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Posted on 07/16/2009 5:05:40 PM PDT by rabscuttle385
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A full and complete audit on behalf of the American people is LONG OVERDUE. Do it. Go Paul. Keep at it.
this one will disappear into a Committee, unless enough hell is raised to get enough signatures on a discharge petition
Oh gosh. What could they possibly be afraid of?
Wait a second. Isn’t it common knowledge on the FR that Ron Raul is insane? Shouldn’t we be against this then? I get so confused sometimes /s
Why would anyone think Ron Paul is insane? Only those who do not uphold the Constitution would think that. Out of ALL congress members only one rates voting 100% Constitutionally, and that’s Ron Paul.
This is true, but there simply isn't enough gold to back our currency. Perhaps a basket of commodities could be used, but I would envision many problems with this. It would be good to see a move away from fiat currency, if someone can come up with a reasonable way to do it.
bump
Ping
***This is true, but there simply isn’t enough gold to back our currency.***
I find this logic very interesting. How is there not enough gold?
Keep banging on that door. Sooner or later, someone will be forced to answer.
It would be good to see a move away from fiat currency, if someone can come up with a reasonable way to do it.
Nothing short of the above would work. No matter how noble the initial goal, human (as in political) nature would win out.
The total money supply of the United States exceeds the total amount of gold bullion, in the entire world. The total money supply of the world, far exceeds the supply of gold bullion.
In theory, it might be possible to back all money by using a number of different commodities, though this would be complex. It might also be possible to effectively back all money while only having hard backing for a percentage of it, though I'm not sure how this would work.
Still, eliminating fiat currency is a worthwhile goal, if anyone can figure out how to do it.
Because he was against the Iraq War. Didn’t you see all the freepers who called him insane and traitor?
Only those who do not uphold the Constitution would think that.
***The total money supply of the United States exceeds the total amount of gold bullion, in the entire world.***
At the arbitrary exchange rate of $42/oz of gold. The solution is then to set the exchange ratio at a number that will have the dollar fully backed by gold. For instance, (using random numbers) if there are 1 million ounces of gold and $5 billion, then the exchange ratio becomes $5000/oz of gold. From that point on, the total amount of dollars (electronic, paper, whatever) could not exceed the amount of gold backing them. In essence the dollar becomes a weight of gold, just as it once was (although originally it was a weight of silver).
***In theory, it might be possible to back all money by using a number of different commodities, though this would be complex.***
Are you familiar with bimetallism? When an exchange ratio is set between 2 commodities which necessarily have fluctuating values based on their supply and demand, one tends to become overvalued and the other undervalued. The overvalued commodity will drive out the undervalued one from use. The same logic applies to a “basket” of commodities, so I’m not sure why a number of different commodities would work in theory.
***It might also be possible to effectively back all money while only having hard backing for a percentage of it, though I’m not sure how this would work.***
So let’s say the dollar is 25% backed by gold at an exchange rate of $100/oz of gold (again purely random numbers). Why not just back the dollar 100% by gold by changing the exchange rate to $400/oz of gold? In theory the first system could work, but it defeats the purpose of having a gold standard, since there are bills unbacked by metal.
My personal opinion is that the market should choose what money is. As an initial step, the government should accept in payment whatever historically has been chosen as money, or in other words, what the market has already selected. At this point in time, that would probably be gold, silver, and perhaps other commodities such as oil, food, etc.
How come Mr. Transparency (Barry) hasn’t signed on with his support for an audit?
Maybe this is the reason.
“It is well enough that the people of this nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.”
Henry Ford
>***This is true, but there simply isn’t enough gold to back our currency.***
I find this logic very interesting. How is there not enough gold?<
remember at one time all currency was “payable on demand to the bearer” there were gold certificates, then silver, payable in the commodity. Until at one point inflation took over and that was no longer applicable.
Our currency became Dependant on a bunch of things “for our stability”
what happened was that they printed so much cash that the equal amount on demand of that commodity was so minute that it wasn’t good to show americans how much their dollars were actually worth.
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