’t be surprised if you totally hate the guy. It certainly seams like Ron Paul does. I love Bernanke’s face when Ron Paul asks him if gold is money. Bernanke must have been thinking “Wow this guy is a total idiot if he thinks gold is money”. Flawless response by Bernanke- Ron Paul got owned.

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      1. Citizen

        Goober-Nananke,

        “”All of the transactions that the federal reserve makes are recorded. “”

        Yeah sure they are, :Go ask Alice Bernanke when he’s 10′ tall”
        Recorded for who’s review?
        Certainly NOT the US Government nor the American people.
        Why else do you think there will never be an Audit of the FED…. Because if thewhole Truth Be Known, all Hell would break loose.

        The partial information release of the FED’s 2009 activities showed that the FED “recored” more than ***$7.7 TRILLION USD *** denominated currency transfers fabricated “out of thin air” Money the US taxpayers are on the hook for and for which we have NO way of ever paying off. Essentially WE’VE been sold into Tax Slavery!

        “…or Bernanke is lying through his teeth.”
        NOOOOO ! say it ain’t so!
        Uncle Ben wouldn’t LIE to us would he? Seriously… you can’t be that @#$#

        “”Bernanke must have been thinkin Wow this guy is a total idiot if he thinks I GIVE A SHIT”"
        ***is what Ben is really thinking***

        The FED is a rouge enterprise accountable to NO ONE, and is the principle vehicle of GRAND THEFT of the American middle class wealth engine. America “used to be” the greatest economic engine on the planet, but no more since the FED has helped our Government to essentially drive our businesses into competitve insolvency.

        Only via the FED is our Government able to FLEECE the people of their heritage and national birthright, as Thomas Jeffersion warned
        WE the PEOPLE are now OWNED by forces hostile to our National Interests.

        But keep drinking the FED Kool-Aid and cheering for Uncle Ben.
        Good luck Goober-Nanke

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        1. DEAN

          OOPS ! That comment I posted earlier was meant for Gobernanke !

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        2. gobernanke

          Your posts are basically all say the same thing. Blah blah blah.. Elietest Money conspiracy…. blah blah blah… I hate Keynesian Economics.. blah blah blah… The Government is lying to us… blah blah blah… the FED is evil because it makes money out of thin air… blah blah blah… The FED needs an audit somehow because no one can trust all the information that they are more than willing to give…. Blah Blah Blah… The Government is the reason for our problems… blah blah blah.. every person in politics doesn’t care at all about the global economy as long as they can make a little money… blah blah blah….GRAND THEFT American middle class (which actually much more wealthy than other people in the world… just cuz your not as rich as some Americans doesn’t mean you should cry about it. If you have food and clothing realize that you are much more fortunate than many alive on this earth). Quit crying buddy! There are plenty of people with PHD’s in economics (most of them) who don’t think that this is America’s 11th hour because of it’s monetary system. But oh wait! they are probably part of that Elitist group and so they will let America die if it means a few bucks in their pocket. Get real man. More people than just you and Ron are concerned about the prosperity of America. Stop listening to the voice of a congressman who thinks that gold is money. Read some literature from John Maynard Keynes and realize that his economic genus far surpasses that of a congressman. Also, America is like the only country left that doesn’t have a huge amount of socialism. If you had to live even 1 day in a place like Europe you would soon stop worrying about the FED and how they apparently make a few million dollars of the backs of the “hard working” middle class. Also here is a fact- the FED has turned a profit in the past year! But it’s probably worthless to say that because you won’t believe anything that comes out of Bernanke’s mouth even though he is a brilliant man who is much smarter, more educated, and shows much more respect towards people that he argues with then you do.

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      2. DEAN

        In 1986 spent 6 months between Jamestown and Placerville prospecting for GOLD when it’s value was about $300 an ounce, had no cash no job but plenty of work, it paid for my gas, food and lodging when I would come into town once a week to stock up. Try doing that with a recorded Federal Reserve transaction. I watched the video Ron Paul defiantly did NOT get owened.

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  18. wine shop

    You produced some decent points there. I looked on the internet for that issue and located most individuals will go together with with the internet site.

