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Offline Jb

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Re: Gold & Silver News
« Reply #90 on: October 01, 2012, 07:12:19 AM »
Quote
Gold perking along nicely huh Jb?

Went away for the weekend; wife and I celebrating our 20th. Nice to come back to the pop in PMs today; silver going over $35.

http://www.zerohedge.com/news/2012-10-01/gold-touches-2012-highs

Although I was extremely disappointed to read:

http://www.reuters.com/article/2012/09/28/us-cftc-positionlimits-idUSBRE88R1C120120928

Onward!

Offline g

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Re: Gold & Silver News: Pimco on Gold-The Simple Facts
« Reply #91 on: October 02, 2012, 05:01:18 AM »

GOLD – The Simple Facts

When it comes to investing in gold, investors often see the world in black and white. Some people have a deep, almost religious conviction that gold is a useless, barbarous relic with no yield; it’s an asset no rational investor would ever want. Others love it, seeing it as the only asset that can offer protection from the coming financial catastrophe, which is always just around the corner.

Our views are more nuanced and, we believe, provide a balanced framework for assessing value. Our bottom line: given current valuations and central bank policies, we see gold as a compelling inflation hedge and store of value that is potentially superior to fiat currencies.

We believe investors should consider allocating gold and other precious metals to a diversified investment portfolio. The supply of gold is constrained, and we see demand increasing consistent with global economic growth on a per capita basis. Regarding inflation in particular, we feel that the Federal Reserve’s decision to begin a third round of quantitative easing makes gold even more attractive.


A unique store of value

For more than a millennium, gold has served as a store of value and a medium of exchange. It has broadly managed to maintain its real value, even as various currency regimes have come and gone. The reason is that the supply of gold is not at the whim of any governmental power; it is fundamentally supply constrained. Total outstanding above-ground gold stocks – the amount that has been extracted over the past few millennia – are roughly 155,000 metric tons. Each year mines supply roughly 2,600 additional metric tons, or 1.7% of the outstanding total. This is why gold can be thought of as the currency without a printing press.      :icon_study:
http://www.zerohedge.com/news/2012-10-01/pimco-gold-simple-facts


Offline Jb

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Re: Gold & Silver News
« Reply #92 on: October 03, 2012, 08:49:21 AM »
Here's Bill Gross:

"Unless we begin to close this gap, then the inevitable result will be that our debt/GDP ratio will continue to rise, the Fed would print money to pay for the deficiency, inflation would follow and the dollar would inevitably decline. Bonds would be burned to a crisp and stocks would certainly be singed; only gold and real assets would thrive within the “Ring of Fire.

http://www.pimco.com/EN/Insights/Pages/Damages.aspx

Sounds like the default plan to me.

Offline g

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Re: Gold & Silver News
« Reply #93 on: October 03, 2012, 09:10:10 AM »
Here's Bill Gross:

"Unless we begin to close this gap, then the inevitable result will be that our debt/GDP ratio will continue to rise, the Fed would print money to pay for the deficiency, inflation would follow and the dollar would inevitably decline. Bonds would be burned to a crisp and stocks would certainly be singed; only gold and real assets would thrive within the “Ring of Fire.

http://www.pimco.com/EN/Insights/Pages/Damages.aspxSounds like the default plan to me.
Hi JB, Bernanke has made it rather clear, at least it certainly sounds that way to me; that they are going to default through inflation. Actually it has been going on for quite some time.

The only question is can it work with a debt load this gigantic, and for how long. Would seem having a stash of gold and silver would be prudent since no one knows for sure. The debt can never be paid in current dollars, that's the only thing that appears absolutely factual as I see it.


Offline Jb

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Re: Gold & Silver News
« Reply #94 on: October 03, 2012, 10:38:39 AM »
Quote
The only question is can it work with a debt load this gigantic, and for how long.

