Category: Fiat Currency
The analysis published under this category are as follows.
Tuesday, June 26, 2018
Sound Money Needed Now More Than Ever / Currencies / Fiat Currency
By: MoneyMetals
The sound money movement reemerged on the national political scene a decade ago. In 2008, the financial crisis brought in a fresh wave of U.S. gold and silver investors.
Ron Paul and the Tea Party advocated for limiting government and ending the Federal Reserve system. Sound money advocates made real inroads in recruiting Americans to their cause based on evidence that the nation is headed for bankruptcy.
The implications of the most recent financial crisis went way beyond budget and finance.
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Tuesday, August 01, 2017
When Fiat Currencies Die - Preparing to Barter and Trade Is NOT a Loony Idea / Currencies / Fiat Currency
By: MoneyMetals
Let’s start with this fact; fiat (paper) currencies die – often spectacularly. That is why precious metals may someday be needed for barter and trade. Anyone who thinks it is silly to worry about such a thing is putting blind faith in Federal Reserve Notes.
The U.S. dollar is having a great run, no question. It will soon be 50 years since Nixon closed the gold window, thereby converting the dollar to a purely fiat currency. Five decades is longer than most purely fiat currencies survive.
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Wednesday, July 26, 2017
Money Is Money, Wherever It Comes From / Currencies / Fiat Currency
By: Raul_I_Meijer
One of the crucial things to understand about today’s world is that money is fungible. Whether it’s created in Japan, Europe, China or the US, once it’s tossed by a central bank into one or another part of the global economy, it eventually finds its way to a common pool of liquidity.
So the modest US tightening of the past year (100 basis point increase in the Fed Funds rate, slight decrease in Fed balance sheet) has to be seen in a global context. And that context is still insanely easy. Here, for instance, is China’s “social financing” – their term for total new debt:
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Friday, July 14, 2017
Global Currency Reserve At Risk / Currencies / Fiat Currency
By: Jim_Willie_CB
Within the US borders, the population remains largely ignorant of the true significance of the global currency reserve concept. It is of paramount importance, yet almost never discussed in the financial press. The public within the United States simply assumes the country operates with the USDollar as its currency, with near blindness to its global role in trade and banking. The end of an era is coming, as the change will be powerful in its effect. The shock wave could hit this year in some form, in a manner to highlight its importance.
Tuesday, June 27, 2017
The Ultimate Regulatory Reform: Abolish Fractional Reserve Banking! / Politics / Fiat Currency
By: Antonius_Aquinas
The Trump Administration has presented the first part of its plan to overhaul a number of Wall Street financial regulations, many of which were enacted in the wake of the 2008 financial crisis. The report is in response to Executive Order 13772 in which the US Treasury Department is to provide findings “examining the United States’ financial regulatory system and detailing executive actions and regulatory changes that can be immediately undertaken to provide much-needed relief.”*
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Tuesday, April 11, 2017
Origin And Danger Of Fractional-Reserve Banking / Currencies / Fiat Currency
By: Kelsey_Williams
If there is any one thing in particular that threatens the collapse of our banking system and financial structures worldwide, it is the practice of fractional-reserve banking. The subject is rarely mentioned in the financial press. When it is mentioned, a clear explanation is usually not available.
Wednesday, March 08, 2017
Capital Controls May Be Coming to the US / Currencies / Fiat Currency
By: John_Mauldin
Those who hoped President Trump would tone down his protectionist rhetoric will be unnerved six weeks into his tenure. From his meeting with business CEOs, Trump has put trade “front and center.”
So far, all is going well for the president. Markets are inching higher, and inflationary forces have picked up. However, bringing back jobs and reducing the trade deficit will be a tougher task.
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Monday, February 27, 2017
Oscars Debacle – Movies More Costly As US Dollar Devalued / Currencies / Fiat Currency
By: GoldCore
- Cost of Best Picture winners show very significant devaluation of the dollar
- Average cost to make an Oscar winning film is over $43 million – in gold terms, this is over 106,000 ounces
- Four $15 million films show nearly 100% difference when priced in gold ounces
- Oscar fiasco was courtesy of error by accountants PWC
- Whilst the price of the films remained the same, the cost in gold ounces fell from 11.53% of the cost to make the Departed, in 2009 to just 6.4% in 2012
- In an error prone, irrational and volatile world, gold retains value over time …
Tuesday, January 24, 2017
Will Trump Usher In an Era of Sound Money? / Currencies / Fiat Currency
By: MoneyMetals
Now that Donald Trump has been sworn in, Americans will start getting some glimpses of what his presidency actually means.
Here are some educated guesses of what to expect when it comes to the dollar and sound money issues, based on what we know before the kick-off of Trump's administration.
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Wednesday, December 14, 2016
Forget about Fake News – Worry about Fake Money / Currencies / Fiat Currency
By: MoneyMetals
Post-election airwaves and publications today are filled with bad news, good news, and fake news.
The bad news is ‘fake news’ is very real. The good news is fake news is nothing new. The even better news for gold and silver stackers is they have learned to live with decades of fake news about sound money.
You already know all about fake news. It used to go by other names – lies, propaganda, false advertising, and brainwashing, to name a few. Now we can add polling results and agenda-driven predictions to that list.