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  19. wine shop

    i’m sure all of you’re really impressive and since for beginners like me….i managed to get towards the correct destination for a read about whatever wanted…

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  20. SavetheFed is an idiot

    First of the Fed and any other central bankers that create fiat currency is evil. Yes the Gold standard would be hard. But having the system we do know allows the powerful sociopaths to exploit the worlds resources at a much faster rate. As our friend Ron Paul said “It’s no coincidence that the century of total war coincides with the century of central banking”.

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    1. Citizen

      You’re RIGHT
      “exploit the worlds resources at a much faster rate”

      The correct Austrian Economic term is “mal-investment”

      When government fabricates money out of nothing to purchase items to support the Warfare AND Welfare Statist Quo.

      Do we need to spend billions annually to defend aganst a hand full of Islamic extremists?… NO!
      Do we need to spend billions on extremely advanced aircraft, ships, missile systems, drone programs to defeat an iron age insurgency?… NO!
      Do we need to spend billions annually on Home Land Security with tens of thousands of TSA agents groping our genitialia?… NO!

      So NO, we don’t need this massive MAL-INVESTMENT into the Military Industrial Complex and into Union Cronism to keep America safe. Nor do we need a nani-state healthcare system with government beurocrats determining our benefits and rationing.

      WE need Freedom FROM Taxation without Representation.

      What ever happened to “Give us Liberty or Give us Death”

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  21. red wine

    Enjoyed looking at this, very great stuff, thanks .

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  22. SaveTheFed

    Hidden due to low comment rating. Click here to see.

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    1. Ronpaul4pres

      YEEEEEEEEEEEEEEEEESSSSSSSSSSSSSSS ^^^^

      There are people still drawing breath that know how the economy functions!!!!!!!!
      I am truly happy that someone else knows these things :)

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    2. oldsmobile98

      1. There is no connection between sound money and reversion to more primitive technology. The current monetary system subsidizes unproductivity and is literally a parasite on technological growth.

      2. Inflation doesn’t have to be over 5% to be bad. The purchasing power of the dollar has gone down over 95% since 1913. Increases in wages lag price increases, and the people who get to spend the new money first (government and banks) profit.

      3. The Fed pushing down interest rates below the market interest rate caused the recession. See Austrian Business Cycle Theory (http://wiki.mises.org/wiki/Austrian_Business_Cycle_Theory)

      4. Growth deflation is preferable to inflation and is not the end of the world, as many make it out to be. See any of the references to deflation on this page: http://www.tomwoods.com/inflation/

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      1. Citizen

        Hey Olds98,

        Our illustrious Government has used the FED fiat credit expansion to Mal_Invest resources into both the Warfare and Welfare state.

        Our Gov has utilized the FED to expand it reach into every corner of our economic well being, so much so, that now the ONLY economy we have left IS the Warfare State…
        Spending trillions on OFFENSIVE systems to project our empire around the world.

        The “BlowBack” will be hell to pay when our enemies call their loans due and payable NOW!….

        The middle east is already planning on getting rid of the “Petro-Dollar” as the exchange currency.

        Already there is an invasion of Chinese investors buying up American resources at an alarming rate.

        The Chinese are not renewing their US T-Bills, their cashing them in and “Buying America”
        Something WE Americans can no longer do ourselves.

        Our only hope… buy gold and silver coin
        TEA

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        1. realist

          Or instead of silver and gold coin, since we are Americans we can buy lots and lots of firearms. Their value doesn’t depreciate too rapidly, there is always a market for them, and they come in handy when the world ends!
          Just a thought.

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          1. Citizen

            Hi Realist,

            I hate to admit…. but you are probably right about that, sadly

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    3. some dude

      You honestly sound like a lazy person trying to get out of doing work. You obviously don’t understand how inflation works. Yes it looks like every one is doing well when this money gets inserted into the economy, Because every one gets money out of it. So lets say bob gets a loan for a factory. bob buys an expensive machine for that factory. The machine creator uses that money to go buy an expensive car. The car dealership buys another car from the brand new factory that is owned by bob. Yes! bob made some money. But he has to use some of that money to pay back the loan. With some interest of course. So now a chunck of that loan just went strait back to the bank and is now out of circulation. This happens on a much larger scale so almost all of the money lent goes right back to the bank. They lend out 50k. That 50k gets spend on goods. the money that is spent on goods, Is spent on debt repaiment. Going back to the bank. And it keeps happening until that 50k is in bank that created the money out of thin air. Now prices are up, That money isn’t be spread around any more for those higher wages. And people need more loans…. So the process happens all over again. You have to be retarded not to see this happening.