Maybe they only have to keep it going until something or someone else blinks first. Speaking of which, Iran's economy is imploding: http://www.bbc.co.uk/news/world-middle-east-19812482


Offline g

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Re: Gold & Silver News: Signs of The Gold Standard Emerging in China
« Reply #95 on: October 04, 2012, 03:38:20 PM »
Signs Of The Gold Standard Emerging In China?                                                                               

To get rich is glorious.

– Deng Xiaoping
                                                                                                                                                 :icon_study:
(Photo Source: Wikipedia, http://bit.ly/UDxkau)

As noted in last week’s column about the rising recognition by authorities in Germany about the virtues of gold, the gold standard is receiving impressive new recognition internationally. The GOP plank calling for a commission to study “possible ways to set a fixed value for the dollar” — with an unmistakable nod to gold — is the most prominent element of the 2012 GOP platform still being heard to “reverberate around the world.” Meanwhile, it continues to gain impressive momentum in the United States.

CNN’s Kevin Voigt writes, in The China Post, “Currencies: Re-evaluating the ghost of gold:”

    “One platform of the recent U.S. Republican National Convention that, ultimately, could reverberate around the world is a plan to study a possible return of the U.S. to the gold standard. While it was perceived as a move to appease the party’s extreme right wing, economists like Mundell think the world needs a limited return to the gold standard.”

This is by no means an isolated blip on the economic radar screen of China watchers.  As Christopher Potter, president of Northern Border Capital Management, so astutely observed in a column entitled China’s Preparing for the End Game — Are We Paying Attention, published in The Lehrman Institute’s TheGoldStandardNow.org — which Potter advises (and this columnist professionally edits):

    China is … increasing its monetary gold reserves at an alarming rate.  Five years ago China surpassed the US in gold production and five years from now it will own more gold than the US Federal government.
    China is preparing for a world beyond the inconvertible paper dollar, a world in which the renminbi, buttressed by gold, becomes the dominant reserve currency.
    The Chinese government has recently removed all restrictions on personal ownership of gold; legalized domestic gold exchange traded funds; is currently purchasing 100% of domestic gold mine production; has imported over 750 tons of gold (27% of global output) in the last 12 months; stated publicly its intention to add 1,000 tons per year to its central bank gold reserves; and is buying major stakes in foreign gold mining companies.  The scale of this initiative is extraordinary.
    Commenting on the recently announced acquisition of African Barrick Gold Ltd. by state-owned China National, CEO Sun Zhaoxue stated, “As gold is a currency in nature, no matter if it’s for state economic security or for the acceleration of renminbi internationalization, increasing the gold reserve should be one of the key strategies of China.”
                           
800px DatongJiulongBi
800px DatongJiulongBi
                :icon_study:
www.forbes.com/sites/ralphbenko/2012/10/01/signs-of-the-gold-standard-emerging-in-china/
« Last Edit: October 04, 2012, 04:03:16 PM by Golden Oxen »

Offline g

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Re: Gold & Silver News: Australian Gold Exports to China Surge over 900%
« Reply #96 on: October 20, 2012, 05:13:42 AM »
10/19/2012
Australian gold exports to China surge over 900%, iron ore drop 5%
China buys the West's gold. China is the world's top gold producer and the number one gold buyer. China's on a mission. The West isn't. full article...           :icon_study:

www.mining.com/australian-gold-sales-to-china-surge-over-900-63201/

Offline g

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Re: Gold & Silver News: South Africa Gold Fields Workers 'End Strike'
« Reply #97 on: October 20, 2012, 06:54:03 AM »

BBC News Africa
19 October 2012 Last updated at 05:20 ET
South Africa Gold Fields workers 'end strike'

Nearly all the 15,000 South African gold miners who faced dismissal for going on an illegal strike have reported for duty, their company says.

Gold Fields said that only 1,500 miners did not return for work on Thursday and so have lost their jobs.

South Africa's mining sector - one of the world's biggest - has been hit by a wave of unrest recently, which has left almost 50 people dead.

Workers at several other gold mines remain on strike.

