Want to buy gas for a 25 cents per gallon?

Discussion in 'Economics' started by peilthetraveler, Jun 13, 2009.

  1. "Regardless of what anyone states, like it or not, the law is clear—you can use Silver Eagles to pay for goods and services within the U.S., and therefore silver is indeed money. I do not, however, advise this at all, because you would need to pay in “legal” terms, meaning “One Dollar” per one-ounce silver coin. As we all know (most of us anyway), the face value is far different from the market price. As this is written, it takes about 15 pieces of paper labeled ONE DOLLAR to buy a coin that says ONE DOLLAR." David Morgan http://news.silverseek.com/SilverInvestor/1244782032.php
     
    #11     Jun 13, 2009
  2. You forget to factor in the velocity of money. If i buy a bad ass stereo for one 1oz gold coin today, and tommorrow the store owner buys a beater used car with that 1oz gold coin tommorrow and the car salesman buys a used hot tub the next day with that 1oz gold coin, thats 3oz of gold that has moved even though it was the same 1oz coin.

    Make sense?
     
    #12     Jun 13, 2009
  3. Acumen

    Acumen

    We should have the dollar pegged to gold at the current spot and the GOV should redeem it if asked. As long as people had confidence in the system, the GOV would not need to have the entire money supply backed by the physical because people would not actually redeem it. Paper and electronic money is much more convenient. If the supply of that paper money is changed EXACTLY by our change in GDP, then the dollar gold ratio would remain fixed. The end product of which would be a stable dollar.

    The GOV doesn’t want that though, because they use inflation to lower our debt overseas DRASTICALLY.

    4% nominal interest rates + 4% inflation = 0% real interest rates

    It is not the right way to do things, it is straight up criminal.

    By having the dollar pegged to gold, the GOV would have incentive to keep the dollar stable, unlike now where they have incentive to inflate.
     
    #13     Jun 14, 2009
  4. Eventually the government will have to go back on the Gold standard or the silver standard. But they wont do it until that 11.3 trillion is paid off and that can only be paid off with hyperinflation.
     
    #14     Jun 14, 2009
  5. Oh I wish Ron Paul were president.

    Gold Standard would have a legitimate supporter.

    Let's hope that HR 1207 "Audit the Fed" passes... we have to take baby steps.
     
    #15     Jun 14, 2009
  6. I was about to call me Congresswoman and tell her that I didn’t vote for her and don’t like her, but if she just cosponsored this one thing, I would vote for her. But the next day I got the email and she had already done that, so I guess that saves me. I suppose I should still call her and tell her I support her on this. Of course she won with like 80% of the vote anyways.
     
    #16     Jun 14, 2009
  7. So you mean the poor and middle class are getting shafted by the rich? Cause everybody around here makes it out like people are poor because they lived beyond their means and are lazy and just don’t don’t want to work and think they are entitled to everything.
     
    #17     Jun 14, 2009
  8. That's funny.

    I'm subscribed to the Campaign for Liberty newsletter and they sent me a generic letter to send to my congressman (in support of the bill).

    My rep, Peter King of Nassau Ct. Long Island wasn't a cosponser, so I sent him the letter. I learned a week later that he also sponsored the bill. I then received a official letter from him saying he supported it.

    It's amazing that there are about 214 cosponsers. I'm more worried about this passing in the Senate though. A lot of banks are lobbying this. Let's see if America can be uncorrupted for once.
     
    #18     Jun 14, 2009
  9. Look, I am no economist, but I can positively say that any potential problem you see with a gold standard is completely dwarfed by the single fact that no one can print money out of thin air anymore. Also our money doesn’t just have to be backed by gold and silver. We could have oil and land and commodities backing it as well.
     
    #19     Jun 14, 2009
  10. Gold has stood the test of time. It is the best choice.
     
    #20     Jun 14, 2009