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      1. Ronpaul4pres

        Maybe I’m retarded but I’ve never seen any country effectively use the gold standard without eventually making money out of thin air. You are blind if you don’t realize that the entire world economy makes money out of thin air. When the recession hit America, China, India, and Europe and every other significant economic power pressed the magic money button and poof more money appeared. This money was there to stimulate the economy and guess what it did! Many may complain about who the money was given to, but if it was given to hard working poor people they would save it not spend it. Therefore you would get no stimulus. This is not just how America regulates its money it is how the majority of the world regulates its money. If you think the only reason this is done is to better the “elites” then you are arguing for a global money conspiracy. If you think this is all a huge conspiracy then I will just leave you to believe what you want to believe. Stop spreading it as fact.

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        1. Citizen

          “I’ve never seen any country effectively use the gold standard”

          Of course YOU haven’t… your not old enough to even know when the US left the gold standard, much less ever see a real gold standard in practice.

          A gold standard is nothing more than the Constitutionally REQUIRED Standard of Weights and Measures.
          Where every commodity is defined by a standard weight or unit of measure in pure form.

          Fiat Paper Notes are the Government’s guarantee to LIE and STEAL the private sections wealth, that’s it’s sole and only purpose!

          ALL government Central Banks primary function is to Debase the Currency of their country to the multiple advantages of the Government over the Citizens.

          Any notion to contrary is simple DELUSIONAL!

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          1. Ronpaul4pres

            You don’t seam to get the point. I have been saying the same thing over and over and over again. A system- “Where every commodity is defined by a standard weight or unit of measure in pure form.” HAS NEVER BEEN EFFECTIVELY MAINTAINED BY ANY COUNTRY ECONOMY WITHOUT REVERTING TO A SYSTEM WHERE MONEY ADDED OUT OF THIN AIR. The gold standard never lasted when it was used by the Byzantines, Romans, British, Australians, AND EARLY AMERICANS!!!!! I don’t need to see something to argue about it. This is history and it’s time to come to grip with it. In your fantasy world, a gold standard would actually work and be used by all the major economies of the world, but in reality (which is what I am living in right now) this idea of reverting back to the gold standard is very near if not completely impossible. If you are just arguing from a theoretical standpoint I would actually find your arguments worthwhile, but you are defending the idea that reverting to a gold standard is reaality when no one else uses it or will ever use it. As long as you and I live, those who are in power will corrupt the system in place in order to cater to their own interests. I realize that and it seems like you do too, but the question is what should we do about it? Arguing that we should return to the gold standard is not the solution because, like I have pointed out, it has never been sustained before changing to what we have now. If you think differently I would love to know why.

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    4. info7777

      your an idiot. You must be a fed yourself. All your comments make no sense. You need a standard for money. Otherwise you get what we have now. Money that is worth nothing. Again you are a idiot in a very big way.

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      1. Ronpaul4pres

        You don’t need a standard for money. All the money you own right now is backed up by absolutely nothing. So is all the money IN THE WORLD. So I am an idiot in a big way because I think the money system that the entire world uses actually works? I bought something made in china the other day….. Like I paid american worthless money and got SOMETHING….. So ya, I’m sort of inclined to think that it works…. Calling someone else and idiot without realizing what you are saying has a way of backfiring on you. I would avoid it in the future.

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    5. Protea

      Yaawn! You’re on the wrong planet. You need to start doing some contemporary research. Inflation, deflation, booms and busts, the so called business cycle all created.

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    6. antisnitch dept.

      goddammit you are the biggest desinformant on this forum : don’t YOU understand what is being said in the above article OR are you a megawealthy 0.01%er ?!?!?!?! either or educate your sorry brain…. you cannot be serious

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  23. Amer Ican

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  24. SaveTheFed

    I find the huge scare that inflation is currently a big problem comical, almost as comical as Mr. Paul’s thoughts on reverting back to the gold standard! Just look at a graph of inflation for the past 15 years. It is perfectly under control! In times of recession, the risk of rising inflation is not as great as the results of going through a recession without stimulating the economy. And even when gold was used as currency in our distant past the money supply was still increased when the government didn’t have enough gold by adding other alloys to the gold coins. The concept of making money “out of thin air” was still around back then!

