From NEWS and VIEWS ( USA Gold ) Newsletter, feb 98: plus a great Ayn Rand quote about money and gold
The following are quotes published recently by James Blanchard in his
GOLD NEWSLETTER. Please note the similarities between what you see and
hear now in the financial press and what was being said in 1976, just
before gold made its historic run to nearly the $900 level. At the
time these comments were made, gold was in its darkest hour having
collapsed to the $100 level under the pressure of US Treasury and IMF
gold sales.
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"I don't know where we go from here. I'd hate to say $90 an ounce, but
I suppose even that is possible."......Wall Street Journal 7/20/76
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"Thanks to the latest IMF dumping of the stuff ( gold ) , the great
rush of '76 --to unload-- took on the makings of an old fashioned
panic. But take heart, gold bugs! Dick Donelly, from his privileged
perch in Commodities Corner, assures us that the intrinsic value is at
least $5 an ounce."...........Barron's 7/22/76
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"...Gold, that fair weathered friend, is distinctly out of fashion.
Even to bring out the subject is to lay oneself open to
sneers."................... .......Financial World, Fall 1976
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"There seems to be little to stop the price of gold going below $100
an ounce."....................... ...........The Economist, 9/11/76
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"The new low for gold is an indication that the central banks of the
world, particlarly the US Federal Reserve, and the West German
Bundesbank, are determined to press on their plans to demonetize gold
regardless what that does to the price.".... .................Business
Week,9/13/76
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"The rebound in the gold price from the low of $103 in August to
around $140 by mid-November probably isn't the beginning of another
sustained boost because neither runaway inflation nor recession are
immediate global threats. That's the view of gold watchers who aren't
'die-hard' gold bugs."...... ............Money Magazine 12/76
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"...Money is the barometer of a society's virtue. When you see that
trading is done, not by consent, but by compulsion--when you see
that in order to produce, you need to obtain permission from men
who produce nothing--when you see that money is flowing to those
who deal, not in goods, but in favors--when you see that men get
richer by graft and by pull than by work, and your laws don't protect
you against them, but protect them against you--when you see corruption being rewarded and honesty becoming a self-sacrifice--you may know that your society is doomed. Money is so noble a medium that it does not compete with guns and it does not make terms with brutality. It will not permit a country to survive as half-property, half-loot.
...Whenever destroyers appear among men, they start by destroying money, for money is men's protection and the base of a moral existence. Destroyers seize gold and leave to its owners a counterfeit pile of paper. This kills all objective standards and delivers men into the arbitrary power of an arbitrary setter of values. Gold was an objective value, an equivalent of wealth produced. Paper is a mortgage on wealth that does not exist, backed by a gun aimed at those who are expected to produce it. Paper is a check drawn by legal looters upon an account which is not theirs: upon the virtue of the victims. Watch for the day when it
becomes, marked: 'Account overdrawn...'
from a speech by Hank Rearden
"Atlas Shrugged"
by Ayn Rand |
