Pericles

I wish I could take this debate further, but unfortunately I don't have the time and the space is not sufficient. Ecomomics, especially when we have a global economy and a derivative market that is so vast now that it is said to exceed the actual global economy many times. The Credit default swaps will also come home to roost when this insurance is triggered. The whole fractional reserve banking system is under threat when money is lent without any asset to back it, as it was using gold and silver. Now only faith in the banking system and governments, which I'm afraid I don't have

I probably used too low a figure for my pound versus sovereign. Put the number up to several thousand and the paper note would certainly not be worth much,(if it hadn't rotted away) but the gold would hold its price. You can't compare one rare collector item with the constant value of bullion. Note I said value not price. As Ben Graham famously said "price is what you pay, value is what you get"

As I said before, the public are beginning to realise it is better to store their wealth in assets including gold and other rare goods. Countries are also buying bullion when ever they can get hold of it. Incidentally the University of Texas endowment fund has just purchased one billion dollars worth of gold, so there are many people who hold the opposite view to yours.

With respect, snake, time and space aren't the real reason, are they?

>>I wish I could take this debate further, but unfortunately I don't have the time and the space is not sufficient. Ecomomics, especially when we have a global economy and a derivative market that is so vast now that it is said to exceed the actual global economy many times.<<

The "derivative market" as you call it, is not mathematically related to "the global economy", you are measuring two different things. Hedging an exposed currency position, for example, which may be done using "derivatives", has absolutely no impact whatsoever on "the global economy".

So the fact is, the "derivative market" can be $1 or $1 trillion, and the "global economy" does not shift one iota.

>>The Credit default swaps will also come home to roost when this insurance is triggered.<<

What, all of them? Some of them? Which insurance? What trigger? Do you know what you are talking about?

>>The whole fractional reserve banking system is under threat when money is lent without any asset to back it, as it was using gold and silver<<

Sure, there isn't any gold behind it. Thank goodness. If the world used gold as a currency, you and I would be paupers - there simply isn't enough of the stuff to go around. And the assets, by the way, do exist. Bricks and mortar, thriving businesses, our taxes. They're all in the mix.

>>Incidentally the University of Texas endowment fund has just purchased one billion dollars worth of gold, so there are many people who hold the opposite view to yours.<<

"Just", snake? They made this trade last April.

"According to Bloomberg Texas University’s decision to own gold was influenced by a successful hedge fund manager in Dallas, Kyle Bass, who made a fortune shorting sub-prime mortgage securities on the eve of the financial crisis."

Sounds a charmer, right?

It was just a bet, placed in order to make money. When they have made sufficient profit, no doubt they will sell - and take payment in dollar bills,

Pericles

Actually I AM short of time. Very.

However I couldn't let your comment pass

Of course the University of Texas Will sell their gold and convert to fiat Currency if and when that currency stabilises. I keep on saying, it's a store of wealth and they will convert to a much higher price. Of course it is a hedging strategy.

Exactly, snake.

>>Of course the University of Texas Will sell their gold and convert to fiat Currency if and when that currency stabilises. I keep on saying, it's a store of wealth and they will convert to a much higher price. Of course it is a hedging strategy.<<

And the difference between that and any other investment strategy is... what?

I thought you were advocating gold as currency...

>>This never happened during the gold standard because it was backed by the metal.<<

My mistake.

pericules/quote...""The "derivative market"..is not mathematically related to "the global economy",..you are measuring two different things.""

JUST LIKE THIS TOPIC BEGAN
BY COMPARING A US MARKET..IN falling US DOLLARS
[WITH A AUSSIE MARKET...IN RISING AUSSIE DOLLARS]

funny you dont point/out..friendly error

""Hedging..an exposed currency position,for example,
which may be done using "derivatives",..has absolutely no impact whatsoever on "the global economy".""

yea right...lol
saying it dont make it so

what happens when you go to get your pension
in deflated dollars tomorrow..[when wheel barrow of govt bond bailout's]..has bailed out the bankers..with yesterdays deflated values..leaving us with broken promises..tomorrow

the reality will come
if it dont...there was no real..they sold their souls for

[quote]

So the fact is,..the "derivative market" can be $1 or $1 trillion, and the "global economy" does not shift one iota.
[/quote]
what deciete

the derivitive..derives from what
if not real then how come it has stolen..not one dollar or a trillion dollars..but 3 quaderillion..['derived' from nuthin]

>>home to roost..when this insurance is triggered.<<

""What,all of them?..Some of them?
Which insurance?..What trigger?

Do you know what you are talking about?""

you must know your asking for everything
while willing to give nuthin..but every derivitive...must return...something..back to the derivitive it derived from

or else its a scam
[no not all of em..but you cant tell good from foul

which insurance?
[the govts propping up the too big to fail bankers]
those bying govt bonds...even with haircuts..just to get the next bonus..on the bailout..that came from and was returned to..the bankers geting the bailout

not the people holding the debt
what triggers your complicity..to colluded treason?

""If the world used gold as a currency,
you and I would be paupers""

lol your egsadurating again

heck i know in my case..
if my coin was still in gold/silver
my coin jar would hold more value than my bank account[certainly more that my future pension]..

scammed away by the most clever guys..in the room/..forum

http://forum.worldfreemansociety.org/download/file.php?id=6116

http://americankabuki.blogspot.com.au/2012/02/81-resignations-from-world-banks-22712.html

Large corporate conglomerates have a trick they like to play on investors. When they get into financial trouble, they find a subsidiary that isn't performing and quietly transfer all negative assets and obligations into that subsidiary, which is then "spun off" into a separate company, and allowed to collapse, taking the debt with it.

The investors to whom that debt is owed get screwed, the larger corporation survives and the executives write themselves huge bonuses.

It looks like the EU is playing the same game with Greece.
http://www.spiegel.de/international/europe/0,1518,817795,00.html

This is the New World Order. People worked to death, no services, just pouring the money into the pockets of the private central bankers, and even that will not be enough to repay the debt in a banking system that by design creates more debt than money.
http://www.presseurop.eu/en/content/article/1555361-draghi-buries-european-social-model

http://ning.it/naHUz6

there was never an america
welcome to usa
http://vidrebel.wordpress.com/2012/02/28/there-never-was-an-american-empire-only-a-machine-that-consumed-us-all-part-ii/