The unrest over pay has badly hit South Africa's economy, with the rand losing value and its credit rating downgraded.

In a bid to end the disputes, President Jacob Zuma this week called on workers to return to work and urged company executives to freeze their pay.

Equipment seized

Gold Fields says that some 11,000 miners reported for duty on Friday at its KDC West mine.

It says all the 2,800 workers at the Beatrix mine turned up for work on Thursday.

Anglo American Platinum (Amplats) - the world's biggest platinum producer - last week fired 12,000 striking workers.

On Tuesday, police arrested 40 striking workers who had seized equipment worth millions of dollars at Anglo American's Kumba Iron Ore mine in the Northern Cape province.

Mines belonging to AngloGold Ashanti have ceased production for almost a month, while workers at another Gold Fields mine - KDC East - have not yet returned to work but this relates to a local union dispute not wages.

South Africa is one of the most unequal societies in the world, while analysts say some of the unrest is being fuelled by disputes between rival unions.

Some miners say the official National Union of Mineworkers is too close to the governing African National Congress (ANC) and so is no longer standing up for their rights.

Some also link the disputes to December's ANC conference, at which Mr Zuma faces calls for him to be replaced.

Mr Zuma has set up a judicial commission of inquiry into the killings of 44 people at the Marikana mine, 34 of whom were shot by police.

The investigation will determine the roles played by the police, the management of the platinum mine, Lonmin, the unions and government.
More Africa stories

    M23 rebel soldiers patrol near Rutshuru, 17 October 2012UN to target DR Congo rebel group

    The UN Security Council says it intends to impose sanctions against leaders of the M23 rebel movement in the Democratic Republic of Congo.
    Somali militants 'arms seized'
    AU agrees to leave Somali stadium

BBC

BBC © 2012 The BBC is not responsible for the content of external sites. Read more.

Offline g

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Re: Gold & Silver News: Gold Can Save Us From Disaster
« Reply #98 on: October 21, 2012, 04:21:55 AM »

A new gold standard is crucial. The disasters that the Federal Reserve and other central banks are inflicting on us with their funny-money policies are enormous and underappreciated. An unstable dollar is wreaking havoc on our capital markets, depriving us of money for productive enterprises and future enterprises while subsidizing government debt on a scale never before seen in U.S. history. The zero-interest-rate policy destroys capital by punishing savers and enabling the central bank to allocate where capital goes. By definition such central planning means subpar or negative returns. No one believes, given the finances of the U.S. government, that a ten-year Treasury bond should yield only 1.8%.

The promiscuous printing of money in the U.S., Europe and elsewhere is enabling governments to put off pro-growth structural reforms and giving them incentive to increase the burdens on the private sector. The poster child here, of course, is France, raising its maximum income tax rate to 75%. Not since the early 1930s have governments of major countries collectively acted so destructively. The only difference between then and today—and it is a gargantuan one—is that we haven’t destroyed the global trading and capital systems. But even they are facing increasing strains and will continue to do so unless policies are changed.     :icon_study:

http://www.forbes.com/sites/steveforbes/2012/10/03/gold-can-save-us-from-disaster/2/

Offline g

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Re: Gold & Silver News: Fort Knox, an Impregnable Monument to Security Theater
« Reply #99 on: October 21, 2012, 05:12:37 AM »
The Great Con Job continues,   ;D

During the panic of 1792, the Bank of North America tried to stave off a run by having employees “carry its specie busily to and from the cellar in order to give a magnified notion of what it had,” historian Bray Hammond wrote. Bank managers “ostentatiously brought in deposits of gold and silver that had unostentatiously been carried out a little while before.”

The show of specie reassured jittery customers, saving the bank from failure. As a young clerk in Iowa during the panic of 1907, Hammond recalled employing exactly the same dodge: heaping impressively large sacks of low-value coin in plain view and ostentatiously counting it to give the impression of overflowing vaults.

