Catch Up

Been stockpiling the following for comment:

Silver shortage vs coin shortage

I’ve been on this issue for a long time, now I have backup from David Morgan: In 2008 there was no shortage of all silver per se, but there was a shortage of coins, bars and other retail “investment” items. The evidence: Much . . . → Read More: Catch Up

A Third Option

Karl Denninger:

In many ways the monetary policy issue is even more important, simply because we are running out of rope on our national debt-addiction rappelling adventure and the floor is still 100′ down.  That’s a serious problem — and “gold standards” do not (in fact cannot!) fix it.  The only fix that works is to demand and enforce a . . . → Read More: A Third Option

GoldMoney is no longer Gold Money

Digital Gold Currency Magazine is reporting that GoldMoney is suspending the ability to make and receive payments in precious metals to or from other GoldMoney customers due to the “global increase of compliance requirements for payment service providers.”

This capability was the key differentiator of GoldMoney to other online precious metal storage businesses. It . . . → Read More: GoldMoney is no longer Gold Money

Ideology and Pragmatism

ASI, on Friedman’s pragmatism:

He is known, of course, for his work on money and inflation. But he did not propose, as Hayek did, competition in currency production. He thought the reality of our times is that governments are in control of the money supply, so the question is simply how to sustain them. . . . → Read More: Ideology and Pragmatism

Porter Stansberry: Enough Already, Let's Return to the Gold Standard!

The money supply increases naturally by exactly the amount of increases in productivity in a healthy economy, notes Stansberry & Associates Investment Research Founder Porter Stansberry. He doesn’t have to point out that the economy isn’t healthy, nor that the money supply expands every time the printing presses run to bail out a failing . . . → Read More: Porter Stansberry: Enough Already, Let’s Return to the Gold Standard!

Ron Paul offers economic solution

Prevailing practitioners of economics tell us that inflation stimulates exports. They get this inverted. Otherwise, pray tell, why wouldn’t Zimbabwe be the world’s leading exporter? Inflation inflicts injury upon the manufacturing base, engendering capital outflow and the destruction of jobs.

Contrary to prevailing economic orthodoxy, inflation is not export-friendly. Inflation nurtures dependence upon cheaper . . . → Read More: Ron Paul offers economic solution

Ian Gordon: Gold Stocks Offer Protection from Financial Storm

Economic cycles, like weather, run in seasons. Longwave Group Founder Ian Gordon explains why he believes the world economy is in the “winter” portion of an approximate 80-year cycle and how the financial excesses of the past 60 years are now being wrung out of the system. Ian also explains how investors can . . . → Read More: Ian Gordon: Gold Stocks Offer Protection from Financial Storm

Gold Bugs

The price of gold has gone over $1,400 an ounce recently. In addition to the raft of stories and questions about investing in gold, I get questions about whether we should return to the gold standard. Blogger confession – I’m going to use the opportunity to organize my own thoughts on the issue.

The . . . → Read More: Gold Bugs

Credit Restriction

From Prosperity and Depression: A Theoretical Analysis of Cyclical Movements, G Von Haberler, rev ed., 1939, published by League of Nations:

Prosperity comes to an end when credit expansion is discontinued. Since the process of expansion, after it has been allowed to gain a certain speed, can be stopped only by a jolt, theere . . . → Read More: Credit Restriction

Illusions Evaporate Even On Tax Day


On 4 March 2009 the Armenian Dram went poof, on 6 February 2009 the Kazakhstan Tenge went poof, in October 2008 the Iceland Krona went poof, during 2008 the British Pound went poof and the Continental Dollar went poof prompting the Founding Fathers to craft particular monetary powers and disabilities in the United . . . → Read More: Illusions Evaporate Even On Tax Day