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    1. Citizen

      Dear “SavetheFed”

      You’re statement is the common “slow boiled frog” story
      Ergo, it’s OK as long as I don’t know I’m being boiled alive…

      - So you have no savings, because you can barely scrape by on your “weak-ly” paycheck.

      - You have no retirement except for the Ponzi Scheme of Government Social Security, which is neither social nor security.

      - Your in debt up to your eyeballs with upside down mortgages and student loans you can’t discharge with bankruptcy and you have NO jobs…

      Thanks to the FED’s ever expanding money supply that goes ONLY to the Political Elites, the Banksters, the Unions and Military Industrial Complex.

      Thus if you’re not on that “short list” your unemployed or working minimum wage!

      Yes sir, SaveTheFed, the FED is slowly boiling our economy to eventual monetary collapse and

      YOUR telling us to “come on in, the waters fine”

      NO THANKS, I can see your skin is beginning to float on the surface of the water….you might want to consider getting out soon…
      I think your “goose is cooked”

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    2. Ronpaul4pres

      Citizen, you have to get over the fact that there is a bit of corruption in the way that “Thin air money” is distributed. None of us here are arguing that the way that money is distributed is always in the best interest of those that are not of the “Elite class”. We are arguing against the gold standard because IT HAS NEVER EFFECTIVELY FUNCTIONED WITHOUT REVERTING TO SOMETHING SIMILAR TO WHAT WE HAVE RIGHT NOW. If you think it will change if we revert back to the gold standard than what evidence do you have that it will actually work? SaveTheFed was totally correct. According to your “slow cook frog” theory we have been in the pot since humans started using money as a medium for trade. I suggest that you just calm down and accept the inescapable fact that 1 man determines how much American money is in circulation. Ben Bernanke is the money god!!! ACCEPT IT!!!!

      As for your statement “Yes sir, SaveTheFed, the FED is slowly boiling our economy to eventual monetary collapse” – It only lacks 1 thing. EVIDENCE. Every and I mean EVERY major economic power on earth makes money out of thin air. If what you say is true then we are heading towards global monetary collapse. I suggest you find someone with a PHD in macroeconomics. They will clearly tell you that this is not the case at all.

      Will you listen?

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      1. some dude

        Its the fact that the inflation is whats killing the economy. We don’t need to switch currencys. We need to stop the fed from inserting more and more money into the economy. Why would you put out the fire you started with the same stuff you used to start the fire??

        Also you say it required “evidence” When the fed have activly hidden there working through the government. So this evidence would only come from an audit of the fed. And heck… If they don’t have anything to hide, Then and audit wouldn’t hurt it any ways.

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      2. Citizen

        Ronpaul4Pres,

        “It only lacks 1 thing. EVIDENCE”…
        The evidence is in the unrealistic low interest rates that are being systematically suppressed by the FED’s relentless monetizing of the US Debt.

        NO ONE is lending America money to pay for our Spend Thrift government warfare and welfare state… NO ONE…The debt is being purchase by the FED, estimated now to hold nearly 60% of the US debt and purchasing ever more of it every month.

        “EVERY major economic power on earth makes money out of thin air.”
        YES, this is true… thus ALL governmental central banks are purportrating the very same aggregious lies and grand thefts against their people! So are YOU saying this is acceptable?

        What YOU and SaveTheFed utterly FAIL to realize, is that Natural Laws of Physics still government this ball of dirt we live on…. NO amount of “printing” or keying numbers into cyber space will produce one pound more of sugar, bale of cotton, barrel of oil or ounce of gold

        Eventually the EVIDENCE catches up with the Fiat Currency LIES. Money for Nothing, is a song lyric, not reality!

        Commodities ARE Money, and soon, very soon people will wise up and reject the US Dollar LIE and will only accept REAL WORLD money!

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        1. Ronpaul4pres

          Awesome answer. You perfectly understand what money is when you said -”Commodities ARE Money”. As for people soon realizing what is going on and rejecting the US dollar lie- I’m not so sure. People believe in money. That’s why they quickly save a lot when things like recessions happen. I’m not sure if even half of the country realizes that money is not backed by anything. What they don’t realize is what you and I know very well. Commodities Are money. Its all about the stuff we have/make not the paper we carry around in our wallets.