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Wednesday, November 23, 2016
Chinese Renminbi Amid US Dollar’s Global Risk / Currencies / Fiat Currency
By: Dan_Steinbock
In the long-term, Chinese renminbi enjoys strong prospects. In the short-term, it must cope with domestic and international pressures – and the US dollar as the new “fear gauge.”Recently, the Chinese renminbi fell to its lowest level since late 2008. Currently, it trades around 6.88 to US dollar.
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Wednesday, October 12, 2016
And You Thought the Silver Market was Rigged / Currencies / Fiat Currency
By: Dr_Jeff_Lewis
We live in a world where the yield-starved and tech-savvy conspire in the basement of the underground and unaccounted. While the rise of Bitcoin and the explosion of alternative currencies may become the new scapegoat of behavioral finance, there is nothing quite like the reality of trickle down finance gone wrong.
Recently, EU officials called for putting safeguards on Internet currency.
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Wednesday, September 28, 2016
The Federal Reserve Note "Dollar" Is Indeed Dying, but Not Next Week / Currencies / Fiat Currency
By: MoneyMetals
Some say the U.S. dollar may die 5 days hence. The Chinese renminbi will kill it. Much is being made of plans by the International Monetary Fund (IMF) to add the renminbi to its basket of strategic reserve currencies called Special Drawing Rights (SDR). The IMF will make the change on October 1. While the implications for the Federal Reserve Note, currently the U.S. dollar, as the world’s primary reserve currency may be profound over time and the importance of this even should not be overlooked, the impact is unlikely to happen overnight.
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Wednesday, September 14, 2016
Financial Intervention - The Monkey and The Fish / Currencies / Fiat Currency
By: Dr_Jeff_Lewis
“Kindly let me help you or you’ll drown, said the monkey to the fish as he placed him safely up the tree.” – Unknown
The financial system (mistaken for the economy) is so bloated with risk that any number of events could trigger an explosion that would reach much further than anyone could imagine – causing irreparable damage.
Because of the size and the massive dependence on the institutions (who have evolved like a cancer from big finance), the resulting carnage will reach out much further than the primary institutions.
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Saturday, August 20, 2016
The Chimera Of Stable Money / Currencies / Fiat Currency
By: Frank_Hollenbeck
Since the early 19th century, economists have consistently preached that the value of money or its purchasing power should be stable or relatively stable. David Ricardo, in 1817, said: “A currency, to be perfect, should be absolutely invariable in value.”
According to this view, money as a unit of account should be equivalent to a yardstick measuring an immutable distance. Over the last century, this view of money has led economists to suggest that prices, reflecting the purchasing power of money, as measured by a price index [1], should also be stable and that central banks should actively interfere with the market economy to bring stability to such an index. The U.S. Central bank has essentially been following such a policy since its inception in 1913. Price stability is inscribed in the Maastricht Treaty, and the goal of hitting a 2% CPI inflation target is a variant of this widely-held view.
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Wednesday, August 03, 2016
The Colors of Money: Andrew Jackson Still Fights the Banking War / Currencies / Fiat Currency
By: MoneyMetals
This year marks the 101st anniversary of Andrew Jackson rolling over and over in his grave.
Back in 1915, the brand new Federal Reserve pasted the 7th President's likeness on its first $10 debt note – a sharp slap to the President who fought and won his famously bitter battle to destroy the “corrupting monster” of central banking.
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Monday, August 01, 2016
4 Stages of Fiat Monetary Madness / Currencies / Fiat Currency
By: Michael_Pento
There are four stages of fiat money printing that have been used by central banks throughout their horrific history of usurping the market-based value of money and borrowing costs. It is a destructive path that began with going off the gold standard and historically ends in hyperinflation and economic chaos.
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Wednesday, July 27, 2016
Monetary Zika - The Insidious Nature of Credit Expansion / Currencies / Fiat Currency
By: Dr_Jeff_Lewis
The insidious nature of credit expansion under the implicit guise of forced legal tender has worked it’s way (essentially) undiagnosed through many generations.
Viruses work from the inside out. They take over the control center of a cell. They use the existing machinery to proliferate.
Ultimately, the most successful become part of the host. Some become a part of the genome.
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Monday, July 25, 2016
Here’s One Currency That Could Go to Zero / Currencies / Fiat Currency
By: John_Mauldin
BY JARED DILLIAN: Shinzo Abe just scored a decisive victory in the upper house elections. Let me explain why that is not boring.
Abenomics was conceived in 2012 as a way to combat Japan’s never-ending deflation and pseudo-depression. It included a truly massive program of quantitative easing. This involved the printing of yen to buy all sorts of assets—including stocks!
Abenomics has continued for four years… with mixed results.
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Thursday, June 09, 2016
How Fiat Money Destroys Culture / Politics / Fiat Currency
By: MISES
Jörg Guido Hülsmann writes: It may seem unusual that an economist would talk about culture. Usually, we talk about prices and production, quantities produced, employment, the structure of production, scarce resources, and entrepreneurship.
But there are certain things that economists can say about the culture, and more precisely, that economists can say about the transformation of the culture. So what is culture? Well, to put it simply, it is the way we do things. This can include the way we eat — whether or not we dine with family members on a regular basis, for example — how we sleep, and how we use automobiles or other modes of transportation. And of course, the way we produce, consume, or accumulate capital are important aspects of the culture as well.
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