Ron,
<<Ask yourself this question: If the CBs are able to manipulate the price of gold in either direction, then which monetary system is really stronger??
The price of gold is a constant ... it is currency(s) that moves up a down, relative to gold.
<<If gold were so powerful, you wouldn't be complaining so much about its depressed price.>>
My complaint has more to do with the fact the world economies are generally in very bad shape and gold has historically been the lifeline for these times. By not having this lifeline .... what happens? The US/IMF (mostly) control the destiny of these countries. Seems to me the game that is being played out right now by the US (and a few others) is, how much control of the world can we get.
Some of the countries which are in trouble, could have used gold to assist them in getting out of their difficulties (in fact some did, despite the lousy price), but as it is, they have to rely mostly on the US/IMF for their loans, that sooner or later go bad ... then the currency manipulations that unfold. Then the loans have to be paid back in US dollars, when the currency is weak. Then these countries have to up their interest rates .... quite a vicious cycle.
The whole charade is a mess .. and IMO the discipline of gold could have rectified part of this mess.
You claim that those of us that want gold to rise are irresponsible and are just looking out for our self interests .... I submit that it is you that is irrespon
sible because you are oppose a system that instills some semblance of discipline ... and helps to prevent messes like this in the first place. And before you say it, we can all go back in history and find examples when even under the gold standard things got skewed ... but other than a few manias, nothing like the present mess.
MB |
