So goes a story in the Journal a few days ago. Today our national debt is $39 trillion, and government spending exceeds that. A hundred years ago, in 1926, the national debt was $732,000, and the government income was $21 billion. Last year (2025) government income was $4.9 trillion, and it spent $6.3 trillion. Basic economics 101, would say then, we’re broke. When the government spends $1.4 trillion more than it takes in, this means that 1: Inflation is large. 2: The dollar is losing purchasing power. 3: Everything costs more. 4: Since neither you nor I have caused this, there is nothing we can do about it, other than obtain insurance against it. 5: The law says that you cannot drive a car without insurance, and if you have a mortgage, you must have insurance to protect the insurer. 6: There are no laws requiring inflation insurance, even though there is protection insurance against bank failures.
Smart people have health insurance, often times provided by their employer If they have a job. Everyone eventually gets sick, and when that happens, one hopefully has insurance to pay for a cure. People buy life insurance, so that when they die, their descendants will be cared for. Employers have insurance to pay an employee who gets injured on their job. Insurance is probably one of the largest businesses on Earth. The dastardly fire in California, which destroyed a thousand homes, some insurance is resisting payments for those who lost everything, and it will be in court for years. In the mean time, those burned out home owners are left in the lurch.
Some say that Social Security is insurance for old age, and in reality it is, however like 99% of insurance policies, as the dollar declines, the insurance coverage remains the same. Social Security cannot go broke, since payments can be made as is necessary via the printing press. The more printed, the less they will buy naturally, as in Stott’s Law.
I have never made an insurance claim, and I do have Humana, which costs me nothing, but makes a teeth cleaning free and cheaper visits to my dermatologist twice a year, etc, and sets a $7,000 limit per year maximum of claims, and gives me free OTC health items such as lotions, tooth paste, and vitamins. I am sort of protected health wise, and have ample assets for a serious problem. My life insurance is in my safe, and as the prices go up, my insurance goes up as fast as the dollar goes down, and with no payments due as this happens. I have plenty of homeowners insurance against whatever can happen to a home, and have a large liability coverage on my autos, because one can never know what could happen on the highway.
I suspect that one of life’s greatest mysteries, is that everyone knows prices are going up, but have not the foggiest idea of why. Allow me to inform you. The prices have been going up, ever since Franklin Delano Roosevelt was elected in 1933, and he wanted to solve the stock market crash and resulting depression. Roosevelt (FDR) and his Democrat Congress, passed welfare programs one after the other, (I think one of the first was public housing), and prices began to go up as they were paid for with un-backed paper money. Eight years later, the depression was still on, and World War Two got us out. That war, in three and a half years, made everything double in price, because that war was fought with un-backed paper money. The exact same thing has happened every year since 1933, and today, (I was outraged when food stamps began in 1972), government handouts and absurd wars have made government spending far more than it takes in.
#4 in the opening paragraph, is the inflation insurance we provide at 1% of our cost, including delivery or less for large trades. This insurance is not compulsory as is most insurance, but voluntary, and we urge you to consider us! It’s all that simple, and subsequent paragraphs will provide you with ample proof.
-Don Stott don@coloradogold.com