Hi Leandro,
I personally think that most Western governments and central banks are not interested in Theodore Butler's suggestions to them to curtail lending gold to third parties simply because those banks are interested only in making profits for themselves and their governments and those governments would like to see gold demonetized. To understand this, one will have to go back in history to see why the British chose to go off the gold standard in the early 1920's, why the IMF (International Monetary Fund) was formed in 1944 and why President Nixon completely delinked the US$ from gold in 1972. The bottom line was that going off the gold standard allows for greater flexibility to the governments in pursuing their socio-politico-economic agenda. To them it was only necessary to have strong paper whose value could be varied, within certain limits, from time to time, in accordance with some international agreement. Of course, this sort of thing is open to abuse and could cause an international monetary crisis as did happen in Europe in the fall of 1992!
Take heart, buddy! For many centuries gold has been regarded as a store of value and it will take as many centuries for gold to be considered, if ever, like any other ordinary commodity! Despite the present threats, man's psychological valuation of gold is such that gold will ever retain its aura of importance as a store of value, IMHO!
In case you haven't already done so, take a look at the articles in
fame.org and
gold-eagle.com
However, there are lots of folks who think Theodore Butler is a nut and that he wrote that letter to Greenspan & Rubin with some personal agenda in mind. That may be! I don't know for sure.
As for informing other investors about Butler's letter, I would like to leave that honor to you.
Richnorth |