President Franklin D. Roosevelt used a similar trick when he authorized the construction of the U.S. Bullion Depository at Fort Knox, Kentucky.

Roosevelt took the U.S. off the domestic gold standard in 1934. Although the nation remained on the standard in international exchange, the Gold Reserve Act made it illegal for private citizens to hold “monetary gold” -- that is, coins or bullion. Banks had to transfer to the U.S. government any title to gold reserves they held, in return for dollars. Individuals could still own gold jewelry and keep their gold dental fillings, but anyone owning monetary gold had to sell it to the government.
Psychic Compensation

In speeches explaining the change, Roosevelt paradoxically stressed the importance of gold reserves.“By making clear that we are establishing permanent metallic reserves in the possession and ownership of the federal government,” he told Congress in 1934, “we can organize a currency system which is both sound and adequate.” But the U.S. already had “metallic reserves” -- the act had actually eliminated that gold’s legal function.

Fort Knox
Fort Knox


http://www.bloomberg.com/news/2012-10-16/fort-knox-an-impregnable-monument-to-security-theater.html

Offline RE

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Re: Gold & Silver News: Fort Knox, an Impregnable Monument to Security Theater
« Reply #100 on: October 21, 2012, 06:29:34 AM »
The Great Con Job continues,   ;D

During the panic of 1792, the Bank of North America tried to stave off a run by having employees “carry its specie busily to and from the cellar in order to give a magnified notion of what it had,” historian Bray Hammond wrote. Bank managers “ostentatiously brought in deposits of gold and silver that had unostentatiously been carried out a little while before.”

The show of specie reassured jittery customers, saving the bank from failure. As a young clerk in Iowa during the panic of 1907, Hammond recalled employing exactly the same dodge: heaping impressively large sacks of low-value coin in plain view and ostentatiously counting it to give the impression of overflowing vaults.

President Franklin D. Roosevelt used a similar trick when he authorized the construction of the U.S. Bullion Depository at Fort Knox, Kentucky.

So the argument here is that Gold is good as a monetary standard because Banks and Goobermints always lie about how much they actually have?  I don't get it.

RE
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Offline g

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Re: Gold & Silver News
« Reply #101 on: October 21, 2012, 07:30:46 AM »
The Great Con Job continues,   ;D

During the panic of 1792, the Bank of North America tried to stave off a run by having employees “carry its specie busily to and from the cellar in order to give a magnified notion of what it had,” historian Bray Hammond wrote. Bank managers “ostentatiously brought in deposits of gold and silver that had unostentatiously been carried out a little while before.”

The show of specie reassured jittery customers, saving the bank from failure. As a young clerk in Iowa during the panic of 1907, Hammond recalled employing exactly the same dodge: heaping impressively large sacks of low-value coin in plain view and ostentatiously counting it to give the impression of overflowing vaults.

President Franklin D. Roosevelt used a similar trick when he authorized the construction of the U.S. Bullion Depository at Fort Knox, Kentucky.

So the argument here is that Gold is good as a monetary standard because Banks and Goobermints always lie about how much they actually have?  I don't get it.

RE
There lies and deceptions are not the point, the point is they pretend to have it to calm the waters when they become turbulent with lacks of confidence from their trickery, since the majority of the world's citizens view gold as real money.

It is Inherent in all men, History gave it to them in all it's great works of Art,Literature, and Sculpture, Religions and Ornaments.

It's a Gold Mine.

It's as Good as Gold

Golden Years

Gold Olympic Medal

Golden Wedding Anniversary

Golden Wedding Ring

Heart of Gold

Golden Chalice  To Hold the Blood of Jesus Christ

Gold Crown of all Kings

Gold, The Flesh of The Pharos

The Golden Rule

Pot of Gold at The End of a Rainbow

Ahab's Gold Coin Nailed to the Mast in Moby Dick

Pirate's Treasures of Chests of Gold

King Midas

The Fable of the Golden Goose

10 005
10 005

tutankhamun and the golden age0 1298548292
tutankhamun and the golden age0 1298548292

yhst 38427106709213 2104 14666098
yhst 38427106709213 2104 14666098

golden calf
golden calf







Offline RE

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Gold & Silver News: Why a Gold Standard Won't Happen
« Reply #102 on: October 21, 2012, 07:43:39 AM »
From Martin Sibileau's Blog,  A View from the Trenches.  Hat Tip Zero Hedge.