          As for the US debt I think a little less spending, better budgeting, and increasing taxes would be enough to more than pay that off. Looking at America’s GDP it is clear that America has the means to come out of debt if it wanted to. However, Americans like low taxes so Americans probably wouldn’t vote anyone into office who promised to raise taxes in order to get out of debt. (BTW I’m from Canada but originally from the states. Taxes are more than 2x higher here but the country is not in debton. And we have a much strger banking system, but when the recession hit we still printed money to stimulate).

          As for your comment regarding the natural laws of physics, I don’t think I fully understand what you mean. The current system can definitely work and work well if it is used as it should be. If the only time the FED printed money was to help encourage people to spend during a recession, the system would work beautifully. It works pretty well in Canada where there is no insanely wealthy “Elite class” that takes all the money.

          In whatever monetary policy we as people use, there will be those who cheat and rob the system. This does not justify it at all, but it is a fact of human nature. Abolishing the FED will just lead to people resorting to other means of corruption, and without the needed stimulus during times of recession, people will do what they always do. They will cling to their money and the recession will last much longer then in needs to.

          I understand why you think returning to the gold standard is important, I just don’t see it as being advantageous. As a Canadian, we came back from the recession quicker than any other country. This is not only due to the fact that we stimulated the economy by printing money, but also our banks are very strong and helped us bounce back quickly while maintaining a firm economic foundation. Maybe America can learn something from Canadian banks.

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  25. Ronpaul4pres

    Just an interesting point to add to the arguments below. Back when gold coins were used for trade, kings would slowly add little bits of other metals to the gold coins in order to increase the amount of “money” circulating. It is because of this that people began to do that thing where they bite the coin to make sure it was real. The same thing is happening in America when money is made out of thin air and not backed by anything. Since this has been done really ever since people used money for trade, why do any of you think that returning to the gold standard can be done effectively now?

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    1. Citizen

      Its the same old story…
      Kings and other Dictators have ALWAYS sought ways to STEAL their subjects money.
      Debasing the currency was much more difficult back when Kings did it, it ment that they had to force the serfs to use thier coins and they would systematically debase (add base metals) to the coins and would thus stretch their wealth.

      These days, the process is vastly much more easy, they don’t even have to “print” the money, it now just appears instantly in the accounts of those select Elite Government Vendors, like GE, Northrupp-Grumman, Solyndra, etc. So if YOU are not on the “short list” of favored government vendors, your on the downstream side of receiving that “Thin Air” money!

      So a “Gold Standard” favors the Common People, because it can’t be FABRICATED out of Thin Air, and thus diluting OUR common wealth for the benefit of the select government elites.

      A “GOLD STANDARD” is the money of the People because it permits the people to SAVE their wealth and removes the counterfeiting lever from the government.

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    2. some dude

      The gold standard can’t be stretched like it can be right now with our fait currency. America is already run on the gold standard. Its backed with what ever gold we have. so if we have say 50 trillion dallors worth of gold and we make 100 trillian dallors in circulation. Now our dallor is worth half as much as our contrys worth. Except the fact that we have toooons more fait money, then we do real money. And we are trying to solve this, With more money. Returning to the gold standard will make our 1 dallor worth 1 dallor. Instead of our 50k dallors worth 1 dallor. And you are wrong about going out and digging more gold. You don’t need to make a gold mine to become profitable. You just create a service or good that other contry’s need or want, And they trade gold for such service/good. Almost like you mined it yourself. We have un tapped oil we can use. We have some of the greatest technology in the world. We don’t need to be digging for gold, When there are other ways to trade for gold. Or we can keep going on the path we are currently on. And throw more money at this problem. Until our money is worth as much as the paper is made out of. Which considering most money is made of 0′s and 1′s isn’t very much.

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      1. Citizen

        Hi Some Dude…

        “Its backed with what ever gold we have”

        WRONG!!

        Uncle Ben and the FED will only give you a new piece of paper with the same numbers on it when you attempt to “redeem” that Fed Res Note….

        Its backed by nothing more than the paper it’s written on, NO more!

        I would venture to guess that the FED has already “confiscated” all of our gold from Ft Knox and has it stashed somewhare in a vault in Manhatten.

        So NO, the US Dollar is worth NOTHING, except that the US Citizen fools continue to use it because the LEGAL TENDER LAW says we MUST use it or else go to jail.

