wow what parallels this book shows to modern times. The Wall Street Protesters of today are so similar in their demands and economic ignorance to the Women of Paris. This book shows that the greatest security comes from being the power in charge of the crime. Time to become educated of modern hierarchy and take control of the government.
thanks for digging this up for us stef! amazing how incompetent the guys who are using violence appear, when we think that they are actually trying to solve any other problems than their own. I guess that we all better invest in our own skills. I better build more guitars, and sing more songs! Also, your voice is very soothing, and your delivery is, as usual, AWESOME.
Fantastic Stef. I would like to ask about your thoughts regarding the time scale. This French disaster occurred in less than ten years. Under the Reichstag, German hyperinflation destroyed the Mark in roughly the same time frame. But, here in America we see that a fiat currency has been around domestically since at least 1933, internationally since 1971. Has the global nature of the FRN slowed the visible effects or has the FRB been more conservative in its issuances than in these cases?
Both. The FRN is often held as a reserve currency (and was officially the internat'l reserve currency under the Bretton Woods system), which has slowed its decline, and the Federal Reserve has historically been more cautious in its issuance of notes than, say, the French Revolutionary government or the Weimar government. Nonetheless, the dollar has fallen dramatically since 1933 (and even more dramatically since 1971), and we've had several major booms and busts since then.
So Stef. What should we do about it. Is a return to gold even possible( is there gold enough to support this). By your conclusions here we all basicly all screwed, or what?
A return to specie, gold and/or silver as well as platinum, rhodium or w/e else the market can devise, is definitely possible, and surely preferable. If specie becomes relatively rare over time, wage cuts will have to occur. But this does not mean real value will have been lost. Supply and demand. We aren't screwed...but be ready for upheaval and be sure to avoid the guillotine.
The problem is that even with a basket of metals there is not nowhere near enough to cover the values in modern economies. If the price of whatever is chosen as specie goes up drastically this would shift fortunes and create a high level of instability. So the effort could create the exact opposite of what was the point, a hyper deflation if you will.
There is enough, technically, to cover any economy, it's just supply and demand. Even copper, tin, and zinc can be added for lower denominations. But I imagine you are correct about high temporary instability and instant fortunes for hoarders, even you could hoard pennies which even now are worth more as metal than as 1/100th of $1 FRN. However, far wiser men than I have proposed plans for a gradual return...it's not unlike quitting a physical addiction...cold turkey is hard, but it is doable.
But it is not supply and demand, for two reasons. The supply is controled by whoever owns the mines, this is mainly 3. world despots with a all the reasons in the world to manipulate the market( think OPEC). Secondly the demand will rise constantly in any growing economy, not because of real value but because of a need for more currency. The result is inavoiable, hyper deflation, which will force a return to fiat. We would gain nothing except poverty.
wow what parallels this book shows to modern times. The Wall Street Protesters of today are so similar in their demands and economic ignorance to the Women of Paris. This book shows that the greatest security comes from being the power in charge of the crime. Time to become educated of modern hierarchy and take control of the government.
jcrongoXisXaXjerk 4 months ago
One of the best appx. 2.5 hrs. of financial and economic history I've heard (but I'm not too bright.)
Every congressperson needs to watch(hear) this.....but they won't....just like water off a duck's back.
There is a fast freight coming...where is the ice(d) water??
SNEEZY67 8 months ago
thanks for digging this up for us stef! amazing how incompetent the guys who are using violence appear, when we think that they are actually trying to solve any other problems than their own. I guess that we all better invest in our own skills. I better build more guitars, and sing more songs! Also, your voice is very soothing, and your delivery is, as usual, AWESOME.
rileyyielding 2 years ago 2
Thanks for these Stef, very illuminating.
philonymous 2 years ago
Fantastic Stef. I would like to ask about your thoughts regarding the time scale. This French disaster occurred in less than ten years. Under the Reichstag, German hyperinflation destroyed the Mark in roughly the same time frame. But, here in America we see that a fiat currency has been around domestically since at least 1933, internationally since 1971. Has the global nature of the FRN slowed the visible effects or has the FRB been more conservative in its issuances than in these cases?
Soundmind78 2 years ago 2
Both. The FRN is often held as a reserve currency (and was officially the internat'l reserve currency under the Bretton Woods system), which has slowed its decline, and the Federal Reserve has historically been more cautious in its issuance of notes than, say, the French Revolutionary government or the Weimar government. Nonetheless, the dollar has fallen dramatically since 1933 (and even more dramatically since 1971), and we've had several major booms and busts since then.
nonantianarchist 2 years ago
So Stef. What should we do about it. Is a return to gold even possible( is there gold enough to support this). By your conclusions here we all basicly all screwed, or what?
rhbjorn 2 years ago
A return to specie, gold and/or silver as well as platinum, rhodium or w/e else the market can devise, is definitely possible, and surely preferable. If specie becomes relatively rare over time, wage cuts will have to occur. But this does not mean real value will have been lost. Supply and demand. We aren't screwed...but be ready for upheaval and be sure to avoid the guillotine.
Soundmind78 2 years ago
The problem is that even with a basket of metals there is not nowhere near enough to cover the values in modern economies. If the price of whatever is chosen as specie goes up drastically this would shift fortunes and create a high level of instability. So the effort could create the exact opposite of what was the point, a hyper deflation if you will.
rhbjorn 2 years ago
There is enough, technically, to cover any economy, it's just supply and demand. Even copper, tin, and zinc can be added for lower denominations. But I imagine you are correct about high temporary instability and instant fortunes for hoarders, even you could hoard pennies which even now are worth more as metal than as 1/100th of $1 FRN. However, far wiser men than I have proposed plans for a gradual return...it's not unlike quitting a physical addiction...cold turkey is hard, but it is doable.
Soundmind78 2 years ago
But it is not supply and demand, for two reasons. The supply is controled by whoever owns the mines, this is mainly 3. world despots with a all the reasons in the world to manipulate the market( think OPEC). Secondly the demand will rise constantly in any growing economy, not because of real value but because of a need for more currency. The result is inavoiable, hyper deflation, which will force a return to fiat. We would gain nothing except poverty.
rhbjorn 2 years ago
Finally got through it all!
That was loooong.
Good article though. My gold collection looks too small suddenly.
/buys more.
Individualism101 2 years ago
5 stars
chris3443 2 years ago