There are those who keep insisting that there be a return to the gold standard without serious unrest and collapse. What they do not realize is that such propositions are really a call to arms. Government will not return to a gold standard because it would be a loss of power and overturn the very nature of how our republics (not real democracies) actually function….Words: 308
So says Martin Armstrong (http://armstrongeconomics.com) in edited excerpts from his original article* entitled Confiscating Gold & Wealth.
Lorimer Wilson, editor of www.munKNEE.com (Your Key to Making Money!), may have edited the article below to some degree for length and clarity – see Editor’s Note at the bottom of the page for details. This paragraph must be included in any article re-posting to avoid copyright infringement.
Armstrong goes on to say, in part:
Whenever government is in trouble, they confiscate wealth. This is why governments are becoming very aggressive currently:
- The United States is wiping out Americans worldwide presuming anything conducted overseas is to hide money not international business.
- France has virtually destroyed the gold industry by prohibiting the buying or selling of gold for cash and raising taxes to 75% have been chasing out its most productive people.
The more they need money, the worse things will get. This is part of the Sovereign Debt Crisis. If you really think any government will voluntarily give up power, you are praying for an exception that has never existed in history.
This is the wave of Creative Destruction. We must collapse before we see reform. Sorry. There is no example in history where government voluntarily surrenders power without a crisis….There will be no return to the gold standard. This is all about retaining power.
Historically, this has never ended nicely….We must first collapse, abandon Republicanism and adopt real Democracy where the people vote on EVERY spending proposal and restraint on liberty, then and only then can we quietly look at restructuring the world economy. There will be no gain without the pain.
History is truly the catalog of solutions. A return to the gold standard without serious unrest and collapse is a story up there with the tooth fairy.
Editor’s Note: The above post may have been edited ([ ]), abridged (…), and reformatted (including the title, some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. The article’s views and conclusions are unaltered and no personal comments have been included to maintain the integrity of the original article.
Martin Armstrong provides a remarkable explanation of what is going on right now with the U.S. dollar, bond yields and the current price of gold. It would be well worth your time to read and reflect on what he has to say. Words: 822
In the years ahead we will witness the death of paper money and the reemergence of a global gold standard. This article examines why this transition is inevitable, how it might occur, and how to protect yourself from it. Words: 1086
The gold standard is a solution in search of a problem. Actually, it’s worse than that. It’s a problem in search of a problem. Prices would have to fall a great deal if we adopted the gold standard today. In other words, it would turn the imagined problem of price stability into a real problem of price stability. And, of course, this ensuing deflation would send the economy into a death spiral due to still high levels of household debt. [Let me explain further.] Words: 910
Much has been written about the merits of the Gold Standard but there seems to be a lack of knowledge about the history of the various exchange-rate regimes over the years and why each was introduced and replaced. The infographic below does an outstanding job of doing just that.
I think that unless we see legislation, somewhere, that is rational and recognizes that gold and silver are really different forms of money, and that this whole scheme of paper is unworkable, then the world is going to go down in flames. The only thing that would last [would] be people’s savings of gold and silver.
It drives me crazy when I read stuff by “economists” that is just plain wrong. Some of them are allegedly “MBAs” and “PhDs” but I think that their common sense is actually “DOA”. Unfortunately, millions in the public arena see their interviews and blogs and they seem to automatically swallow their commentaries… hook, line and sinker. Let’s address some of the nonsense that these pundits are expressing. Words: 870
FDR confiscated American’s gold for the same reason Lenin confiscated it in Russia and Hitler confiscated it in Germany, namely, to get it out of the hands of the people. [That view is contrary to the prevailing belief that such was done] to re-establish confidence in the dollar. [Let me explain the background of this confiscation and my rationale for coming to such a conclusion.] Words: 815
The recent outperformance of precious metals, combined with budget problems in the United States and parts of Europe, has prompted some to speculate that gold or silver will become the next international reserve currency [but in my opinion that is highly unlikely. As such, investors would be highly encouraged to give pause [before] allocating a portion of their portfolios to precious metals. Let me explain further.] Words: 1094
World Bank president Robert Zoellick has stirred up a hornet’s nest with his recent call for a return to a gold anchor in the global financial system. The usual suspects immediately denounced him – Keynesian Brad DeLong has [gone so far as to] anoint Zoellick the “Stupidest Man Alive” – [and I would like to add my voice to the chorus by explaining] the dangers of Zoellick’s gold proposal, and why fans of the classical gold standard should be wary. Words: 1708
Imagine living in a country where the government suddenly decides to make it illegal to hold a certain type of asset, and goes on a systematic process to relieve its citizens of such an asset? Such actions happen in wartime and by politically-corrupt regimes but how about private-asset seizure in the good old U.S.A.? Well, it has happened before. [The 64 trillion (in keeping with the times) dollar question is: “Will it happen again?”] Words: 585
I would conclude that to re-establish a new gold exchange standard probably would require a gold price of about $5,000. [That being said,] I wonder if any of those talking about re-establishing a gold standard have thought about the implications of [such a new price level for gold]? If people are scared of the inflationary impact of QE2, [it begs the question:] What would re-establishing a $5,000 gold standard mean for inflation? Words: 712
There are three simple reasons … you need your own private gold standard, rather than waiting on “sound money” from government. Words: 1323