Virginia Considers Gold as Alternative Currency for When FED Breaks Down

Market Oracle ^ | 12 Jan, 2011 | Jason Hamlin

[Errant]

But more importantly, a way to continue some form of commerce should the dollar collapse.

[Errant]

"Easier, but more expensive"

Bulk Nickels

[Errant]

Who said anything about ignoring the Constitution? Also, another trait of liberals that I've noticed is the absence of “common sense”.

[dynachrome]

Maybe as long as it is redeemable in gold/silver. Trouble is, the state then has to set the amount, I guess.

[blam]

"Silver dimes are worth about FRN3, I think people will need even smaller units than that to facilitate commerce."

I think so too.

That's why I have collected thousands of nickels (75% copper/25% nickel). Currently a nickel is worth 6.87 cents but will never be less than 5 cents. See here.

[blam]

"Yea, pennies would have to be pre-1982. Maybe we could use cut-up water pipe?"

I just sold 129 pounds of scrap copper water pipe for $3.50 per pound. I turned right around and changed those green backs into nickels.

When copper was at $4.40 a pound on the spot market, I calculated that it was worth about 36 cents a Troy ounce.

[Errant]

Nice payday and tax free no doubt. ;)

Btw, for future reference in case of dollar collapse, 2 - 1/2 inches of 10 gage copper wire roughly equals the copper content of a pre-1982 copper penny.

[Errant]

What’s up with palladium? Is cold-fusion for real? I’ve heard Gerald Celente and others insinuating that we’re about to see major progress in alternative energy. Is there some other reason besides catalytic converters driving it up in price?

[MrB]

Very useful website:
http://www.coinflation.com

Shows you the current value of coins based on their metal content.

FYI, copper pennies right now are worth 2.9 cents.
Silver dimes about $2.13.
Silver nickels (42-45) about $1.66

[Lurking Libertarian]

From the article, "Virginia considers it their Constitution right" and "Virginia is considering the establishment of a joint subcommittee to study whether the Commonwealth should adopt a currency such as gold or silver to serve as an alternative to the currency distributed by the Federal Reserve System in the event of a major breakdown of the Federal Reserve System".

Didn't anyone notice that the Constitution says that "No State shall... coin Money"? (U.S. Const., Art. I, section 10, cl. 1).

[Errant]

Didn't anyone notice that the Constitution says that "No State shall... coin Money"? (U.S. Const., Art. I, section 10, cl. 1).

I believe the article only mentions, "the Commonwealth should adopt a currency such as gold or silver" and not anything about "coining" money.

In the same Art. I, section 10, cl. 1, the Constitution states that "No State shall... make any Thing but gold and silver Coin a Tender in Payment of Debts".

[blam]

"What’s up with palladium? Is cold-fusion for real? I’ve heard Gerald Celente and others insinuating that we’re about to see major progress in alternative energy. Is there some other reason besides catalytic converters driving it up in price?"

Don't know. That's a little exotic for me.

[rfreedom4u]

No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts;

The above is from Article I Section 10. To me this means that staes CAN coin money but only of gold or silver and only in payment of debts.