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Gold/Mining/Energy : GOLD-XAU -- Ignore unavailable to you. Want to Upgrade?

To: IngotWeTrust who wrote (868)	12/23/1997 8:53:00 PM
From: philv	Read Replies (2) \| Respond to of 1756

Ole 49r: EMU, FRB, DEBT & POG Re: your post #832 I hesitate to revisit this question, but you probably knew I would. I was hoping someone else would ask the questions so that I would: a)not be the only one apparently interested in this question. b)not be alone sitting in the front of the class wearing a funny hat. c)publicly display my obtuse stubborn nature. To answer the last question (Does that help?) - No. Your comments beg more questions. I do not expect anyone to have a crystal ball or even to give precise answers in these changing & surprising times. But I would like to more clearly understand your thoughts. Monetizing Debt: I understand this to mean printing money to pay down the debt. Money printing has been ungoing our lifetimes, and the result has been more debt, not less. It also has resulted in inflation and distorted markets, currencies etc. I cannot see how "monetizing" the debt is a solution. As a matter of fact, I have long believed the only way out is the present course, low inflation, low interest rates, high taxes. If they can maintain this environment for the next couple of decades, the debt can be re-paid. But of course there are many problems associated with this as well such as we are now experiencing with bankruptcies, deflation, equity markets, etc. In as far as the US being the reserve currency of the world, I have read somewhere the savings to the government (people), being several billions of dollars every year. (5-7 billion?) Chicken feed I know, but addded up, it will soon amount to real money. Giving this or part of this advantage (and there are others) up, leads me to wonder what the real motives are. You suggest it is the price which has to be paid to "monetize" the debt. But I am wondering if this whole exercise isn't more about bringing the leading world economies under a single unbrella eventually? Must I spell it out? Lastly, your vision, if I understand it correctly, and as you have yourself intimated is a grim one for the POG in the near term and also the long term unless a catastrophic event occurs. Gold stocks are therefore even more vulnerable. If I have misunderstood your comments, I know you will straighten me out. Merry Christmas to all Phil