Thursday, January 19, 2012
Ted Anderson, Owner of GCN and Midas Resources talks about the return to the Gold Standard . The reason gold has such a steady and dependable value is because there's barely any new gold being produced in the world , they hardly mine any gold lately , the banks and governments are buying hundreds of tonnes of gold , the whole market of paper gold is rigged and the government is doing its best to keep the gold price low and keep the US Dollar afloat , The Fed is selling the US gold reserve through the bullion banks JPMorgan Chase and HSBC bank. Officially, gold from Ft. Knox isn't being "sold", but "leased" to the bullion banks, who then sell it into the market in bursts when needed to crash the price. This allows the Fed and Treasury to pretend that the gold is not actually being sold, but only lent, to the banks. The goal is to make the dollar look strong.quantitative easing simply means that If we throw more paper on top of our problems, they'll disappear! we didn't have trillions of dollars in debt with a gold standard. The gold standard has it's faults, but with paper it's very easy to abuse and devalue the dollar, as they can print it whenever they want. Can't print gold. Ron Paul doesn't advocate the return to the gold standard, but instead prefers to eliminate legal tender laws and to remove the sales tax on gold and silver, so that the market may freely decide what type of monetary standards there shall be.