Tuesday 3 April 2012

Paper money vs. Gold money.............from Rico

This graph 'might' give you an idea why Central Bankers, and spendthrift Governments really HATE Gold.
- It gets in the way of debauching the purchasing power/value of their fiat (by decree) paper currency.

You can see the FIRST huge devaluation of the US Dollar under FDR, and the SECOND huge devaluation of the US Dollar under Nixon.
- All the 'others' since are merely also rans in comparison to these two, although I'd give Barry very good Vegas-odds of being the one to deliver the coup de grace.

I have a 100 trillion Zimbabwe Dollar note on my wall, with a US One Dollar Federal Reserve Note tucked into the frame beside it.
- Simply as a 'reminder' that you don't need to add a lot of zero's to a worthless paper note to make it worthless...

1 comment:

PacRim Jim said...

As I was looking at the $8 cantaloupes in Safeway today, I recalled the prices of my youth, when $20 bought a week of food.
American politicians have condemned our children and grandchildren to hyperinflation, poverty, unemployment, and worse
A second American revolution might be in the offing, with unpredictable and undesirable results.