PenultimateManStanding wrote:Right, you go to the grocery store and plop down a few gold coins to get your bacon and eggs. Glory Hallelujah!
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Barbarians At The Gates
don't forget that in the U.S. "your own money" is a digital record on a hard drive somewhere, not a stack of cash sitting in a safe.
PenultimateManStanding wrote:Right, you go to the grocery store and plop down a few gold coins to get your bacon and eggs. Glory Hallelujah!
marek wrote:Why all this irony?
I lack confidence in the future. It looks very dark to me. That's why all the irony.
Riddick wrote:Yep, I think they'll screw us over.... I think it will get to a point where all currency, except for the electronic, will be eliminated. Nothing but ones and zeros.
When people save money, they are storing "future consumption". Putting a dollar in the bank today enables me to take a dollar out later and buy something. When a country experiences a monetary collapse, everyone who has saved money looses his entire savings. When the savers put their money in the banks, the money had value – it could have been used to buy products. When the savers now take their money out of the banks, they find that no one will accept their money – their "future consumption" has disappeared.
Jim Benfield, Department of the Treasury, writes: "What gives money its value is merely your faith in the United States government. `Money' is nothing more than articles of faith. My economics professor used to call money `ceremonially blessed dirty rags and mud pies'.
" (The) abandonment of the gold standard made it possible for the welfare statists to use the banking system as a means to an unlimited expansion of credit…In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value, as was done in the case of gold…The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves… (This) is the shabby secret of the welfare statist's tirades against gold. Deficit spending is simply a scheme for the 'hidden' confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights."
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