The “official” unemployment rate has risen to 8.2% after the government statisticians  finished their magic equations to come to that figure ( it’s very similar to the way the come up with the official inflation figures, cut out as many numbers as possible that may show negative results). A quick look at the very informative unemployment charts  at shadowstats.com will give you a much clearer picture of reality and truth without leaving out all the people who actually are unemployed.

Gold is nothing new to the world as a form of money, but most people  still meet it with much skepticism.

By Doug Kaus

Several years ago as I traversed into the age of enlightenment through my research of money, it occurred to me what a beautiful scheme the fiat monetary system was. The grand  wizard of the money machine, Ben Bernanke (the man behind the curtain),  simply gives the order & creates money with the tapping of a few buttons on a computer (it’s not even made of paper anymore) and pumps it into the financial system. They do nothing to get this money. They don’t trade their time, labor or resources  for it. It’s a form of counterfeit that is not considered illegal; in fact the U.S. Government asks them to do it whenever they need to pay for something it can’t afford. This money floods into the coffers of the handlers and multipliers and is then eventually traded for wealth producing assets.

I’m not talking Louie Vitton hand bags or True Religion jeans; they buy productive assets like farm land, factories, computer software companies, lumber & mining companies, create loans & pay employees who run the systems that build these things.  In other words it’s invested in stuff that creates tangible goods that are valuable assets. The general population will take this money they exchanged for their time and hard work and buy the products of these companies.  Some of these products are very necessary like food and housing, some are very unnecessary like said purses & designer jeans.

When I realized this cycle of slave and master to the dollar I couldn’t help but revel in the genius of it all. The masses toil away with their time and sweat in exchange for this paper that was created from nothing & backed by nothing but the workers perceived value. After all, they spent the majority of their entire life trading their time, services & knowledge in exchange for these fancy cotton notes, it must be worth something , right?

All the while the money handlers take the fruits of this workforce has created and exchange it for even more productive assets, growing their real wealth.  What a great system for building an empire. Create something from nothing, convince the general public it actually has value, then get them to create all the things for you that do have value in return for more useless paper. You end up with all the valuable stuff, they end up with paper notes as well as more debt to buy all the fancy things they couldn’t afford outright.

It wasn’t always this way. The original monetary system actually used to require work to create the units that we traded in exchange for the labor & goods that were produced. That money kept its value from year to year. It wasn’t made out of thin air, it couldn’t be reproduced infinitely at the whim of a ivy league intellectual that believes fixing thing the system requires more of what hasn’t worked (much more). The reason real money is valuable is it’s 1) a store of value 2) easily divisible 3) not made from common material (like 1’s & 0’s).

When I read the article published in Wall Street Journal  by Jack Hough titled “How Much Gold Do Investors Need? Zero Should Suffice”. I can’t completely disagree-if you’re running a  multi-billion dollar hedge fund. But for the rest of us, if you prefer that your savings doesn’t carry the liability of the largest debt ever amassed in the entire history of mankind attached to it, maybe this isn’t such good advice. If you want to have some purchasing power left for your retirement maybe you would be more interested in gold coins then say, something expensive, lovely & high-carat for your spouse as the author suggests. Of course, when your fiat money has become more valuable as toilet paper and you both need to eat, the “I buy gold” guy down the street will still give you 1/10 of its weight value for that unwanted jewelry.

What about you dear readers, how do you feel. Is gold a great store of future value or a barbaric relic of the past, or are you conflicted? we’d love to hear your opinions.

We highly encourage people to take an enlightened interest in their financial futures as opposed to going through life with their eyes closed. That being said we are eager to help educate you on the risks and advantages of owning precious metals  as a way of preserving your wealth. Contact us for free, no obligation consultation and additional information.

Few intelligent people feel the U.S. Government needs to keep spending money it doesn’t have and wont be able to pay back. But when it comes to the programs that benefit them, its a whole different story. It’s all those other programs that are wasteful, this one here allows me to keep things going everyday. It’s hard to predict when the day comes that the old system of non accountability and political prestidigitation will come to a grinding halt, but I can say with great certainty- it will come, there’s no such thing as a free lunch. This videos explains how politicians get away with spending an accelerating amount of money each year and the frog never jumps out of the boiling pot.

This software was devised to scan retail websites across the internet and record price changes much in the same way Google uses to index web pages. When a page appears containing a new product and pricing it begins tracking it.

Someday when enough data has been collected they will be able to create a BPP inflation calculator like this one that allows you to check historical money value. 

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