My first comment was harsher than I intended. I'm sorry about that. The rest of what you said I agree with.
Here's the comment exchange from this post:
Gold. Hm. Not enough of it in the world to cover our 10 trillion a year economy. And not enough of it in our country to cover the dollars floatig around the world. The only thing that we have backing up our currency is the good name of our nation. Our backs so to speak. Our honor. If there is a succesor fed chairman that thinks that inflating our currency would be better-n-deflating it he needs only to remember Chile under Pinoche. Or Stagfaltion back in the late 70's under Jimminy Carter. If he is looking at prestige he needs to to remember the Fed Chairman who residgned/was canned in disgrace over those money policies. What was his name? Hm. Maybe that is what I mean. I remember Paul Volker who stabilized our money supply and committed us to the policies we now have.
As far as a minable gold supply? The Ocean has an estimated 500 tons disolved per cubic mile of ocean water. Now if we could only figure out how to get it out of there.
My my, the guy that invents that process will Be rich. Rich I tell you. Filthy stinking Rich.
Jam 5:3 Your gold and silver is cankered; and the rust of them shall be a witness against you, and shall eat your flesh as it were fire. Ye have heaped treasure together for the last days.
Besides the bible warns against it.
If I were going to store up anything I would store up dry goods because like the little song we sang in church a loaf of bread will by a bag of gold.
Or in my case I like Mac and Cheese.
ron | Homepage | 10.28.05 - 6:30 pm | #
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You really need to read Human Action, Ron. Tell me where to send it and I'll mail you my spare copy.
Your econ teacher was mired in Keynes--or, if you were lucky (and I doubt that you were)--Monetarism. Study a theory that's not steeped in Statism.
Old Whig | Homepage | 10.29.05 - 4:39 am | #
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Okay, I guess I wasn't too clear. This is what I thought was wrong, "Gold. Hm. Not enough of it in the world to cover our 10 trillion a year economy."
That 10 trillion number wasn't inevitable. What has the purchasing power of a Double Eagle done since we dropped it as our currency?
It was the $20 bill in 1900. You could get a really nice suit for that then. For the value of an ounce of gold now, you can get a really nice suit.
My first comment was harsher than I intended. I'm sorry about that. The rest of what you said I agree with.
Old Whig | Homepage | 11.01.05 - 12:37 am | #
But I strongly encourage everyone to read Mises.org. A lot of BS could be prevented that way.
