Gold Ownership

WE could not produce it, borrow the money, or have logistics to support it without a strong economy. Logistics wins wars, not brave soldiers, and logistics is a mirror of the underlying economy.

 

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The reason military might matters is because if a country is conquered, you probably won't be able to access your money.

That's why Switzerland relied on neutrality the last few centuries.

If you are a military or even economic superpower -- even both !! -- if you don't have rule of law, private property rights, and large liquid financial markets...you won't be a reserve currency.

 

That's why they will only find the jar with my mercury coated cents...

 

True...but given our current fiscal trajectory, China could end up being the tallest midget in the room.

 

Don't tell the North Korean leader....

 

We've exported our logistics to China.

 

We live in an age where there are endless outlets for opinions and information to be disseminated. Markets Insider is likely an honorable publication. I simply don’t know. What I would bet though is that either the author or the publication has an agenda behind that story...... In the end, I am rather like @johnmilton. After the fed has spent decades selling us physical gold, to turn right around and demand it back?? And you think we have problems now???

 

Really the most practical argument is would people let it happen and the answer is no. You could then go into the fact it would actually cost the governments money as they lose a cash cow and that’s all before even taking everything else into consideration which absolutely matter

 

It doesn't make sense. What FDR did in 1933/34 was in revaluing gold UP so that the money supply would INCREASE.

There's no reason for the government to seize gold today any more than they would want to seize iPhones, raw copper, boxes of Fruit Loops and Cheerios, or decaf K-Cups.

The 1933 confiscation was about lowering the value of the dollar and giving the Fed more flexibility (which they probably already had). Of course, having created a Central Bank -- The Fed -- in 1914 to work in conjunction with a gold standard was a bit like hiring Woody Hayes ("3 yards and a cloud of dust") to be your football coach and naming Dan Fouts to be your QB. . You also had a schizophrenic relationship where the Treasury watched the dollar and the Fed watched the money supply, a schizo arrangement not solved until the Fed-Treasury 1951 Accord.

The government lied about the necessity of confiscating gold from American citizens in 1933 just like they've lied about the ownership of those 1933 Saints.

 

Just what I was thinking reading it back in May...ridiculous, right?

A lot has happened since then. We should do well with tax receipts this year as folks convert 401Ks to Roths...but after that, who knows. I don't hear anyone talking about spending cuts. If fact, they're talking about a Trillion Dollar coin again...to get around Congressional mandates.

"The concept of striking a trillion-dollar coin that would generate one trillion dollars in seigniorage, which would be off-budget, or numismatic profit, which would be on-budget, and be transferred to the Treasury, is based on the authority granted by Section 31 U.S.C. § 5112 of the United States Code for the Treasury Department to "mint and issue platinum bullion coins" in any denominations the Secretary of the Treasury may choose. Thus, if the Treasury were to mint one-trillion dollar coins, it could deposit such coins at the Federal Reserve's Treasury account instead of issuing new debt."

https://en.wikipedia.org/wiki/Trillion-dollar_coin


"Old Charlie stole the handle,
And the Train, it won't stop going,
No way to slow down...
No way to slow down"
...Jethro Tull "Locamotive Breath"

 

Again won’t happen and been nonsense floated for years and years

 

I pray your right!

 

It doesn’t even crack the top 10000 of things to be worried about

 

I spent ten (10) years putting together a complete set of MS70/PF70 First Spouse coins. I would hate to lose them now.

 

He just has to let his porcupine quills grow some more.

 

Confiscating gold might cause a stampede into Bitcoin. IMO, they worry more about Bitcoins popularity than gold bugs.

 

Agree completely. They no longer even care about gold. It is ethereal, hard to track bitcoin that is banker enemy #1.

 

In the United States, crypto-currency is treated as a commodity, same as Gold...which incurs a tax consequence (gain/loss) each time it changes hands...so there's that.

 

It would collapse virtually ALL financial markets.

You'd basically have an abrogation of property rights, sort of what some politicians are advocating today for The Greater Good.

You'd have a collapse in financial assets dwarfing any drop or rise in gold or BitCoin.

You'd have less of a problem banning and confiscating iPhones.

 

Lol that would literally be instant civil war taking away something that almost half the country spends a significant amount of their day on.