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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: ild who wrote (43037)	10/7/2005 2:35:37 PM
From: ild	Read Replies (2) \| Respond to of 110194

Date: Fri Oct 07 2005 14:03 trotsky (Kodie, 12:20) ID#248269: Copyright © 2002 trotsky/Kitco Inc. All rights reserved "Gold always has been the top investment of choice for bomb-shelter-building doom-and-gloomers - those accumulators of canned goods whom everyone avoids at the family gatherings" quote from the article you posted. now isn't it funny how decades of statist propaganda have made it almost 'necessary' to include such denigrating remarks in practically every mainstream press article on gold? in reality, gold is simply the money of the free market - the fact that we are not using it as money anymore is merely testament to the fact that our market is not free - and therefore, neither are we. and no, one doesn't have to be a 'gloom-and-doom stacker of canned goods' to be enamored of gold. it provides an essential function as a portfolio diversifier as has been demonstrated in recent years ( the stock market is still stuck at its 1998 levels, which means investors now have a big and growing loss in real terms. not if they have taken out some insurance by a timely investment in gold ) . besides, one does not have to be a 'doom and gloomer' to know that every fiat money system in history has ultimately been scrapped and ended in repudiation. every time gold was the one thing left standing after the dust cleared. it is rather naive to believe that the present-day fiat money system will end differently. the dollar has already lost 96% of its purchasing power since the founding of the Federal Reserve, and it's no stretch to conclude that the remaining 4% will also be lost eventually. the German currency has been repudiated TWICE over the past century, before its latest incarnation got subsumed in the euro. the history of other European currencies is similarly colorful. in the end, the people's trust in government-mandated monetary systems has always proven to be misguided. of course the establishment is eager to continue the looting of the common man that the fiat system institutionalizes. thus the recurring fable of the gold guy that 'everybody avoids at the family gatherings'.