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Friday, October 23, 2009

Another Reason To Buy Gold- To Protest The Fed’s Economic Policies

From Gary North, as seen on LewRockwell.com:

Gold does not have intrinsic economic value. No resource in history does. History is the realm of change. In such a world, there is no intrinsic economic value.

There is imputed economic value. There is historic economic value. Neither of these concepts of economic value rests on a theory of the supposed autonomy from free market pricing.

In a free society, final users of any asset have authority over its free market pricing. Owners of gold possess uncommon authority, for gold allows people to invest on the assumption that the larceny in men’s hearts focuses on money, and central banks in turn control the supply of money. Those who do not trust the wisdom, motivation, and tools of central bankers have a way to express their lack of trust. They can buy some gold coins.

This upsets politicians. It also upsets court economists, who are well-paid sycophants of central bankers. The more unreliable the decisions of the central bankers, the more upset the economists are with owners of gold. They do not want the price of gold to rise. Such an increase would signal a voice of protest by a small group of private citizens.

If you would like to protest the extension of centralized government power over your life and society in general, buy a few gold coins. I like protests that can turn a profit. This is such a protest.

posted by Luke at 09:38:29  

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