The older I get, the more I realize that all I, or anyone else needs to know about work, ethics, economics, wealth and money (not at all the same thing) can be found in the works of Robert A. Heinlein.
But at the same time, I grew up enjoying the fruits of the New Deal - and many of those fruits were good, even if the tree was founded in less than stable soil. I'm still of the persuasion that Something, Anything needed to be done - FDR managed to stave off a popular Socialist uprising - and just barely.
But in doing so, he created a powerful, centralized government, further empowered the Federal Reserve and made the ownership of gold illegal, while changing the currency from silver to pure fiat currency. And as more and more people are starting to belatedly realize, there are problems with that. Because the US dollar in your pocket is not representative of a positive value - rather, it's a promissory note against the federal debt - and that's a debt that, thanks to George Bush, may never, ever be repaid.
Of course many things are made possible when you have an unlimited expense account - and that's exactly what the Federal Reserve is. It literally creates money out of thin air, to be used for all kinds of things, good, bad, useless and useful. It is founded on the promise that our economy will easily support such a debt, with interest. But, thanks to George Bush (and a congress that was more than willing to conspire with him, lobbyists and corporations) - that is no longer a safe bet.
No Short Supply of Freaking Doom! - Free Market News Network
It all comes down to what Andy Sutton of My2CentsOnline.com was talking about when he wrote about the "disconnect in understanding between money and purchasing power." To remedy that, he gives us an example: "Say a man in 1933 stuffed twenty dollars under his bed. In 1933, the price of a gallon of gas was around 10 cents. So the twenty dollars was worth 200 gallons of gas."
Now contrast 200 gallons of gas in 1933 with, "In 1970, gas sold on average for 34 cents/gallon. The twenty dollars was now only worth 59 gallons of gas."
Now contrast both of those with, "Today, I paid $2.89/ gallon. The twenty dollars would buy only 6.92 gallons of gas. To recap, the twenty dollar bill that in 1933 bought 200 gallons of gas today only buys 6.92 gallons."
Thus we see in precious gallons the ravages of inflation in prices thanks to the damned Federal Reserve.
TheStreet.com reports that "[Ron] Paul (R., Texas) is so disgusted with the Fed and its role in failing to stem inflation that he wants to eliminate the entire institution, including its army of economics Ph.D.s and other money wizards", which refers to a bill that he filed in Congress, HR2755, that would do just that.
As Junior Mogambo Ranger H.H.H. puts it, this shows that "Ron Paul will go to his grave with his honor and dignity intact, which is far more than I can say for most members of our government."
Why does Rep. Paul want to eliminate the Fed? Well, according to me at my loudmouth, know-it-all, arrogant best, it is because the Federal Reserve has been a complete, dismal failure in every freaking respect, and especially in their duty to protect the value of the dollar.
Well, nobody ever wants to hear what I think, and so I am happy that the question is admirably answered by the epic truth revealed by Antony Mueller at Mises.org and handily posted at Agora Financial's 5-Minute Forecast. "Central bankers," he writes, "sometimes describe their activity as 'more art than science', which is implicit recognition of their ignorance. The 'art of central banking' is the art of pretending to know what one does not know. Not only is it not a science; it is not even an art. At best, it is alchemy; at worst, it is a gigantic cheat."
Or as the Law of Logical Argument puts it, "Anything is possible if you don't know what you are talking about".
This leads to the Law of Lying and Statistical Manipulation, which I just made up, which is, "If you have a willing, co-conspirator like Congress, then the Federal Reserve can do and say anything it wants, whether it knows what it is talking about or not, and nobody will try to stop them, and the Fed will create so much money and credit that price inflation will destroy us all, which it will, and we are freaking doomed, doomed, doomed as a result."
But you can simply opt out. Believe it or not, there is no law that says that a US citizen has to transact business in US currency, nor is there any particular barrier these days to banking your money in any currency you care to name. But most currencies are fiat currency these days, administered by central banks no more honest or competent than the Federal Reserve.
But there is the option of using real money. The oldest form of money is coinage, made of silver and gold, and certificates representing actual gold reserves.
And, while the existance of these certificates, and the possiblity of them starting to become serious competition for Federal Reserve Notes, the Liberty Dollar is exactly that.
In fact, it's such a serious threat that dispite it being as real as rain and legal as breathing, the US Mint has been issuing "advisories" that suggest it is not. Details below the cut, presented to you as a PSA, direct from the site itself, with a "golden opportunity" to help in this most essential struggle - and gain a seriously valuable collectible in the bargain.
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HISTORIC NOTE: If you are visiting this page to support our Legal Defense
Please let me be blunt, honest and to the point: We need your help, please.
We have never asked for a donation in over eight years. In fact we have refused to accept any donations. But now the time is different. Now the Liberty Dollar is under attack and we need your help. The very idea of a free market is at risk due to the US government's assault on our right to use anything of choice in the market place.
