Riding Into the Sunset or a Brick Wall?
Tuesday, October 09, 2012 – by Peter Schiff
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If everyone starts to carry rolls of cash everywhere, it’s not a big leap to carry coins. A silver coin the size of a dime is currently worth about $3.50. Two could buy you lunch.
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As someone, who remembers 29 cent per gallon gas — with a glass, trading stamps, and a guy to wipe the window, it’s not a far stretch to imagine a country using gold and silver coins as money.
Paper should be bank warehouse receipts. No fractional reserve banking should be permitted.
We shouldn’t let the elite effete political class define money. Money should be a weight of something. The free market will assign it a value.
In the debate Ron Paul gave a classic line about “in the Sixties, three silver dimes would buy a gallon of gas and those same three silver dimes would buy more gas now”. Still true. Even in California.
Now if you are reading this, just ask yourself: “What’s changed?”
Three silver dimes = gallon of gas in 1960’s = more than a gallon of gas in 2012.
Yet, gas is now over $3 per gallon. 5 in California.
Could it be that the value of the dollar has changed? Not the value of silver or gasoline?
What’s the yardstick?
This makes the case that gasoline is actually CHEAPER now.
And, the politicians tell us there is no inflation!
No wonder the oil sheiks are screaming like stuck pigs. They are getting robbed like the rest of us.
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