RE

The mechanics of transitioning to the gold standard and why it won't happen!
                Published on October 21st 2012
 

If you are interested in the mechanics of this fictional process, you are welcome to keep reading. Otherwise, please, accept our apologies. But if you ask us, learning how fiction works always helps to cope with reality


Please, click here to read this article in pdf format: October 21 2012


Today we retake the discussion left two weeks ago, on a return to the gold standard. We had divided the discussion in two parts: The first part (here) was based on an historical perspective. Today, we will deal with the technical one.


As a summary of the first part, we left with two important conclusions: a) A gold standard will fail if the banking system is allowed to survive with a reserve requirement below 100%, and b) Establishing a gold standard does not require that gold be confiscated. The question before us today is: How do we transition from this:





To this:





Note that the in the second chart, there is no central bank. And note that in none of the charts, we make reference to the shadow banking structure that exists and is well alive today. While including it makes matters more complicated, excluding it does not affect the analysis at all. We will write why this is so, further below.


In the first chart, we see a stylized version of the consolidated balance sheets of a central bank, commercial banks and their relation to the money stock. The reserve ratio is the ratio of demand deposits to reserves. If this ratio was 100%, no loans would be made from demand deposits. In this case, we would have a system with no aggregate leverage. Leverage, at the firm or individual level would still be possible. However, for someone to raise debt, there would have to be someone else saving no less than the same amount.


From the first chart too, it is clear that it is not only the private sector that has leverage. The leverage of the public sector is very significant, since all the liabilities of the central bank (reserves and currency) are fully backed by sovereign debt (US Treasuries). The first chart is reproduced from Laura Davidson’s “The Causes of Price Inflation and Deflation”, 2011.


In what follows, we will examine the adjustment process necessary to shift from a system with fiat money and a reserve ratio below 1 (reserve requirement under 100%). Let’s begin clarifying that this proposed delevering process is an ideal situation, applicable if one had the luxury of planning the shift. There is not always time to do so and, if we ever had any, we’re running out of it pretty fast.


The adjustment process below could only be done very gradually, by adjusting the reserve requirement and gold holdings by the central bank a few bps every year (say 200bps). The ultra-necessary condition here is that the nation undergoing this process be able to generate an equivalent fiscal surplus, in percentage terms. For instance, the process could demand to cover 2% per year of the gap in the reserve ratio to reach 1 (50 years long!!!). This means that if the reserve ratio is 10%, the gap is 90% and narrowing it over 50 years would require to increase reserves by 1.8% every year (90%/50).


Because the delevering process should be accompanied by a pari passu reduction in the fiscal deficit and sovereign debt, that 2% annual adjustment, in the US  this would require a surplus of $324BN every year, over 50 years ($16.2 trillion in national debt x 2%). In 2012 terms, spending would have to be cut by $1.52 trillion ($324 billion + $1.2 trillion annual deficit), if the numbers we have are correct. We suspect they are not: The situation is even worse. But, the bottom line is that, once you see these numbers, you realize that going back to a world of no leverage is politically impossible. Even though it is technically feasible, just like the European Monetary Union was planned and built over decades, it is still politically impossible.


