Cicero

The Myth of Gold Confiscation

Good article.

Quote:
"How do you get the majority of average income voters on your side on this matter? You simply let them keep a portion of their gold and then give them the added bonus of a 57% windfall when gold is revalued to $35!"

Interesting thought that raises a few questions. I first assumed that the windfall for the people with 5 ounces of gold would be offset by the huge loss in value of their paper dollars when Roosevelt devalued the dollar. But inflation stayed low from the devaluation of the dollar in 1934 until at least 1940, rising only 5 to 8% before hitting a steady clip as WWII started. So if prices were stable for that long, was the inflation in prices just delayed by deflationary forces for the better part of a decade, or did Roosevelt’s devaluation only effect the dollar relative to gold? (Because the paper dollars bought roughly the same goods for some years.) In the latter scenario, maybe I’ve been wrong all these years thinking FDR stole so much wealth from Americans when he changed the exchange rate.

Question 2: Roosevelt devalued the dollar by raising gold 60% (from almost $21 to $35 an ounce). Yet we say he devalued the dollar by 40%. How do I best explain to high schoolers why we don’t say the dollar was devalued by 60%?

Bernanke's Great Lie: The Gold Standard and the Great Depression

Artful, the "conclusion" and "point" is that the Federal Reserve, in collusion with Congress, is manipulating the supply of our money and credit. The Fed is independent, and refuses to actually answer the questions Congress does ask them. Congress can and must abolish the Federal Reserve. Listen and watch Stahl and Bartiromo, the CBS and CNBC female reporters, giggle and fawn over the proudly grinning Greenspan as he explains how he avoided the questions of Congress. On CBS’s 60 Minutes, Stahl explains how Greenspan uses “indecipherable Delphic dialogue” and laughs admiringly as he reminisces fondly of his obfuscation skills, explaining that he would use some form of “syntax destruction” to not answer questions – listen carefully to her tone of voice as she repeats the phrase in the background, as if she is on the inside of the “joke” that the Federal Reserve is playing on us. At the end of the short clip watch the dreamy look on her face as she puffs up Greenspan’s already over-inflated ego, describing his words as “impenetrably profound” and noting that he worked to polish his cryptic responses so that, often two newspapers would print contrasting headlines about what he said, he almost pulls a muscle patting himself on his self-satisfied back:: www.youtube.com/watch?...

Greenspan detailing his obfuscation on CNBC (4:50) is here: www.youtube.com/watch?...

Greenspan admits that the Federal Reserve answers to NOBODY 7:40 into this interview: www.youtube.com/watch?...

Leveraging Up on Precious Metals Ahead of Fed Meeting

The Fed held steady; the stock dropped. Any thoughts? Time to buy some?

U.S. Dollar Signaling a Changing Tide?

Congress allows the Fed cartel of independent private bankers to create money from nothing and then charges you and me 8% of our national budget in perpetual interest for the privilege (we never repay the principle).
The NY Times article “The Nixon Recovery” of 2/4/04 admits they print or don't print money to sway elections, causing runaway inflation (as in the 70's): (query.nytimes.com/gst/...
The NY Time, article, The Education of Ben Bernanke admits the Fed created the housing bubble by pumping easy money in an effort to stem the damage of the dot.com bubble (that they fueled with easy money in the 90’s): www.nytimes.com/2008/0...
It notes the Fed “…has vast powers over the economy” with its “…control over the supply of money” and that this “…power to expand the money supply is unique... only the…Fed can create new money.” It notes Bernanke helped create the housing bubble and that the Fed ignored the warnings (of people like Ron Paul) and “the speculative lending continued.”
The same article notes the Fed flooded the economy with easy money specifically to manipulate the 72 election for Nixon, creating the “brutal recession” and massive double digit inflation that marked the economic havoc of that decade. We learn that idle builders (my father was a carpenter) “were so enraged that some sent him two-by-fours in the mail.”
Bernanke admits Fed caused depression in the conclusion of this 2002 Speech here on Fed Website: www.federalreserve.gov...
Bernanke admits creating money from nothing in a speech on 11/21/02 on the Fed’s website: www.federalreserve.gov.../ (4th paragraph under heading “Curing Deflation.” He duplicitous states the US gov’t creates it – is so, why pay independent private bankers interest? In fact, Congress allows the “Federal Reserve” (they aren’t federal and there are no reserves) to print monopoly “money” and loan it to the fedgov. We, the sheeple, pay 8% of our national budget in perpetual interest on that “money”. Talk about an investment! Imagine spending $3,000 to print a million back in 1960, lending it to the fedgov, and collecting 3% “interest only” for life. That’s $30,000 a year for perpetuity – a 1000% return on investment each and every year for perpetuity without investing another dime.
Ron Paul anyone?