|
As dollar loses value, living standard falls
Published October 13, 2009
In these perilous times of failing banks, massive credit-card debt, housing foreclosures, uncontrolled immigration, 10 percent unemployment and ever-increasing rate of devaluation of the U.S. dollar, let’s step back and take a sobering look at our collective future.
At the risk of sounding apocalyptic, I’ll quote some wisdom and a warning from a man I consider to have had a firm grip on reality, unlike some of our more “sophisticated” present-day financial gurus.
As you read, think about the downside of what waits on the horizon for all of us if we continue on our present course and history repeats itself:
“Blood running in the streets. Mobs of rioters and demonstrators threatening banks and legislatures. Looting of shop and home. Strikes and unemployment. Trade and distribution paralyzed. Shortages of food. Bankruptcies everywhere. Court dockets overloaded. Kidnappings for heavy ransom. Sexual perversion, drunkenness, lawlessness rampant. The wheels of government are clogged, and we are descending into the vale of confusion and darkness. No day was ever more clouded than the present. We are fast verging on anarchy and confusion.” — George Washington in a 1786 letter to James Madison, describing the effects of fiat paper money inflation then ravaging America in the pre-constitutional period.
Of course, our founding fathers, no shrinking violets, rightly figured out a way to avoid systematic annihilation of our fledgling country by coming up with a gold-backed fiat currency policy that made it illegal for the government to print paper money without backing of silver or gold. The system served us well until 1971, when President Nixon removed us from the gold standard
Every administration since Nixon has printed money with no regard for securing the amount of currency in circulation. As a result, the world is awash in American dollars backed only by the words, “full faith and credit of the U.S. Government.” Think about that for a moment. What do those words mean? Moving from the abstract into reality, and as a practical matter, when was the last time you believed someone who said: “I’m from the government, and I’m here to help you?”
Our founding fathers clearly knew something about geopolitical economics that our current leaders either have forgotten or never knew in the first place. To wit; in order for our country and its citizens to be successful long term, our money must be secure and respected. I don’t know about you, friend, but I don’t have much “faith” in the bureaucrats these days. I don’t see them solving any problems, not the wars, the economy, unemployment, immigration and certainly not the rapid pace of currency devaluation.
Baring significant “change that we can believe in,” no pun intended, I’m guessing the Western world soon will have to get used to a significantly lower standard of living. I sincerely hope I’m wrong, but history, all available evidence and my gut tells me things are going to get ugly quick. Y’all be careful out there.
Lon Bennett Glenn is an Angleton resident.
Share |
Save |
Mail |
Print
|
