Why Buy Gold Now?

Politicians have already spent so much money that every American citizen – man, woman, and child – owes $40,000 to wealthy international bankers. Local, state and federal governments are bankrupt.

Buy Gold for Financial UncertaintyThe New York Stock Exchange declined more than 40% from its pre-recession highs. The housing market has collapsed. Unemployment increases. Everyone is in debt. There is no money. Inflation increases. Businesses see an uncertain climate. Banks are not lending.

Macro-economic and geo-political factors have led to a great deal of uncertainty in world financial markets. Markets hate uncertainty.

Wise investors have increasingly diversified their financial portfolios by buying gold due to these dangerous world events. Gold is a safe haven investment. It does not depend on politics for its value.

Why is Gold Valuable?

When couples get engaged to be married, they usually give each other valuable gold rings to commemorate their relationship. Gold is shiny. It is attractive. Gold exudes success.

The Economic Laws of Supply and Demand establish that commodities that are rare (in low supply) are more valuable (in high demand). Paper can be manufactured from wood, which is in plentiful supply. On the other hand, there are only a limited number of gold mines in the world. Gold is infinitely more valuable than paper because it is rarer.

What is Money?

Money is both a currency of exchange and a store of value for trade. Throughout history, many different items (cowrie shells, cigarettes, and jewels) have been used as money depending upon the natural resources available. Copper, silver, and gold have been the most widely used precious metals for international trade. They are attractive, scarce, and malleable enough to turn into valuable coinage. Governments mark coins with symbols of their authority to turn them into money.

The term, “karat”, used to measure the purity of gold, is derived from “carob seeds,” which are known for having a uniform weight. It is essential that all currency be minted into uniform shapes, sizes, and weights in order to facilitate equitable trade. Money symbolically represents the wealth of cattle, vehicles, or real estate.

Gold has always been valuable; thus, it has always been used as a store of value. Most nations have large vaults full of gold bullion kept in reserve. They know that this beautiful metal will most likely appreciate in value because everyone desires gold.

Gold as an Investment

Stock prices go up and down; most companies eventually go bankrupt. Real estate prices go up and down. Nations rise and fall.

Gold stands the test of time. It has an intrinsic value that withstands dramatic changes in stocks, bonds, and real estate. Gold continues to appreciate in value while comparative investments decline.

Gold is like nature. It remains throughout all of man’s monumental mistakes. Neither war nor economic collapse nor currency crisis can strip gold of its value.

Why do we Have Paper Money?

Paper money has a long history that always has the same conclusion: hyperinflation. Most nations begin with gold, silver, and copper coinage. Ideally, all money would be in gold coins; but, some nations don’t have gold.

All governments have the same temptations to deal with: How do we prevent ourselves from abusing our power? Paper money exists because all governments, including the European-American political-economic system, share the same tragic flaw as the failed Roman Empire. Once these governments monopolize the power to declare war and issue currency, who will punish them when they misuse these powers?

The Roman Empire started with gold currency that had value. At first, all governments have no debt. With endless wars, they must issue more currency to pay off their debt. Eventually, when the precious metals run out, they start to issue paper money.

The Roman Empire believed it was unstoppable. It engaged in expensive, endless wars that led to economic collapse. The hard-working businesses were overtaxed. The government created a currency crisis by printing too much money. This led to high inflation. Businesses failed. Soldiers returned to unemployment. The government spent more money on welfare assistance, which was paid for by higher taxes, which led to more inflation and a devalued currency. It was a vicious cycle.

Eventually, the currency became worthless. The system failed.

Federal Reserve System

Surely, the United States won’t make the same mistakes.

Unfortunately, it is already making the same mistakes.

The United States government does not actually own or control its own currency. It pays a private international banking consortium – called the Federal Reserve System – to issue, control, and manipulate the “promissory note” known as the dollar. The Federal Reserve does not answer to the “People.” It only seeks to make a profit by printing money.

Geo-Political Strife: Endless War

So, is the United States following the Roman Empire error of fighting “Endless Wars?” Yes. The “War on Terror” is an “Endless War”.

The very definition of “terror” is the use of force to cause fear. That means that all police forces and every military is a terrorist organization. Thus, the United States has declared war on every police force and military in the world. No nation can fight every nation in the world.

After six years of World War II, the United States could demonstrate tangible gains, benefits, and advantages. After eight years of War in Afghanistan there are no measurable gains, benefits, or advantages. Drone attacks do not rebuild Afghanistan.

Afghanistan is one of the poorest countries in the world. It has been called the “Graveyard of Empires;” Macedonians, British, Russians, and Americans have died for “bragging rights” in a country full of unemployed Afghanis waiting for the right time to expel the foreigners.

War brings profits for the military-industrial complex: weapons, salaries and construction. There is no peace because there is no money in peace.

Double-Dip Depression

The political-military-industrial-media complex continues to “hide” the “truth” about the political and economic dangers facing the European-American countries. Just like Ancient Rome, these nations provide bread and circuses to keep the people fat and dumb. The largest media outlets are owned by the same big businesses selling weapons to the military. All collaborate to make the unsustainable system last one more day; they are paid with devalued currency.

The double-dip depression is probably worse than any of us know: high unemployment, massive debt, failing businesses, banks not lending, moral degradation …. The politicians simply play their fiddles while Rome burns.

European Union and Ango-American Welfare

The European-American Socialist Utopia is unsustainable. The PIIGS (Portugal, Italy, Ireland, Greece, and Spain) are heavily in debt having provided expensive services for their citizens in exchange for their votes. The “cradle-to-grave” welfare system rewards sloth, laziness, and lethargy. Why work when the government pays for everything?

Nations with high savings rates, like Germany, will eventually own the nations with low savings rates, like the United States. A decade ago, the United States, the United Kingdom, and Australia all had healthy savings rates. Now, they have non-existent savings rates.

The poor already receive large amounts of government assistance. The middle class is heavily in debt. The wealthy hide their money in Switzerland.

Where is the money? These governments no longer use tax money to stimulate their economies; they use it to repay wealthy bankers. Banks don’t have money to lend to businesses. They can’t create jobs.

No Government Lasts Forever

The Roman, British, and Soviet Empires all failed for all the same reasons: endless war, expensive welfare programs, and economic collapse. They all became morally, economically, and politically bankrupt.

The Gold Standard

Gold has many uses, besides being used for money; it can be melted down for use in jewelry or industrial production. It is a safe store of wealth that is recognized by everyone as being valuable.

Paper money deteriorates quickly. It can be burned, torn, or eaten by insects. It is easy to counterfeit. It eventually leads to inflation when too many dollars chase too few goods.

Gold is a Solid Investment in Our Uncertain Times

Gold bullion is formed in uniform, weights, shapes, and sizes so they can be used by nations for international trade. They are usually expensive.

Gold coins are more affordable. These have been minted throughout history by private banks, the US Money Reserve Inc, and governments. They are easy to transport.

Control Your Wealth by Investing in Gold

Wise investors have diversified their portfolio with gold. In the last couple of years, gold’s value has out-paced the stock market. It is the best investment for chaotic times. Stocks, bonds, and real estate will likely remain deflated because of political uncertainty and too much supply.

Gold is a safe haven in uncertain times. It is a rock in the wind. It is a lesson in returning back to the basics. It is the wisest investment in these difficult times.

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