No- that is what YOU get when you butt in to an exchange between myself and a person who dared to recklessly compare my comments about the "value" of gold to the definitional euphemisms provided by our commander in thief with regard to his sexual shenanigans in the Oral Office.
It continues to amaze me how so many of the goldbugs fail to understand that NOTHING HAS INTRINSIC VALUE. Value is determined solely upon the demand for an item by a prospective buyer and creates the basis for establishing a price.
So I happen to believe that monetary policy and the value of the US dollar should reside solely on the economic strength and policies implemented by this nation, and NOT upon the quantity of the shiny metal we have sitting in a vault in Ft. Knox. (spare me the conspiracy theories, please).
So I happen to believe that a floating exchange rate is a better manner of rewarding, or punishing, those nations that undertake the appropriate economic reforms than the amount of gold they are able to produce from any blessing geologically bestowed upon them by the good lord above.
So I don't believe in wearing a bunch of gold trinkets and waddling around like Mr. T. That's my right. Just as it is your right to buy all the gold that you want exchanging your Fiat currency for it.
Monitoring the price of gold is a direct reflection of monitoring people's perceptions of national emergency (like Y2K and other economic crises that may disrupt the economic strength that underlies Fiat currency). However, I'm sensing that more and more instruments (like inflation adjusted bonds) are becoming available that will continue to subvert Gold's place in the financial system.
The only caveat I have ever acknowledged that sustains a vote for gold is if the current financial system was faced with an economic shock or a natural disaster that put it out of commission. THEN I COULD SEE A CASE FOR GOLD AND SILVER. But also a major case for collecting food, seed, and a couple of 5,000 gallon storage tanks of gas and diesel.
For gold to truly soar to the prices that many of you would like to see (1,000/ounce), it would require a major crisis in the global economy. It would be a crisis so severe that I can't believe anyone of you are truly willing to inflict it upon your neighbors solely for the purpose of making a windfall on a precious metal.
Everyone... please bookmark this post and re-read it whenever you feel the urge to rail against my comments about gold. I've been out here long enough that I find it inexplicable that so many of you continue to misquote or twist my opinions and comments.
Regards,
Ron |
