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Politics : Dutch Central Bank Sale Announcement Imminent? -- Ignore unavailable to you. Want to Upgrade?

To: tshane who wrote (3655)	2/22/1999 5:27:00 PM
From: Ahda	Respond to of 81840

USA current system Rather remarkable for an economy that is considered to be close to the maturing stage that we look infantile compared to the rest.

To: tshane who wrote (3655)	2/22/1999 6:28:00 PM
From: Hawkmoon	Respond to of 81840

No matter what you and I think and how many thousands of words are posted, nature will take its course and I'm curious to sit back and watch. Couldn't agree with you more. When I came onto this thread, I myself was wondering whether it was time to divert to look to gold to preserve assets. Why? Because there still exists a prevailing belief that gold retains value in political and military crises, which many Y2K observers predict. But until those crises occur, gold is exposed to economic trends. And the trend has been to deflation in the dollar, both through the collapse of commodities, and the devaluation of foreign currencies. Add the deflationary and highly competitive influences of E-commerce, and pricing power for corporations decline markedly and consumer purchasing power increases for those holding cash. ve me some understanding here. If the current system is so well designed what is accounting for the collapse of most of the world monetary systems? Or is this really a good thing (the collapses, I mean) and I'm just not sophisticated or smart enough to realize it. I would appreciate some remedial understanding that everyone else may already have. The system is what it men make it. It is both good and bad, whether it be Fiat based or gold based. Both have a history of being corrupted by human hands. But Fiat's problem seems to lie in excessive monetary "flexibility" to avoid ANY financial crisis, and can be abused when the CB chairmen have lost credibility. Gold based systems seem to have a problem with their INFLEXIBILITY to prevent total collapse of an economy by deflation. Given gold's relative rarity, history seems to display that economies based on gold currency are hampered in their economic growth fair below their innovative capability to expand. And when economies collapse into deflation, many have found it difficult to reinflate without resorting to the confiscation of gold or issuing of gold/silver certificates. A corrupt human hand will always be involved somewhere in any financial system. To paraphrase, "capitalism is the worst form of economic system, except for every other kind". Or the comment I once read somewhere. The difference between communism and capitalism is that under communism, man exploits man. Under Capitalism, it's the other way around. Regards, Ron