[citizen]

Excerpt:
It is important to note that on this historic day 40 years ago, the dollar quietly ceased to be money and instantly became a currency. Money and currency are often considered as one and the same; however, there are meaningful and significant differences between the two. While fiat currencies function well as a medium of exchange and a unit of account, they fail miserably as a store of value.

[BipolarBob]

Good find. I own gold stocks . . but they are stocks. I wish I had physical instead.

[nascarnation]

If you read Dave Stockman’s book (The Great Deformation - all 780 pages) it lays out the carnage.

The real challenge though is timing. Timing is everything. The party has gone on far longer than I ever imagined it could.

[EagleUSA]

As most know, the only thing holding up the dollar is CONFIDENCE in the US economy. Well, we know what has been deliberately done to that. Meanwhile, pumping up the a faux stock market value with reams of printed dollars.

Just think about what someone who hates this country and its very successful capitalistic system could do by simply turning off the money presses......pretty ugly, eh??

[Phlap]

In fact, the “world” is in net debt but fortunately, it owes it self.

[MomMcGraff]

Exactly right. 40 years ago, the dollar became totally in flux. No definite measure. Sorta like if a one foot measure (12”) changed daily. Today a foot = 11”, tomorrow it’s 11 3/4”. It would mess up carpentry, building, etc. Same concept. Credit to John Tamny for this analogy.

[Night Hides Not]

Tomorrow, September 2nd is Atlas Shrugged Day. In the novel, several major events occurred on 9/2. For those of us who think AS is nearly nonfiction, tomorrow would be the appropriate day for the STHTF.

[expat_panama]

...fiat currencies function well as a medium of exchange and a unit of account, they fail miserably as a store of value

Sounds bogus given that over the past four years gold has lost 36% of its purchasing (ok, trading) power while the dollar's only lost 5%.  Nevertheless how come if a gov't declares the dollar's pegged on the cpi then it's "fiat", but if the gov't says it's pegged on gold it's not "fiat"?

 

Ah, and why not silver?  Oil?

[Arthur McGowan]

I have known that the dollar would eventually be worth paper since I was twelve years old—in 1965—when the murderer of JFK took the silver out of the coins. He promised that silver coins and the new slugs would circulate side-by-side forever. Hahahahahahah!

If you want to know whether your government is a government of murderers, liars, and thieves, just look at your money. If it’s fiat money, then you have a government of murderers, liars, and thieves.

[Southack]

Lachesism