Here’s what I wrote in my letter to Congress . . .
Several countries are making plans to stop using Federal Reserve Notes for oil purchases. I want the same freedom for my personal transactions.
The Fed has nearly doubled the money supply since last Fall. This will cut the future value of my savings in half and send my cost of living through the roof. Add to that . . .
* The $100 trillion in unfunded liabilities for Social Security and Medicare
* Your big bailout schemes,
* Your so-called stimulus package,
* Your cap and trade boondoggle,
* Your disastrous healthcare plans, and the result is . . .
I see no hope for the dollar. You guys have ruined our currency, and I WANT OUT.
If foreigners can stop using Federal Reserve Notes, I should have the same freedom. Why should foreigners have more right to control their own economic destiny than I do?
Many in Washington claim they want to protect the Fed’s independence. What about my independence? I just want you to repeal the legal tender law so I can use forms of money other than Federal Reserve Notes (like gold and silver for instance). Doing this would also moderate the Fed’s behavior. If they want me to keep using Federal Reserve Notes then they’ll have to stop their legalized counterfeiting activities.
Please represent me. Break the Federal Reserve’s money monopoly. Give me the same right that foreigners have.
Here is Ron Paul’s opening statement today during the House Financial Services Committee hearing on “Consumer Protection and the Role of The Federal Reserve”. He uses his time to promote the idea of “honest money” to legalize the use of gold and silver as legal tender.
I apologize for the poor audio, but that’s how the stream came across.
[In case you do not yet understand futures markets, "backwardation" means that silver to be delivered today is now being priced higher than metal to be delivered later. This article refers to the LBMA, or London Bullion Market Association's futures market in London, England. For more details on backwardation, please refer to my five-part December series which starts here "The End for the Dollar and all Fiat Currencies (1/5)". Contango is the opposite of backwardation and exists when futures price is higher than the spot price as I explained for those new to futures terminology here "The Money Matrix - What the Heck Are Derivatives? (PART 10/15)". [As you read, please also note that I am NOT a commodities trader, I am just an engineer by trade, so feel free to help me out with my analysis or mistakes.] ( Photo) (2)
Do you know how much gold is exchanged daily in dollars? If not, prepare to be shocked.
by Jake, the Champion of the Constitution Originally published on Sunday, March 29, 2009 at http://www.nolanchart.com/article6228.html
While gold trades as a currency (or “medium of exchange”) and also is a “store of value,” and even a “unit of account” for some, and very little is actually consumed. Economically speaking, gold trades even in the modern world as money. Gold is a luxury good with insignificant industrial usage. Its major market as a luxury good is Indian women’s jewelry, but to these women gold is their money or insurance if their mate leaves, dies, or is disabled so the metal is not consumed – it can be easily recovered. ( Photo) (2)
To make my case that gold is money, what seems to be little known is that the gold market is also quite large – the LBMA in 2008 traded about $80 billion USD per trading DAY per the data collected by the IFSL 2009 Bullion Markets Report p3/8 – which I took the time to verify to be correct from its original sources – or $20.3 Trillion in turnover in 2008 and 254 LBMA trading days. However, the IFSL makes a significant note that this volume is quite likely three-to-five times larger since much of the transactions are increasingly netted out and cleared without appearing in the statistics. Please compare this to the 2008 GDP of the United States at $15 Trillion and understand the rough estimate that 75% of the world’s trade in gold (and half of the world’s silver) is traded via the LBMA.
“Peering through reverent fingers I watch [the Gods of the Market Place] flourish and fall. And the Gods of the Copybook Headings, I notice, outlast them all.” – Rudyard Kipling
by Jake, the Champion of the Constitution
Originally published Saturday, February 14, 2009 at http://www.nolanchart.com/article5998.html
[In case you do not yet understand futures markets, "backwardation" means that silver to be delivered today is now being priced higher than metal to be delivered later. This article refers to the LBMA, or London Bullion Market Association's futures market in London, England. For more details on backwardation, please refer to my five-part December series which starts here "The End for the Dollar and all Fiat Currencies (1/5)". Contango is the opposite of backwardation and exists when futures price is higher than the spot price as I explained for those new to futures terminology here "The Money Matrix - What the Heck Are Derivatives? (PART 10/15)". [As you read, please also note that I am NOT a commodities trader, I am just an engineer by trade, so feel free to help me out with my analysis or mistakes.] ( Photo) (2)
As we learned in “The Significance of Gold Backwardation Explained (4/5)“, backwardation is a sign of a very tight market, and a market that will be tight for sometime into the future either 1) current supply is very tight, 2) future supply is projected to be very tight, or 3) there is a severe distrust in counterparties that the short positions can deliver the goods on time per the contract, or vice-versa that the long positions will not have the cash.
