The plain fact is, that 99% of Americans are being de-capitalized every day. 99% of American are having their net worth stolen from them every day. As each day dawns, and the sun rises, 99% of Americans are worth less than they were worth the previous day. How is this possible? Easy! There are several ways. One of them is to place your money in a CD, or a bank operated Money Market fund, both of which will yield maybe 1%. (I want to correct the previous column about Money Market funds. If issued by a bank, they are insured by FDIC, and are as safe as a dollar can be). Then there are savings accounts, which give maybe 1/2% interest.
We are having inflation, whose dictionary definition is, “An increase in the money supply.” Is the money supply increasing? The Fed is printing $80 billion a month, to time indefinite, which of course is fed into the money supply. The trillion dollar deficit, which is a trillion more than it receives in taxes for round numbers, is paid for by an increase in the currency supply. When you have bills and can’t pay them, you might be in a quandary, but not the federal government. The Congress and bureaucracy spends and spends, and spends, with no limit, and they simply print to pay the enormous bills. Selling bonds is what they do, and America buys them. The interest on bonds is less than the inflation rate, but more than a money market or savings account, but still less than inflation. Every time a bank makes a loan, it increases the money supply, till that loan is paid in full.
What can Americans do to protect themselves from inflation, which 99% of Americans suffer from, whether they know it or not? Get out of the dollar that is inflating, that’s what. The dollar is going down in value, and purchasing less every day, which is what inflation’s results are, and is what 99% of Americans’ surplus assets are in, in various forms. Dollars in savings accounts, dollars in money market funds, dollars in bonds of any kind, and it’s still dollars. They’re still going down every day, or in other words, purchasing less.
To get out of them, Americans should dollars them to buy something which will go up in dollar prices as the dollar loses value. Something which is easily stored, sold or used, and which will keep without refrigeration. This eliminates butter! Antiques are difficult to sell, be it cars, furniture, books, stamps, or paintings. Dealers can be ruthless in their dealings with antiques. Numismatic coins usually have a 40% or more difference between what a dealer will pay you, and what he will sell them for after he buys yours, so that isn’t too good. I have thousands of LP records, which I think may become valuable eventually, but I’m getting tired of waiting. Real estate hasn’t done too well as far as buying and selling, and rental units can be damaged very easily and cost a lot to fix.
Honestly, I really do believe that gold and silver are the answer. I really do. If we didn’t have inflation, gold and silver wouldn’t be necessary, because the dollar would be an adequate store of value, which is what money is, or should be. Think about it. A man earns a thousand dollars a week, and doesn’t need a thousand dollars. He spends, buying what he needs or wants, and the surplus either sits in his wallet or goes into the bank. Quite a normal thing to do, until inflation set in, which it did under FDR, and has only increased ever since. What to do with the extra? Save some for emergencies of course, because one can never tell when one may need dollars in case something bad happens unexpectedly. The rest? Save it in gold and silver.
Before FDR, gold coins were common, even down to the one dollar size, which were smaller than a dime, up to the $20 size, which was .9875 ounce. Every one had gold coins, and coins were made of 90% silver. Everyone saved in gold and silver then! In other words, everyone automatically saved in gold and silver before inflation set in. If you had them in your pocket, you were saving in gold and silver! Having coins in your pocket now, means you are holding the basest of metals, and they are worth but a fraction of their denomination, be it dimes, or quarters. Even pennies, since 1982, aren’t made of copper any longer. The whole thing is a total fraud, so you must not cooperate with it. Get out of the fake money, and get into real money to save, and that is gold and silver. So simple, isn’t it? But 99% of Americans have this unshakable faith in the government issued scrip and promises, that they can’t imagine any trickery going on within the sacred halls of Congress. Sacred, my aunt’s big toe! Will Rogers once said that America is in danger when Congress is in session, and it surely is!
We shouldn’t have to be in business. Dealing in gold and silver, should be unnecessary, if we still had gold backed dollars, and actual gold and silver coins in use as money, rather than inflation hedges, but we don’t. The buck is backed by the “Full Faith and Credit of the United States Government,” and I consider that phrase a huge joke. When a business or enterprise is begun and succeeds, it will fill a need, or it will fail. Restaurants have the biggest failure rate, and I don’t know which is next, but Colorado Gold isn’t failing, and we do absolutely no advertising. Colorado Gold works, because we are reliable, reasonable, honest, friendly, and if we can do this for 35 years and still have an A Plus rating from the better business Bureau, we must be doing it well. Just bought a slick class B motor Home. Google “Phoenix Cruiser,” and see them. We plan to go places and do things in Texas or other places in it, after December 31st. David, Melissa, and Morgen will be here for you. I’m not going to have my 888 phone turned off, and in case it gets really busy or someone gets sick, and I’m needed, I’ll be back at this same spot. Maybe I’m won’t be retiring, but taking some very long vacations.