PAUL VOLKER: 'GOLDIS THE ENEMY'
Posted on March 26, 2015by The Doc
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Last night former Fed Chairman Paul Volker publicly admitted what every SD reader has known for years…
Submitted by PM Fund Manager Dave Kranzler, Investment Research Dynamics:
JBGJ attended a meeting in NY last night at which Paul Volcker spoke. The fervor with which Volcker repeatedly asserted that gold was ‘the enemy’ during his term as Federal Reserve Chairman was striking. – John Brimelow, “JB’s Gold Jottings”
That meeting referenced was last night, March 25, 2015. Over the years Paul Volker has made it no secret that the Federal Reserve has assumed a policy in which it seeks to control the price of gold. From his memoirs, excerpted by “The Nikkei Weekly” in reference to the dollar revaluation of the dollar by the U.S. Treasury on February 12, 1973 (Volker was the Treasury’s undersecretary for international monetary affairs at the time) November 2004:
That day the United States announced that the dollar would be devalued by 10 percent. By switching the yen to a floating exchange rate, the Japanese currency appreciated, and a sufficient realignment in exchange rates was realized. Joint intervention in gold sales to prevent a steep rise in the price of gold, however, was not undertaken. That was a mistake. -source link
Gold is the mortal of fiat currency and therefore is the mortal enemy of modern Central Bankers. Fiat currency is the mechanism by which those who are in control of the system suck wealth away from everyone else.
But at some point the natural laws of economics are going to reassert themselves and that’s when the Central Bankers will lose control of their ability to control the price of gold. The disconnect between real wealth and the amount of fraudulent paper wealth issued by the Fed has never been greater than it is now – click to enlarge:
Anyone who still believes that Central Banks and Governments do not manipulate the price of gold is probably still inclined to believe in the Easter Bunny or Santa Clause. For everyone who seeks to understand the truth, this admission by then Fed Chairman Alan Greenspan, in testimony to Congress in July 1998 underscores the facts: “Central banks stand ready to lease gold in increasing quantities should the price rise.”
http://www.silverdoctors.com/paul-volker-gold-is-the-enemy/
Ed_B says:
“Gold is the mortal of fiat currency and therefore is the mortal enemy of modern Central Bankers.”
This is absolutely the case, as most of us here know. Gold is REAL money. The now infamous J.P. Morgan himself knew this when he said, “Gold is money. All else is credit“. Old JP was definitely succinct but also definitely right. Gold really IS money and in large part because it has been recognized as something we humans prize and desire for thousands of years. Yes, gold can be and has been corrupted by the unscrupulous among us, usually by coin shaving or by diluting the gold with copper. But these changes are visible and therefore detectable.
With a fiat currency, however, such changes in value are not detectable because such “money” has no inherent value at all, so what change could be done to it that would be visible in any way? None that I can find. Looking closely at the very concept of fiat currency, one finds that: 1) it has no real value and is only valuable because those running the country that issues it says that it has value; and 2) those who tell us that fiat currency has value can also tell us just how much value it has. This opens the door to devaluation, which can destroy many years of our hard work and saving at the mere stroke of a pen. Leaving ourselves at the mercy of such potential skulduggery is completely asinine, IMO. There is no benefit to us at all of leaving our financial future to the whims of others… so why do it? Instead, convert a good share of that fiat currency into something that has withstood the test of time for more than 5,000 years of human history… which would be gold and silver.
“Fiat currency is the mechanism by which those who are in control of the system suck wealth away from everyone else.”
Yes, it is just that mechanism and to show it for what it is, I offer the immortal words of Thomas Jefferson in two quotes on this subject:
“I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.” Thomas Jefferson
“Paper is not money… it is the ghost of money and not money itself”. – Thomas Jefferson