(If you are still interested in the mechanics of this fictional process, you are welcome to keep reading. Otherwise, please, accept our apologies for the time we took from you. But if you ask us, learning how fiction works, in the end, always helps to cope with reality)


Now, if the delevering cannot be planned, and if the amounts involved are so colossal, you can have a very good picture of how painful it will be when liquidation eventually happens and how overvalued the US dollar is today. Below, we present you the aggregate, sectorial, balance sheets represented in the first chart:





It is completely out of the question that to delever the public sector, the private sector must generate equal savings, and they would have to come from exports. This would require political stability, capitalism, free trade and privatization of public services, among other things.  In this rare context, this is what the accounting side of the story would look like:


Deleverage of the public sector





Above, we show one of the two delevering processes required to transition to a commodity-based standard, with a 100% reserve requirement: That of the public sector.


In step 1 we see the generation of savings that is needed to pay off the sovereign debt. Assets produced by the private sector are sold to the rest of the world in exchange of foreign currency. In step 2, the private sector sells the foreign exchange to the central bank, for currency. In step 3, the private sector uses that currency to cancel taxes due to the public sector and to purchase government-owned assets, via privatizations. In step 4, the government applies the currency received from the private sector to repay debt (i.e. Treasuries). In this last transaction, the currency that was initially issued against foreign exchange is withdrawn by the central bank, leaving the monetary base unchanged, but backed by foreign exchange. This is, of course, preferable to allowing the government to cancel its debt with the central bank. Initially, it is more painful, but the result is more desirable…


Deleverage of the private sector


Simultaneously with the delevering of the public sector, the leverage ex-nihilo in the private sector has to be eliminated, to slowly reduce the risk of further systemic liquidity runs. To reach a reserve ratio of 1, the loans from demand deposits must be cancelled. Just like the deleverage of the public sector, this would have to be done over 50 years (yes, yes, we know…but note that the European Monetary Union took about thirty years and it was way more complex than this simple rule of increasing reserves by 2% every January 1st ). The chart below shows how it would be accounted for:





Once again, the source of savings for this delevering process will stem from exports. In step 1, we show the assets produced by the private sector, which are sold to the rest of the world in exchange of foreign currency. In step 2, the private sector sells the foreign exchange to the central bank, for currency. In step 3, the private sector uses the currency to repay the loans originated from demand deposits (2% of total, every year). In step 4, the banks apply that currency to reserves at the central bank. The result is an increase in the level of reserves and, pari passu, of the monetary base. This marginal change is entirely backed by foreign exchange.


Commoditization of the monetary base


Simultaneous with the delevering of the public and private sectors, the central bank should every year, convert 2% of the foreign exchange holdings into gold. This transaction is represented below:





The immediate result is a devaluation of the foreign exchange vs. gold. As the local currency is incrementally backed by gold, it appreciates vs. the foreign exchange held by the central bank, albeit at a lower pace.


This appreciation would generate a virtuous cycle, because based on the expectations of a 2% annual commoditization of the local currency, foreign savings would fund local investments and real interest rates would slowly decrease to a Wicksellian, natural level. This is counterintuitive to Keynesians. Keynesians would maintain that this steady appreciation of the currency would damage the local competitiveness and exports. However, IF THE PUBLIC SECTOR HONOURS ITS DELEVERING GOAL, the rest of the world will export capital to the country, lowering real rates and financing growth (i.e. productivity gains). If the public sector does not honour its delivering targets, the whole exercise will have been utterly useless.


Aggregated balance sheets at the end


Once the two delevering processes and the commoditization of the monetary base are finalized, in the new system loans will only be made from time deposits (i.e. real savings) and demand deposits will be fully backed by reserves. The public sector will have no debt and the non-financial private sector will have realized capital gains from the privatized assets and productivity increases.





Restructuring of the financial system:


Only at this stage one could restructure the financial system. Banks could spin-off themselves into gold-backed note-issuing banks and investment banks. As the central bank is unwound, the note banks will need to join a clearinghouse to minimize counterpart risk, with all notes denominated in gold (i.e. interchangeable). The market will sort out which ones are the most liquid, based on the liquidity services provided by the each bank, rather than repayment risk. Further below, we show the possible revenue model for such banks.





