benwood,
I think any attempt to create 'pretend better gold' will be met with currency collapse and a thriving black market.
Perhaps.
It's no different that having somebody point a gun at you and saying, "I'll give you MY special, sacred $10 bill, and you give me YOUR pagan $100 bill. They are equal in value, according to my gun."
How is that different from what the US did in the 1930's, expropriating privately held gold?
I see the "sacred" gold ve the "pagan" gold as an improvement on the 1930's techinque. (I think the level of trust citizens have in our government today is far lower than it was in the 1930's and would make expropriation an explosively bad idea.) But with radioactive tagging, the government could say, go ahead, keep your (pagan) gold. You might make it into jewellery, or tooth filings, or electronics parts, or whatever. Its worth whatever the free market will pay, maybe $1000/oz. But this here (sacred) gold is legal tender, and freely convertible to such at a (government fixed) price of $100,000/oz.
Here's the spin: You see some (pagan) gold was obtained with the profits of illegal or unsavory enterprises like drug smuggling or gun running or trading with the Chinese. But this here radioactively tagged gold is guaranteed morally pure, fresh from Fort Knox, 100% US government gold. Oh by the way, all transactions between the US Central Bank and foreign Central Banks must be securitised with (sacred) gold. So too, all transactions between the Federal Reserve and the domestic US banks. And by the way, taxes must be paid in (sacred) gold.
/doff tinfoil hat
habit |
