In Government We Trust?, Part 2

Ron Paul
Tuesday, Sept 9, 2008

Last week I discussed how sound money contributes to peaceful relationships around the world. It is not gold, in and of itself, that excites me, but the many benefits of sound money. Another benefit is financial security.

Can sound money give you financial security? There is something very comforting in knowing that what you earn today will retain its purchasing power in the years to come. Indeed, the same silver dime that bought a loaf of bread in the 1960’s can still buy a loaf of bread with its precious metal content – which is worth about $1.00 today. An ounce of gold has always been about evenly exchangeable for a finely tailored men’s suit, which these days is roughly $800. And in these days of fluctuating gas prices, when priced in gold, oil has been stable. Meanwhile, since the creation of the Federal Reserve, the fiat dollar has lost 94% its purchasing power. The erosion of purchasing power rapidly accelerated when it was completely uncoupled from gold in 1971. This sort of fluctuation in the medium of exchange creates a lot of uncertainty in the marketplace and necessitates that you either take extraordinary defensive maneuvers, or face financial ruin. Trusting in government for financial security in retirement is not a safe option. Indeed, a recent study by the Consumer Bankruptcy Project shows that bankruptcies among those 75 and older has more than quadrupled since 1991. This represents wealth and savings that have been eroded by inflation, and trust in entitlement promises that were more fantasy than reality. Even with the pittance that social security pays to seniors, it is bankrupt and bringing the economy to its knees. It is no wonder that many in the younger generations want no part of it, and they should not be forced into a failed system.

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On the other hand, holding physical gold can defend against aggressive government monetary policies that threaten to inflate away the value of your life savings. During the hyperinflation in post WWI Germany, what used to be a comfortable nest egg was suddenly the value of a postage stamp. If one held just a portion of their savings in precious metals, the crisis was greatly softened. Gold will never be worth nothing, even if the exact price fluctuates. There is a famous photograph, however, of a German woman during this time period burning piles of tightly bound banknotes to keep warm.

Imagine if the money you earned had honest, stable value, or even appreciated like an investment! No such special measures, like converting dollars to gold, would be required to ensure that your savings would sustain you in your golden years. That is the way it could be and is supposed to be. However, the government’s thirst for power will not be easily, or cheaply, quenched. Fiat currency is one tool governments have to extract wealth quietly from the working class. It is time for the people to wake up to this ruse and look to the Constitution to restore sound currency.

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2 Responses to “In Government We Trust?, Part 2”

1. BeTrueSeekTruth Says:
   September 9th, 2008 at 4:48 am

   Hold on Dr. Paul. This makes too much sense. The same amount of money having the same spending power over decades? That’s never discussed in the corporate controlled mainstream media so it must be a conspiracy theory.
   All facetiousness aside though, keeping the price of goods down by manufacturing them in what are basically foreign forced labor camps has helped to mask the reality that the dollar’s purchasing power is almost nil. Yet most of the “con fed” public cattle are brayingly oblivious to this fact.
   The stability you speak of is surely attainable. However its not advantageous to the designs of the elite. Anything that would help good people flourish is anathema to these twisted coal-souled serpents. Any move to push this honest agenda would force those who have the neutron bombs to scuttle off to Mt. Weather and start ordering their “people” to push some buttons.
   This is why I believe the solution is NOT in changing the psychopathic devil worshipper’s hearts. Its about educating their military slaves to realize what these people are about. We need to turn the hearts of these people around and aggresively arrest those servants who are adamant about their stand for evil and refuse to change.
   The criminals who rule the world don’t actually DO anything. They have their slaves do the dirty deeds. I believe they are incapable of any real action apart from conning and conniving.
   They can only be neutralized by people refusing to play their game.Only when their evil becomes socially unacceptable and their kind are regarded as moral lepers can society begin to turn around.

2. rich Says:
   September 9th, 2008 at 8:01 am

   James 5:3 says, “Your gold and silver is cankered;and the rust of them shall be a witnessagainst you, and shall eat your flesh as it were fire. Ye have heaped treasures together for the last days.”

   To have security with gold & silver, there must be a marketplace set up so that accurate translations for purchases can be made. Take a silver quarter into a grocery store and try to purchase a dollar item with it and see what happens. The same for gold.

   youtube.com/goldieshome