Gold Standard, Fractional Reserve, and Ron Paul

Brother Nathaniel’s piece about futility of the gold standard and “Austrian School” economics is right on in my book. If Ron Paul is such a great student of economics, how could he fail to discern that a gold standard has really never done shit for general prosperity? [Has it? I site National Socialist Germany and American Colonial Scrip to counter.) Yeah, Paul wants to end the Fed, but that could be cover to make him seem entirely legit for those that both know anything and care about anything. Another Hegelian ploy. Problem = the economy. Reaction = end the fed. Solution = gold standard. Paul is a freemason. I frown on freemasonry. Paul named his son after a nasty and brutal jewess credited with creating the “philosophy” of objectivism. Wow, what a “philosophy”, let me tell you. Objectivism in a nutshell is essentially rejection of guilt and responsibility for selfish ambition and greed. It is a philosophy that fits with the imaginary Hollywood rendition of “Nazism.” Austrian economic babble purports to solve the problems of society and economics with economics. It’s a gold standard. It’s laissez-faire. Shake and let set and all problems will be solved. Regarding that stupid gold standard illusion: would, say, a bunch of computers send information between one another any more effectively or securely if there were a chest of gold in their midst? The value of money has nothing to do with gold unless one is trading it for gold. No country on earth currently “backs” it’s currency with gold. Why? because it doesn’t need to; that is, unless it is forced to. If non-gold-backed currency can be used to facilitate trade among all other goods independent of gold, then why the heck is gold required? To combat inflation? To stimulate savings? These are both problems of the quantity of money and how it is originated. No comment on the origin of dollars, Dr Paul? That’s a significant problem right there. We already know about inflation. It’s a symptom of printing money. But that’s diversionary. If two hundred clams are in circulation in lieu of one hundred then two clams will replace what one formerly did, but if the extra hundred was on loan, as it is with the “fractional reserve/central BANK” setup that is foisted on us then the other 100, as well as a hefty portion of the original 100 has to be paid to the lenders. That is where real inflation comes from. It is the effect that occurs when usurers draw away a greater and greater share of real economic activity in the form of interest payments. Usurers don’t actually DO anything, yet people that make and do real things have to channel increasing portions of their money resource to pay off usurers. There is more nominal money in the economy when the principle remains unpaid, but that money has less and less power the more and more interest there is. A way to think about this is how much more value and power you yourself have when you take out a loan if it has half the interest rate of an alternative loan. More debt equals less power. For you. More for them though. The fed was sold as free money. Free money was what we had before the fed. No we have very, very expensive money. Assessing a cost for money brashly contravenes the intent of the stuff. Ron Paul, sad to say, is either a fool – or a fraud. Keep in mind Paul is a known mason…


About americanalliance

I am interested in America. The land, the people. There is a MAJOR disconnect between the American nation and the so-called "elite."
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