One would think that with Gold prices at highs we would go back to Gold backed dollars! Our goverment wouldn't do that...just keep them printing and run this deficit to record highs just like Poppa Bush did!
Paidslave,
Dead On My Friend! Had we not removed gold from backing our currency, our gov't, both democrat and republican would be handcuffed from borrowing money for all types of various schemes and then the only means to do so would be to tax the public directly. If they do that, they know that either the scheme has to work to perfection (we know the success rate there

) or the taxpayer backlash at the next election would thus end their scheming.
For those of you against international intervention on the part of the federal gov't, the federal reserve or what we call the central bank was created in 1913' so from that date forward, take a look at the level of gov't interventionism both abroad and even domestically and in that same timeframe look at the level of debt that has grown along with it. To Uncle Sam, the Fed is nothing more than a "no limit" credit card and the debt is passed on to future generations who will then be saddled with that repayment burden. The future generation will pay the tax debt in one of 2 ways. Direct through tax increases as the gov't is forced to do so in order to make debt service or via economic policy they inflate the economy in which again taxes the citizen through higher prices but maintains the debt to GDP ratio neutral or in some cases it might even drop. But who cares what this does to those say on fixed income but we'll just raise the Social Security payouts with a cost of living increase but is that always enough? And doesn't this add more pressure to an already stressed gov't plan which should have never happened to begin with but came about as blowback from the results of gov't economic intervention.
No problem for that beginning worker out there on minimum wage, we'll increase the min. wage as well. Now first off I'm against a min. wage just as I'm against a max. wage (violates the basic right of 2 individuals to freely contract and so does social security but that's another thread) but that said, inflating the economy places pressures on min. wages but more so by inflating that wage you place further pressures especially on the small business owner. His business may take several quarters if not several years before the cost of such wage increases normalize into his business plan so in the meantime, he cuts back on his workforce and who's generally the first to suffer?
I find it so interesting that for decades it was the wild eyed paleo-conservative and Austrian economic libertarian who held onto this 18th century dinosaur thinking but of late so-called liberals have begun to awaken to some economic facts that the same weight of gold in 1900' that bought a barrel of oil then, that today that basic same weight in gold still buys that same barrel of oil. Gold in relation to real commodities has remained almost price neutral but it's relationship to dollars has blown through the roof because of the massive debt borrowing of dollars that has flooded the markets. Between international tensions and the over amount of dollars in the market place, oil has risen as well.
Sadly, I don't think or expect the 2 beauty queens vying for the WH will change a thing but people are starting to catch on. You wanna help the working man and the poor? Go for the gold!
Speaking of gold, I've been watching a very interesting case going forward that takes a very interesting approach. I have to say I'm surprised thus far but it's got a ways to go yet. You never know!
https://web.archive.org/web/2010022...rty-watch.com/volume03/issue08/coverstory.php