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IPFS News Link • Gold and Silver

Gold Is Backed By Nothing, Unlike the US Dollar Which Is Backed by the American Government

• youtube (h/t Lew Rockwell blog)

There's something else happening here. Some investors are not confident with what gold is backed by, or if it's backed by anything at all, as compared to something like the US dollar. Investors are comfortable that the U.S. dollar is backed by the America government, so no matter what is happening to the American economy, something like the U.S. dollar is backed by the Federal Reserve that's going to be around a year from now. That's a much more comfortable investment for them.

2 Comments in Response to

Comment by David Jackson
Entered on:

    Finally! Let them eat gold! Sell everything you own that is made of gold. You will be robbed by the "money changers", but you'll get more now than you would have a year ago.

    Then, all of us should stop buying anything that is made of or utilizes enough gold to raise it price - not value. There are a lot of "pretty" shining things that you can purchase, just after you turn 14 and dye your hair blond.

    Let the new robber barons choke on their supposed wealth. Watch the price of gold drop, when it is no longer the phoney standard that a few idiots with the spoils of slave labor and predatory "capitalism" are counting on.

    As for the dollar being backed by the U.S., there will always be a United States, and it will always produce more real wealth than a few speculators. If the U.S can't make any money, it will sell itself, its industry, its functional lands and similar assests, and its soul to the highest bidder(s)...If history is any gauge. At least the U.S. still has the best educated, highest producing , hardest working slave labor in the world. It's a far better investment than heavy, overpriced, semi- (soon to be totally, one hopes) worthless gold "dirt".

Comment by Patrick Dennis
Entered on:

 Gold is backed by reality.  The US. Dollar is backed only by promise - and that promise from a Government that has repeatedly broken its promises.