2010-11-30prudentbear.com

``... the private gold standard could come to replace national currencies for most transactions. Governments will attempt to enforce usage of their currencies for tax payments, etc., but they will find themselves at a considerable disadvantage through doing so. They will also lose the vast majority of the seigniorage profit they have enjoyed since paper currencies became universal after World War II. Needless to say, this will cause a financial crisis, and a loss of confidence in the governments' own bonds. Their only remedy at that stage will be to move to gold themselves, cementing the dominance of a global monetary system entirely outside the control of governments and monetary authorities. ''


Lijit Search

Comments: Be the first to add a comment

add a comment | go to forum thread