        Congress sold our collective financial souls to the FED back in 1913 and the Devil has brought us a Century of Wars thereafter.

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  26. Bill Gates

    The guy below me has AIDs…. :l and the guy ^ Above me, gave it to him…
    and Ron Paul is gay.

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  27. Someone with a tiny bit of intelligence

    Anybody who thinks that gold is money is not mentally equipped enough to deal with running a country. The gold standard was forsaken for good reasons namely: there is more that constitutes the worth of a country then the gold that country possesses. Making money out of thin air is good because the ENTIRE WORLD does it to regulate their economies. Without that plasticity the recession we just went through would have ended in bankruptcy.

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    1. Citizen

      Dear Tiny Bit,

      WOW, “Entire World” of corrupt governments is stealing their citizen’s wealth and transfering it to their Elite special interests…. that makes it OK in your “Tiny Bit Intelligence”.

      Words cannot express my profound sense of sadness, for even that Tiny Bit you have left is going to be taken from you.

      Good Luck Tiny

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      1. Someone with a tiny bit of intelligence

        So you suggest gold should be used to back up America’s money? That is certainly an interesting idea. We might as well back up our money with peanuts or bacon. The only practical use for gold is the tiny little amount that we use in technology because of its good conductive properties. Other than that we wear it around our necks and fingers. If you seriously think that the worth of a country should be measure by how much gold they hold in a vault then my question to you is simply why? Should a country have to dig another gold mine to prove that it has grown economically? Also, money is given to CORPORATIONS in order stimulate the economy. If it was given to people during a recession they would save not spend it. Also, giving money to corporations helps keep people employed. This is actually done to better the entire economy which includes me and you. Are you now going to argue that the illuminate are responsible for abolishing the gold standard? It’s time that people wake up and realize how the economy actually functions. If they did, this whole idea of returning to the gold standard would soon be put to rest. I thank you for your profound sense of sorrow towards me. If you want to argue with sound reasons for why we should revert to the gold standard please respond to my posts. If you just want to degrade me then I guess you can go ahead and do that too, but it won’t prove anything.

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        1. Citizen

          So many points, so little time….

          “”So you suggest gold should be used to back up America’s money?”"
          YES! something of substance besides “Thin Air” as it is currently created in the accounts of the Political Elites!

          “”back up our money with peanuts or bacon”"
          YES even those would be preferable to “Thin Air” cyber-cash paid to special interests at the expense of OUR middle class.

          “”worth of a country should be measure by how much gold they hold..”"
          NO! Net worth is measured by GDP, skilled labor and economic output. Gold in Ft Knox is of NO consequence, especially now that we are debasing (diluting) the dollar by TRILLIONS every year.

          “”prove that it has grown economically?”"
          Proof of Growth is a increase in a nations balance of trade surplus, NOT gold accumulation. Gold is simply a “Store of Value” that’s a useful “Unit of Measure” that is a common medium of exchange.

          “”money is given to CORPORATIONS in order to stimulate the economy.”"
          NO, Cyber-cash air money is GIVEN to corporations so that THEY can commondeer middle class private citizen’s wealth making US poorer. Crony capitalism is the Political Payola of the 21st Century, Northrup Grumman, GE, Solydra, et al. Who are all paid premium prices for substandard products.

          “”giving money to corporations helps keep people employed”"
          NO!, Government doesn’t have money to “give”, it is fabricated out of Thin Air and makes all of us weaker. Bailing out banks and businesses simply prolongs the misery of a recession while shoring up bad business models like GM which continues to make inferior products.

          “”wake up and realize how the economy actually functions.”"
          YES…. It functions by Free Trade between Free People using REAL money. It does NOT function by growing government to 50% of GDP and central planning and currency counterfeiting to favor the politcal elite. That’s the road to total ruin and tyranny.

          “” If you just want to degrade me…”
          NO, but please re-read this web site and videos above and try to understand…
          SOUND MONEY!
          TEA

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          1. questionman

            , this is just a question. I am not for or against the gold standard or any commodity standard as I do not know enough about macro-economics but this is just a point i wanna bring up:
            * we live in a world where the human population is ever increasing and markets are expanding explosively around the world. Also, gold is a finite resource and there is actually way more silver than gold resources on our planet. Since gold is a finite system how will it back an expanding economy where growing populations of people need more money. Of course population growth does have it’s limits and we are near those limits but if gold does back the money of over 6 billion people, then that money would be worthless, it’d be better to use unobtanium to back that money. ???

