Once upon a time, paper money represented a 'claim' on tangible assets. The old gold and silver certificates could actually be exchanged for physical assets (gold or silver) that were on deposit. They were in effect "claim checks" for whomever held them.
- Fancy that!
Our current paper money represents only a "promise" backed by nothing (well, the "full faith and credit" of our politicians sure isn't worth very much...and very few "trust" them to keep their word or promises these days), making Bonds and Federal Reserve Notes essentially IOU's unbacked by 'assets' (to use Bernanke's term for gold, which isn't money in his mind).
Think of your drycleaner's operation for a moment. You 'deposit' your shirt with them and are given a "claim check."
- You deposit something of value which can later be redeemed with that claim check...your shirt.
Now think of the Federal Reserve [surpising to many, a privately owned for-profit bank] as a drycleaning operation, although money-laundering operation works equally well as a descriptor.
- We have been "taken to the cleaners" and one day will NOT be getting our shirts back, claim checks or not.
It takes ever-increasing piles of paper dollars to buy one ounce of gold, but this does NOT mean that the value of gold is increasing, but rather that the value (purchasing power) of the dollar is decreasing. Gold does not "change" but fiat paper does.
- Yesterday's spot market close of gold at $1851.65/oz. should be a wake up call to those who are not economic sleep-walkers! See ANY resemblance to the Weimar gold price experience?
As America fundmentally "transforms" [for Obamunistas read: "changes"] into a colossal Zimbabwe thanks to a misquided Marxist utopian dream of 'dollardammerung' for "the common good" you can thank your corrupticrats for stealing all the laundry they can bundle up and haul away. Your laundry.
- Behave and obey, and maybe they'll 'loan' you a used shirt to put on your back, and you'll be so grateful to them for taking care of you you'll continue to reward them with your trust and your money. They need it more than YOU do, and they know better than YOU do how to wisely handle it!
- - Oh, yeah...and you're gonna have to pay them back for the use of your shirt, too!
Sunday 21 August 2011
The "cleaners"................from Rico
From Theo Spark at 10:48
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