EricH

Returning to a Gold Standard Is a Bad Idea

Thought provoking article.

In theory I totally agree with a gold backed monetary system. However, in reality I agree it would be a disaster at this time in history and here's why:

Out of control corruption and power grab in the public sector; would you trust today's governing representatives and/or Fed Reserve to honor this system? with all the existing corruption, I believe a return to gold standard this would only truely serve as a front for gold confiscation from private citizens. After all the polititions fancy footwork I guarantee their "new gold standard" would NOT allow anyone to go into a bank and trade their gold certificates for real metal, no chance... We'd just have to have trust and faith that our notes are truely backed by gold (which we would never get to see or touch again, in fact it would be illegal for private citizens to own at this point).

I see a return to gold standard as a PERFECT ENDING CHARADE for the elite ruler dynasties as it would seemingly satisfy everyone: (1) the massess - because we'd finally get our so called "gold standard" back, (2) the central banks - because they'd finally get all the gold (no longer the need to manipulate it or fear it), (3) government elite rulers because they would get full control and power over the citizens as gold would no longer be legal for private citizens to possess (No longer act as a competitive threat against the goverenment currency). Best of all, this would certainly go down simiilar to how it did in the 1920's (i.e. confiscate from citizens first, then devalue the dollar on the order of 10-50x (only after they have all the gold)).

Also there would still be the fractional reserve issue as raised by the author (money would need to be broken into two or more classes, i.e. debt backed fractional reserve vs. gold backed). A nightmare, and an open window for more financial magic tricks and slick maneuvers.

So if you appreciate the fact that today YOU can own and hold gold. Then be extremely cautious about getting behind a new gold standard. it would be a wolf in sheeps clothing at this point in history.

Please do think about this.

Enlightening the Gold Bugs

Addition to my post above addressed to Mr. Caffee.

I neglected to mention how gold ties in with the whole mess as I described above. So... Gold comes in at the point in time when the "reset" button is pushed, at that moment the holders of gold are immune to the "reset", as their earned value carries through to the next sham system that the banksters can dream up. But make no mistake gold holders will need to weather the storm like everyone else (gold won't likely help much during the "generated crisis" period)