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          2. msa
  28. Tony Mannucci

    The neglected topic is “overcapacity”. I agree that money should not be printed indiscriminately, but the biggest economic problem is overcapacity and unemployment, not shortages. We’ve had 10% unemployed (some think the number is higher) and yet there are no shortages of significance. That means we can produce more than we need without employing everyone. In that sort of environment, the over-riding challenge is full employment, not shortages. Yes, printing money leads to shortages, but it also helps employment. Keeping the money supply fixed as the population grows would be a disaster.

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    1. Citizen

      “Yes, printing money leads to shortages, but it also helps employment.”

      Another Progressive lie that just won’t die. Printing money simply transfers wealth to the Elites in Power, while the poor get poorer.

      Its sad that some many still believe these fiat money fairy tales.

      TEA

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    1. The one

      Lauren,
      Take your spam somewhere else…

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    2. Dennis Johnson

      Dumb Cunt.

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  30. John Paul-Francesco

    History has based money in lots of things. Boulders, Cocoa, Tea, Metals, Tallie Sticks, Cheese, Units of Wheat, and a whole lot more have all been used as Money. the Interesting thing is that units of Barter didn’t experience the same systemic predestine collapse as the Interest bearing money system mathematically must after consuming (Monetizing) everything in the known Human realm. “The Monster” must now consume the monetary system itself. Hense the Financial Markets Meltdown is because the Financial System is the last meal left for the “Compounding Interest” Monster to consume. A look though history tells you that where in Jefferson’s time Money wasn’t used for most things by most people – they provided for themselves, and now everything falls under commerce. This is because of the Simple fact that under the rule of 72′s Doubling of the money supply takes up all things into it’s net to convert them into money and pay the interest – even your entire future work product has been Mortgaged to pay the Debts humanity owe to the Money Changers for the “Privilege” of having them print Script for us to use trading with each-other for which they charge interest.

    Solution: 1) Local Trade Scripts issued without interest ; 2) produce everything yourself; 3) Straight Barter (not likely); 4) STARVE (Ya can’t eat gold and the Money Changers own most of it anyway)

    Lest we deceive ourselves AGAIN, it’s not Money, but INTEREST (Love of Money) that is the Root of all evil. Wars are fought to get rid of assets so they have to be reproduced. Bankruptcies, Battle Deathes, Taxes, Courts, Fines for “Statutory Tickets”, …etc. -It’s all to rake up the script that if not gotten rid of – would be blowing around like Fall leaves in the wind.

    DROP OUT! Shrug, Atlas, Shrug!

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  31. Amiri Can

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    Chairman: Matt Brewster
    chairman@athensgop.com
    2372 S Milledge Ave, Athens, GA 30605
    706-425-4973

    Vice Chair: Karen Schwind
    kssch2@yahoo.com
    168 Grady Ave, Athens, GA 30601
    706-548-7546

    2nd Vice Chair: Tim Wright
    timwright33@hotmail.com
    135 Carlton Ter, Athens, GA 30606
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    Gail Schrader
    Supervisor of Elections & Voter Registration
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    Athens, GA 30601

    ::THANK YOU BROTHERS AND SISTERS:: THEY WILL NOT GET AWAY WITH IT:: VOICE YOUR OPINION, ITS YOUR DUTY!

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    1. Citizen

      “The people vote and we count the ballets”
      Joseph Stalin 1927

      The GOP has it’s agenda and it’s the Warfare Statist agenda.
      Big Government has big payoffs for the Party APPARATCHIK!

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      1. Mike Rowe

        It’s a dirty job, but someone’s gotta do it.

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  32. Larry

    As I site possessor I believe the content matter here is rattling excellent, appreciate it for your hard work. You should keep it up forever! Best of luck.

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  33. Jonathan

    Lets base are money off something rare valuable and we depend on other nations to give to us and it comes out of the ground. Lets base our money off Oil…… Wait a sec that’s a dumb idea. The price of oil fluctuates rapidly. Gold is no different. Gold has higher historic inflation and deflation rates than the dollar.

