11/18 Fiat Dollar Reserve System Dead New World reserve currency
Monday, August 2nd, 2010 at
3:32 am
November 18, 2008 House Financial Services Committee Ron Paul (this man rambles) Federal Reserve Chairman Ben Bernanke Treasury Secretary Henry Paulson
Tagged with: barney • Bernanke • committee • financial • Frank • house • Paul • Paulson • Ron • Services
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I can’ tell you how happy I am to see some very competant comments Never said anything about trillions dollars = lots of riches. WE have slightly over 8,000 tons of gold reserves. that’s worth about 472.5 billion dollars Since gold backed dollars require 1 for 1 on deposit, our total distributive assetts would be about 200 dollars per evry person here. Penny’s would be worth current value of100$. Hope we have lots of penny’s.
Now if dollars become worth penny’s, you tell me? are we loking at inflation, or deflation of value? And if our GDP is 15 trillion dollars how many peny’s do we get for that? I agree restraint is an important key, and it seems we’re not getting that now. But changing the way 300 million people lok at money, or how they perceieve it, is a lot more than just a complication. Imagine if we all of a sudden started using peso’s. More than just a complication.
Now? Saying all that I do understand the fear associated with fiat money. Get’s back to the restraint issue. But see what happened to gold in 1944 Brenton woods accords. Really like videos at kwaves . But with the whole world floating with or against dollar it is going to be very hard to untangle the mess without whole world sufering. Not going to be a quick or easy fix by any way, shape, or means. But I would love it if there was.
I mentioned housing market earlier. Big bubble, big bust. It had to happen. I have been telling people for years to watch out. No artificially inflated market, not associated to real value, can sustain that kind of rapid growth. It is resetting now. The money markets are pretty much the same. Too much growth too fast. watch China carefully. It whole system will reset because natural pressure will make it. We are going to have to ride it out and hold our collective breathe. Nothing will stop it
BUT! AFTER the whole world sytem resets. Notice I did not say NWO! Then when some more realist values are reached it might be a lot easier to do what you ask. Hold on people. It’s gonna hurt and no one is going to be very happy over it. But we have been here for a long time, europe even longer, and we’re all still here. Lots of crap has happened for a lot longer than just the last ten years. Pinch yourself. You are alive and will remain so as long as we all work together to beat this junk.
Well i wont go into our GDP too much, will just say it isnt actually 15 trillion since most of it is based on faulty principles, debt mainly the issue feeding our service sector which accounts for 67% of our GDP. GOod thing you mention our small gold reserves, its pathetic but it does represent our reality, we are broke. Not only broke but in debt, 10 trillion and growing, with the 2 trillion yearly Obama deficit. Not to mention another 40 trillion atleast in un funded promises medicare etc.
So in reality we shouldnt have any gold. Now does that mean that we wont have any money to move? No, money is abstract, we could not use any fisical money at all, it could all be electronic in theory as long as the purchasing power that is represented electronically isnt superior that our real purchasing power, ie credit and getting into debt or devaluating our currency. Again, getting off this fiat system will be a huge challenge but not so impractical like money would like us to believe.
The housing bubble was obvious to us all, well anyone with any common sense. Well China is in a great positition, they are hugely productive and efficient, they have very low trash spending. The spending they have is always innvestments to be even more productive. They buy lands and companies around the world. Looking towards the future not creating bubbles. What they need to do is what they are doing now and get away from the dollar, US is pushing them down at the moment.
Oh and btw, the reason the world started using the us dollar as backing currency was because it was backed by gold. Because they understood that fiat currency will never work. But then we got off the gold standard, but promised that with the Fed we would be able to have the dollar even more stable than a gold backed dollar.
And the world got chumped by us Tom Sawyers, our past generations helped us turn into a productive country, and thanks to that the world accepted. But slowly we are losing their trust, since the shit is hitting the fan and we are abusing this like focurse would happen. Rather smart Id say (from the powers at be, not the american people) since now they can tax the country and the world to some extent by printing money, ie inflation, ergo a form of tax, which cripples the saver and encourages…
(continued) the consumer. Which in a real economy would increase interest rates but the FED is scewing us over there aswell. Its a vicious circle which cant work, never could it was destined to fail. We just need to make some tough choices and accept the recesion, decrease the size of government and get of this fiat currency. Abolish the FED is ofcourse needed, once we do that we will start seeing some improvements in our economy, atleast it will become sounder.
stonecast: Man! Your making my head spin. STOP IT! Let me of the ride! No, seriously. LOTS of very good thoughts. But you godda give me a little little time to digest and thing before I can come back with a pithy comment. Your making me work way too hard at this. Besides which my computer is starting to melt down. I’ve godda give the poor baby a rest. SEYA. I”LL BE BACK!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Sure, take your time. And let it be known that I have doubts of exactly what would be the best way to lead this country to prosperity. I do not think so highly of myself like so many on the internet (everywhere actually) that I am the only one that knows how to solve this. But some things are just common sense. Take your time, and let your computer rest. Peace.
NO! I don’t have my answer back yet, My heads still smokin too much. Man. This is gettin way to hard. I spent all day today breakin out all the old econ books and squattin on the net, nasty little bugger. Now I have 10 times as much to reread and ponder. And it’s all your fault! I hope your proud of yourself, makin an old man go back to school and burn his brain up. I’ll Be Back!!!!!!!!!!!!
Confusing reseach to say the least. Some sites say NO fiat economy has ever worked 2 long. Yet I find sites that china used one for centuries. Another folows the last t3 hundred years in particular and every time a gold standard, or even silver like england, was used the country eventually had to go off it for prolonged periods to reset floating balances of value. And as of right now NO country is currently using gold standard at all.
In fact! Since most of the worlds countries are currently linked to the dollar as the reserve value, it was caus ehavoc if we went back now. Gold standard always linked to war eventually in order to equalize value systems. But! If we were ever able to get all countries to an equilibrium of same value? Then we could go off fiat and go gold again. But EVERY time this has happened eventually equilibrium goes wacko and then it’s war time again. Complicated issue to say the least.
Down loaded enough to fill a book, never mind what I had already. I think the wikiped site has most general and easiest read and understanding. Search the gold standard. I was surprised at how close some of my prior posts had said it. Who Knew? But now that you got me turned on I can turn it off. Just keep thinking of angles to the dangles. Austrians have points, but not all answeres either. So don’t feel bad if either of usdon’t have all the answers. They don’t either.
Again, please dont feed the Troll. Thank you everyone.
Just a quick reminder everyone. No one feed this troll. Thank you for your patience.
Search: “WHO IS LEO WANTA?”
1010rson101 – please please, search
“Who Is Leo Wanta?”
Doin it. But there is so much all over the net. You have to be an honest to goodness glutton for punishment to read thru everything I’ve got so far. Not to mention all the crosslinks. This name, obviously a sudo, is all over the place. But the 27.5 trillion got to me. No wonder the Russian econ failed. Deeper than deep throat.
101orson101 – I feel you, it’s overwhelming but we can rise to the occasion, we must!
World Reports org
peace & love to ALL
ABOLISH THE FEDERAL RESERVE!
You are dealing with a new euro-breed of Americans. These people have not lived through ANY of American history and try to change our way according to european Ideals. They have not lived through the civil war, the dust bowl, the invention of the tractor etc… these people have a FOREIGN MENTALITY. Communisim, fiat debt, spying, cia-ALL EUROPEAN.
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