Gold has no monetary monopoly, never had and never will. Worse for gold, the total value of all gold compared with the total value of all existing humans has dwindled and dwindled over the decades.
A most persuasive argument in my favor -lol-
I have read a few of your replies. I would agree that a fiat currency could work in theory. The human race already has enough experience and ability to control a fiat currency to meet the needs of it's economy. In theory.
Trouble is, in practice, the human race acts irresponsibly when it comes to printing fiat currencies. Banks loan too much money.
Why can't you and I print money too? Fact is, only certain cult figures have been ordained with the miraculous ability to print fiat currency. (so we are told to believe)
The USA is in a special position where, if it prints money with abandon, the value of the dollar still not does go down. There are few other currencies that could do that. Not only that but there would be a sanctimonious lecture from the IMF if a country acted so "irresponsibly". -lol-
The trouble with generating easy money is that the human race can get hoodwinked into thinking demand outstrips supply instead of the other way around. Result is that there is overinvestment in enterprise that causes an excess capacity. The excess in capacity has to be used up somehow, and that is the painful part of the experience.
The "smoke and mirrors" trick with the USA dollar is just an act of faith. Nothing else. To improve the religious dedication of the human race towards the almighty dollar, gold price is deliberately manipulated downwards, along with silver.
All this would be OK if the financial "super beings" controlled the economy in a sensible fashion. Trouble is they don't. Uncontrolled greed, political manipulation, all sorts of human imperfections creep into their acts.
Gold and silver have a long history of being used as financial currencies. Why can they not exist alongside our fiat currencies without central banks trashing them downwards???
Yes, the USA is (or was?) a powerful economy. The irresponsible actions of human beings has pushed the credibility of the USA dollar to the point where doubt can set in. If the doubt is allowed to settle in, big changes will occur. Gold and silver will appreciate imho.
I like QCOM. I have actually bought some calls. I hope to accumulate the stock too.
Exuse me if I am not "a believer" in fiat currency. I would rather go fishing -g- |