The US Mint would have us believe that it is illegal for Americans to exchange gold and silver (such as the Gold and Silver Eagles minted by the US Mint or any other gold and silver for that matter) on a voluntary basis between consenting adults. Just imagine that at a time when "consenting adults" can legally exchange "fluids" between themselves, the US Mint would have us believe that you and I can not trade gold and silver between ourselves. This is ridiculous and an assault on the concept of a free market.
Of course the US Mint allegation is not the law, in fact, it is a lie. For that reason, the Liberty Dollar has filed a federal lawsuit: Liberty Dollar v Henry M. Paulson, Secretary of the Treasury, Alberto Gonzales, Attorney General of the United States, Edmond C. Moy, Director, US Mint for a declaratory judgment.
Since the US Mint posted their warning, over six months ago, no further action has been taken. No arrests. No indictments. No investigation. Nothing. The warning has been purely a scare tactic. Unfortunately it has been very successful, until now. You will not be arrested for having, using, or helping the Liberty Dollar at this hour of need. Nobody is going to chase you down for a $20 Silver Liberty.
Trust me, this lawsuit is no small matter. Nor is the cost. Initially estimated at $100,000 - we simply have no idea what the actual total cost will be. But it is not cheap to sue the US government that makes their money out of thin air and pays their attorneys with your income tax dollars. You want to change things? Then help us change the money.
We estimate that over 100,000 people know and use the Liberty Dollar, so if everybody just donated a dollar, we would have a chance to pay for the lawsuit. But not everybody will send in even a dollar. Trust me, people are not very responsive. Most will not even read this far or have any idea as to what is happening to their money or liberties. We hope you are different. So I am asking you to please send $10 because I bet only 10% of the people will respond... if that many. Now accepting US dollars and Liberty Dollars in metal, paper or digital form. Please note links below for your donation.
And for you very few special dedicated people who are really concerned and send in a whopping $20, I promise to send you a very special commemorative Defense Fund Liberty of intrinsic value. In fact, I will send one of these special minted Defense Dollars for every $20 you send... after we win. This Defense Fund Liberty is only available to those who respond to this Legal Defense Fund request with a donation of $20 or more. This special Defense Fund Liberty will not be "sold". If you don't donate... you will not be able to get one. I really need your support, please.
Wait there is more. OK, so you are opposed to the Federal Reserve theft of your purchasing power... but you are equally opposed to donating... and you would rather buy something to help the cause. Great! Please click HERE to order a specially hallmarked one ounce $20 Silver Liberty for only $25 each plus S&H (while silver is under $15 spot). Each Defense Silver Liberty will feature two special hand stamped hallmarks with the "Scales of Justice" and my personal Mintmark. This issue is strictly limited to only those Defense Silver Libertys issued during this fund-raiser. They will not be available after we win... God help us all if we lose.
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What about a Gold Defense Liberty? Well as it is really expensive to battle the almighty US government and all this still may not be enough to fund this Herculean effort and win, one of our best supporters has loaned 100 one ounce Gold Libertys to be specially hallmarked and auctioned on eBay. Yes I have to pay him back the 100 ounces of gold but anything over the spot price will be donated to the Legal Defense Fund. The first 20 have already been allocated and Number 021 has been placed on eBay. One specially hallmarked Gold Defense Liberty will be auction per week until we win or run out of Gold Defense Libertys. If you want to contribute and like gold, please bid on one of these most unique Gold Defense Libertys. Each one will be individually hand numbered 001 thru 100 and feature the same hallmarks with the Scales of Justice and my personal Mintmark as on the Silver Defense Liberty.
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The Liberty Dollar v US government is an important case. The US Mint warning has had a chilling effect on the market. So we had no choice. We must win and establish our right to use gold and silver as we see fit confirmed by a Declaratory Judgment otherwise the government could move to outlaw gold and silver in other ways.
As Alan Greenspan said in 1966: "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. This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the "hidden" confiscation of wealth. Gold stands in the way of this insidious process." [Emphasis Mine - BK]
Donations are accepted in Liberty Dollars: metal, paper or digital, even those dreaded Federal Reserve Notes that pass themselves off as US dollars are accepted, and credit cards. Please send in your good wishes, prayers, checks and US dollars or Liberty Dollars to: Liberty Dollar, 225 N. Stockwell Road, Evansville, Indiana, 47715. To donate or place your order for Silver Defense Libertys over the phone simply call: 888.LIB.DOLLAR (888.421.6181) with your bankcard.
Donate digital Liberty Dollars Enter Amount to Donate:
Make no doubt about it. This is the decisive moment that will define your right to use gold and silver as you so chose or continue to be slaves to a monetary/tax system that will ultimately be the ruin of our country and the ideals for which it stands.
The free marketplace should decide what is money - not the government. Remember the government is the servant of the people. We are not servants of the government.
A free marketplace should have a free currency.
Thank you most sincerely for your support.Bernard von NotHaus
tag: monitary policy, ethics, Bernard von NotHaus, Liberty Dollar, silver certificates, gold-backed currency, hard currency, money supply, Federal Reserve System, federal government, federalism