    The Greatest economy in the History of the world happened to have the federal reserve. The federal reserve provided credit. Credit often is a source of growth of the economy. You don’t have to have $1 Million + to start a business.

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    1. John

      I am interested where your figures come from. The actual value of gold is relatively unchanged over time. What changes is the supply of money and inflationary dollars used to purchase gold. Anytime “gold” prices have changed, it is a reflection of the money used to buy that gold. If, for instance, you view the value of gold in 1971 dollars over time, it is relatively flat. Spikes in gold’s actual value is far less than other bubbles. That is because the amount of gold in the world is limited and increases extremely slowly. Almost every ounce mined today is consumed as well (jewelry, dental fillings, electronics). The skyrocket inflation you see is a product of unbalanced spending by Congress and an increasing money supply.

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      1. Jonathan

        http://en.wikipedia.org/wiki/File:Gold_price_in_USD.png

        After inflation adjustement the price of gold in 1970 was about 200$ per ounce, in 1980 it was about $2000 that is 1ox the value in 10 years, but than in the year 2000, it is back to $400 an ounce so it lost it’s value by 5x. Then in 2010 it is $1600 per ounce or 4x it’s value in 2000. Now the price of Gold is falling.

        The suppy isn’t the only factor that causes the price to change it is the demand. If no one wanted gold it would be worthless.
        http://en.wikipedia.org/wiki/Precious_metal

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        1. John

          But notice that the dramatic rises and falls of speculative value have occurred after we left the gold standard. It’s not relevant. After we left the gold standard, gold became an investment like any other. However, if money were backed by gold this wouldn’t happen. There would be no “investing” in gold, because all money would a representation of gold. So, investing in “gold” in a 100% gold standard world would be the very same as just saving your money. Your money would naturally appreciate at the same rate as gold.

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          1. Jonathan

            Every Single Currency is an”investment”. So Just because the USA left the gold Standard, it now fluctuates? I thought gold was the currency of many nations.

            http://www.chartsrus.com/chart.php?image=http://www.sharelynx.com/chartsfixed/Gold1800to1950.gif

            http://www.chartsrus.com/chart.php?image=http://www.sharelynx.com/chartsfixed/GC1940.gif

            Often the price of Gold increases when there is a recession. Gold Banks try to get people to invest in Gold, so the price of Gold goes up and people start buying it. Then the people have to sell the Gold to buy goods was the economy gets better so the price of Gold goes down. Yes there is greater fluctuation now since you can’t buy a loaf of bread with Gold and the grocery store.

            The Amount of gold does not increase or decrease with the population. Gold does not increase with the GDP. It only increases if people mine more gold. So if our money were based off gold, when the GDP increases, the cost of goods would decrease, or deflation. Workers would then be paid less. Deflation is not good for credit.

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        2. Citizen

          The common thread of all “Fiat Money Trolls”

          Gold a “barbaric metal”
          “Bad gold, bad bad bad gold ”
          The Central Banks are the peoples friend… they give us money manna!
          It’s Obama Money for everyone !!!

          It doesn’t matter which party is in office, they ALL use the Central Banks to destroy the wealth of a nation.
          That’s the primary and well nay only function of a Central Bank…
          To STEAL wealth for Political Folley

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    2. Citizen

      YOU SAID…
      Gold has higher historic inflation and deflation rates than the dollar.”

      REALLY!…. So inflation isn’t the FED printing bales of worthless fiat script?

      Definition of Monetary Insanity… printing more and more worthless credit paper and expecting no bubbles or busts.

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  34. Jake Schmidt

    Honest money? I didn’t know it could lie.

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  35. Citizen

    THE 2012 BUDGET….

    As we predicted, $3.8 Trillion of WelFare & WarFare spending

    Yes people, our noble politicians will simply borrow $1.4 Trillion to make up the shortage and all will be just grand!

    Oh wait….

    No one, Europe or China, have any money to lend America anymore. Their economies are failing and guess what…
    There is NO MORE money, NONE, NADDA
    -Savings have evaporated
    -Equities are cut in half
    -Capital investsments have dried up….

    But there is NO SHORTAGE OF GOVERMENT
    And they have the PRINTING PRESSES

    What’s wrong with that scenario?
    Hmmmm?

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    1. Being

      Actually, the Federal Reserve is a private institution. AKA, not owned by the government. Thus, the government does not own the printing presses… who does?

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