"This leads to loss of confidence in the nation and its institutions, and accelerates the decline of..."
by Gary Christenson via GoldSeek
In 1967 the Jefferson Airplane sang:
"When the truth is found to be lies,
And all the joy within you dies..."
Restate this for global currencies and it becomes:
WHAT LIES? There have been many. Examples specific to the United States:
President Lyndon Johnson: In 1965, after decades of excessive government expenditures which caused rising consumer price inflation and rising gold and silver prices, Johnson removed silver from U.S. coins. He stated,
"If anybody has any idea of hoarding our silver coins, let me say this. Treasury has a lot of silver on hand, and it can be, and it will be used to keep the price of silver in line with its value in our present silver coin. There will be no profit in holding them out of circulation for the value of their silver content."
Our President lied. One hundred dollars purchased 77 ounces of silver in 1965. A decade later $100 purchased 24 ounces of silver. In early 2018 $100 purchases 6 ounces of silver. In 2025 $100 will probably purchase a fraction of an ounce of silver.
President Richard Nixon on the gold window and Watergate: In 1971 President Nixon "temporarily" rescinded the agreement to exchange US dollars submitted by foreign governments for gold. He stated,
"Let me lay to rest the bugaboo of what is called devaluation... But if you are among the overwhelming majority of Americans who buy American-made products in America, your dollar will be worth just as much tomorrow as it is today. The effect of this action, in other words, will be to stabilize the dollar."
On Watergate: He stated:
"1. I had no prior knowledge of the Watergate operation.
2. I took no part in, nor was I aware of, any subsequent efforts that may have been made to cover up Watergate."
Our President lied regarding both topics. One thousand dollars purchased 24 ounces of gold in 1971. A decade later $1,000 purchased 2.2 ounces of gold. In early 2018 $1,000 purchases 0.7 ounces of gold.In 2025 $1,000 will probably purchase less than one-tenth of an ounce of gold.
Devaluation of currencies is necessary in our debt based fiat currency financial system. When leaders are caught lying the populace is more inclined to see corporate and banking control over government policies. This leads to loss of confidence in the nation and its institutions, and accelerates the decline of the currency.
When the truth is found to be lies,
Confidence in currencies dies.
Our former Presidents taught us to mistrust official pronouncements because they lied about the dollar, gold, silver, health care, sexual indiscretions, unemployment, inflation, and wars.
When the truth is found to be lies,
Confidence in debt-based fiat currencies dies.
Confidence in silver and gold will survive long after fiat currencies are devalued into worth-less-ness!
This article was originally written for Miles Franklin by Gary Christenson.