Some would argue that this revenue model is not viable and that these banks would not be profitable. We disagree, although we can only speculate here. For the City of Amsterdam, the Bank of Amsterdam of the 17th century was profitable and in general, senioriage, has been a good business. Even more so under a 100% reserve ratio, because it is stable and grows in volume with time. Cash management and fx services would naturally be ancillary businesses for these institutions. The resulting investment banks would be simple brokers between those interested in saving in credit products and those raising funds via debt. The net interest income would be their main revenue driver.


Revenue sources of a note bank





As we mentioned in the beginning, we have not considered the role of shadow banking in our discussion. Why not? Simply because the whole structure, since it is levered, also rests upon the existence of a central bank as lender of last resort. Otherwise, these players would be swallowed either by the investment banks that we just described or by the public debt market.


If there wasn’t a central bank (i.e. lender of last resort), re-hypothecation would not be tolerated and economies of scale would dictate that only the investment banks end up capturing savings, along with the private and public equity and debt markets. But this, of course, is pure speculation and at this time, is nothing else than an intellectual exercise of dubious utility. Hence, we leave the matter aside…


Ron Paul’s Proposal


What we just described is not the only transition possible. Since 2010, Ron Paul has been publicly suggesting that a transition to gold-backed money be simply enabled by allowing gold to be used as money (i.e. capital gains not taxed). In other words, Ron Paul suggested what the US Constitution clearly dictates: …No State shall (…) coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts…” (Section 10 – Powers prohibited of States).


We commented about this idea in our “Open Letter to Ron Paul” (Dec/10).  We still think that this proposal would unnecessarily lead to hyperinflation and the discredit of the libertarian movement, without solving anything and giving others the excuse to return to the status quo.


Revolutions usually start in the least likely of all places


If the transitions we described today or the one proposed by Ron Paul are not politically possible, are there any chances that we may ever see a system without aggregate leverage? Such a system would have to challenge the financial establishment of the currency zone where it wants to blossom. Perhaps then, the best environment for its development is a place where any potential opposition is weak: A nation without capital markets or an established banking system. There are many examples of such places today: Argentina,Bolivia,Paraguay, in South America; a multitude more in Northern Africa and the Middle East.


Does this make sense? We think it does. There are parallels in history that won’t disappoint you: Protestantism would have never flown in Rome or Spain. Those who opposed the status quo were expeditiously eliminated. However, when Protestantism surged in the Alps, far from the center of power, it was underestimated and allowed to flourish. By the time the status quo sought to quench it, it was too late. The same occurred with the liberal revolutions of the 18th century. When the Americans declared their rebellion, they were underestimated. They were far from the centres of power. When the French declared theirs, they were suppressed. When communism began in Russia  it was unchallenged. When it tried to grow in Britain or the United States, it was immediately repelled. Revolutions then, apparently survive when they start in the backyard, rather than the front yard.


Martin Sibileau
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Offline RE

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Re: Gold & Silver News
« Reply #103 on: October 21, 2012, 07:47:07 AM »

There lies and deceptions are not the point, the point is they pretend to have it to calm the waters when they become turbulent with lacks of confidence from their trickery, since the majority of the world's citizens view gold as real money.

See Martin Sibileau above.

RE
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Offline g

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Re: Gold & Silver News
« Reply #104 on: October 21, 2012, 08:08:29 AM »
@Reply Martin Sibelau's blog.

Unfortunately I do not have the looney tune gene and only can deal with the sane and rational.

The world is on the Gold Standard Now and has never gone off it. The wise of the world who understand the fraud of fiat convert it readily to Gold and silver to preserve their labor and wealth, the fools engage in constant discussion and exhortations of how the paper replaced the Gold. It is as simple and tragic as that.

Articles about going back on the Gold Standard are, in truth,  articles asking if it is time to admit that we were collectively all ass holes who have been conned and it is now time to accept the obvious, or continue to be buffoons in a fantasy world of make believe money. 
                                     
1799 sm stars 5 P62
1799 sm stars 5 P62

 
   

 

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