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Monday, September 12, 2011
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|Glen Beck's Buggy Followers|
As “Fiat Gold” approaches all time highs, there are rumblings amoung academia, financiers, economists, scientists, environmentalists and other circles of high influence, as to the sense in wasting critical resources and effort, on a an element that disturbs the rational flows of the global monetary process and creates unneeded environmental havoc. When indeed, no economically logical, statistical or scientific methods may be applied to the hypothesis that “fiat gold” stores value. We are hard pressed to refute such assertions in any way. Very hard pressed…
“Fiat Gold” Worthless?
Gold Bugs Fear Ban by IMF
Global Mining for Symbols of Abstract Value Questioned?
A few final humble observations regarding "fiat gold," a term personally preferred as it drives "gold bugs" - buggy. It too is a fiat. As it is only through the process of history it has been decreed to arbitrarily store value - out of thin air. Sound familiar? Except this "super fiat" - a so-called currency equivalent; is not issued by a state that can deliver goods and services upon presentation, through the agency of entities it governs.
So "fiat gold" in the last analysis must have even less "possible utility" than "fiat money" because it cannot directly access the productions of a state's economy. Indeed, fiat gold largely transforms into usable utility; by ironically, first converting to the fiat money it detests and undermines.
Should “fiat gold” conversions to legitimate currency ever be outlawed by World Governing Authorities (when they ever decide; to decide, to take actions), then its price should revert to the intrinsic utility of pretty trinkets and trash. Gold bugs are well advised to be forearmed with schooling in the Seneca Effect
Bursting the "fiat gold,” bubble should also be a huge positive for the human condition in many ways. For it could possibly divert scarce resources used for the mining of such abstract nonsense, into medical research, education, scientific development, and the arts Such activities have a far better chance of enhancing wonders of the human condition, than mining a stone-aged symbol of abstract value conjured up by buggy imaginations. At the same time important ecological benefits would be achieved with an end to this unnecessary scarring of this planet's gifts.
Ya know, I think there may be a few reasons why they are now called, “fiat gold bugs!”
Published NY Times: Paul Krugman, Comments; September 12, 2011
First Financial Insights Inc.
September 12, 2011
Gold bugs are constantly devising ways to transform “fiat gold” into the legitimate currencies of nations. So they can trade their symbolic abstract for the real labour, resources and capital outputs of unsuspecting countries. This video provides a parody of their convoluted plots and conspiracies. Tricky Bugs...
MORE GOLD or Heed the quiet wisdom of legacies?