While gold traded as a “store of value” (a currency, really), very little is actually consumed. Silver, on the other hand, serves as both an industrial metal and a “store of value” for silver investors. As we learned here, both silver and gold are precious metals since there is very little aboveground stock. All of the gold stock in the world would fit into a cube 20.5 meters to a side. Due to high amounts of industrial usage, the silver stock is even smaller, less than 14.5 meters to a side.]
The LBMA Silver Mid Rate goes negative AGAIN!!!! Read on to see why I used 4 exclamation points.
by Jake, the Champion of the Constitution Originally published Friday, January 30, 2009 at http://www.nolanchart.com/article5916.html
[In case you do not yet understand futures markets, "backwardation" means that silver to be delivered today is now being priced higher than metal to be delivered later in the London Bullion Market Association's futures market in London, England. For more details on backwardation, please refer to my five-part December series which starts here "The End for the Dollar and all Fiat Currencies (1/5)". Contango is the opposite of backwardation and exists when futures price is higher than the spot price as I explained for those new to futures terminology here "The Money Matrix - What the Heck Are Derivatives? (PART 10/15)". [As you read, please also note that I am NOT a commodities trader, I am just an engineer by trade, so feel free to help me out with my analysis or mistakes.] ( Photo) (2)
As we learned in “The Significance of Gold Backwardation Explained (4/5)“, backwardation is a sign of a very tight market, and a market that will be tight for sometime into the future either 1) current supply is very tight, 2) future supply is projected to be very tight, or 3) there is a severe distrust in counterparties that the short positions can deliver the goods on time per the contract, or vice versa that the long positions will not have the cash.]
“Surreptitious market manipulation by government is leading the world to disaster.” – GATA, the Gold Anti-Trust Action Committee in a $264K full-page color ad in the Wall Street Journal, January 31, 2008
by Jake, the Champion of the Constitution Originally published Thursday, January 29, 2009 at http://www.nolanchart.com/article5832.html
“Gold is Money, and Nothing Else.” – JP Morgan before Congress, 1914. Notice he forgot to mention silver. GO GATA!
In Part 1, I meandered a bit but one point I belabored was that the United States under Obama will refer to China as a “currency manipulator.” In this article, please also me to meander again, but if you care to research any of the links I will introduce, you might agree with me that first Obama and “Turbo Tax” Tim have to defend my claim that America is itself a “currency manipulator.”
The Gold Anti-Trust Action Committee was organized in January 1999 to advocate and undertake litigation against illegal collusion to control the price and supply of gold and related financial securities. GATA opposes collusion against a free market in gold, other precious metals, currencies, and related securities. Their main theories center around demonstrating that governments, central banks, bullion banks, and even some major miners have colluded to suppress the price of gold. By doing so, they make their own fiat currencies appear stronger. ( photo) GATA’s evidence is summarized here and an 25-minute introductory movie is here Part (1)(2)(3)
My first two pieces of evidence are taken from a very upbeat letter celebrating the 10th anniversary of GATA written by Bill Murphy of lemetropolecafe.com. You can read the full version here. First is a description of Obama’s “new” Clinton-era, anti-gold central planners. Second is a 1961 Federal Reserve document found by researcher Elaine Supkis that clearly outlines secretive currency manipulation as standard operating procedure for America’s quasi-private central bank.
Liberty Maven
While gold trades as a currency (or “medium of exchange”) and also is a “store of value,” and even a “unit of account” for some, and very little is actually consumed. Economically speaking, gold trades even in the modern world as money. Gold is a luxury good with insignificant industrial usage. Its major market as a luxury good is Indian women’s jewelry, but to these women gold is their money or insurance if their mate leaves, dies, or is disabled so the metal is not consumed – it can be easily recovered. ( 
The Gold Anti-Trust Action Committee 
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