http://www.etsy.com/listing/87887353/silver-dime-trading-cards-police-state
Understanding “value”. What is “wealth”? What is a “dollar”?
“We, The Sheeple” have been fooled into thinking that a “dollar” can be used to measure “wealth”.
“Money is a matter of functions four, a medium, a measure, a standard, a store.” He repeated that four times like poetry. “Six Characters in Money: Portable – Durable – Divisible – Uniformity – Limited Supply – Acceptability.” — CHURCH 10●19●62 (Vol 1) 978-0-557-08387-9 page 110
While a “dollar” is STILL a medium of exchange — at least until OPEC demands to be paid for its oil in gold — that what tripped up old Saddam and “Colonel” Gaddafi — it fails a measure or standard. And, it acts very badly as a store of value or wealth.
Imagine a bunch of “dollars” in a storehouse or a pirate’s chest. The Gooferment, more specifically the Federal Reserve System. also mistakenly called the Federal Reserve Bank, can, by silently quietly sneakily PRINTING more “dollars”, can erode the value, aka purchasing power, of all the “dollars” in circulation. In fact, it’s even gotten easier nowdays. All they do now is go into their computer system and add some zeros. And, poof, they’ve “virtually” printed more dollars. It’s just that easy. Like a Ponzi scheme without all the fuss and muss.
Need an better metaphor, go get a monopoly game. There are a fixed number of houses in a real game. Make yourself “the banker”. Then. give yourself a bunch of house and hotels from a different game set. Place them on your properties as soon as you can slip them in. Call it “Quantitative Easing” or “Buying Bonds by the Open Market Committee”. If the other players say you’re cheating, send in your army and compel them to shut up and play. Kinda hard not to “win”.
Eventually, the marketplace discovers the fraud. All those “new” “dollars” eventually cause prices to rise as more “dollars” chase the same amount of goods.
If you were interested, we could probably come up with a funny example on “Robinson Crusoe’s island”. On Robinson’s island, besides Robinson and Friday, we need to add a banker like the FED and a few people. Let’s say, Robinson catches fish and Friday collects coconuts. At first the island population exchanges things, fish for coconuts. In fact, eventually something becomes the medium of exchange. The “firewood guy, as well as the butcher, the baker. and the candlestick maker, all have to exchange for coconuts. The candlestick maker, if he wants bread but the baker doesn’t want a candlestick, has to go to Friday and exchage a candlestick for some coconuts that the baker does want. Cumbersome. The banker has printed paper receipts that he give out when folks deposit their coconuts with him for safekeeping. A paper receipt for ten coconuts is easier to carry. All well and good. The marketplace establishes prices as eventually Robinson’s fishes are bid for by the villages. Eventually in every bidding war, some one says “thanks, but no thanks”. One fish equals two coconuts; one candlestick is 10 coconuts. And so on and so on. Now our banker prints up more paper receipts. The result is that there are more receipts chasing the same amount of goods, prices rise. And, until everyone wants their coconuts from the banker, the scam works. In the USA, when the scam is discovered, and folks lie up to get their gold for their greenback, FDR says “You can own gold and only foreign governments can exchange dollars for gold”. Up until, DeGaule or France says “I don’t want paper dollars” and Nixon says “Gold window is closed”. And, “We, The Sheeple” and the rest of the world just go along with the joke.
It’s like playing Monopoly where the player / Banker has an extra stash of Monopoly money in their hands that they “printed up”. Hard to “win”.
Argh!
That’s why “hard money” (i.e., money based on a commodity that can’t be printed like gold) is so much better for real people that “faith based money” (i.e., it’s money because someone says it is)!
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Reinke Faces Life 