Don't take my word for it; I'll give you proof.
Do you understand the gold & silver markets?
Do you understand money?
Do you know the truth about silver, gold, money, and the U.S. dollar backed by neither?
The U.S. dollar can only survive based on pretext. How much have you been misinformed? Are you aware of how this has taken place? Are you aware of how and why this will end? Have you been able to separate truth from propaganda? Should you pursue wisdom about money? You have come to the right place!
A few facts about monetary history in the United States
As America fought the War for Independence (the Revolutionary War), we issued paper money that turned out to be a disaster. Thus, a few years later, when the Constitution was written, it stated that silver and gold would be money. The coin Act of 1792, stated that those who debased the currency,"or otherwise with a fraudulent intent" were to suffer the death penalty:
Penalty of Death for de-basing the coins. Section 19. And be it further enacted, that if any of the gold or silver coins which shall be struck or coined at the said mint shall be debased or made worse as to the proportion of the fine gold or fine silver therein contained, or shall be of less weight or value than the same out to be pursuant to the directions of this act, through the default or with the connivance of any of the officers or persons who shall be employed at the said mint, for the purpose of profit or gain, or otherwise with a fraudulent intent, and if any of the said officers or persons shall embezzle any of the metals which shall at any time be committed to their charge for the purpose of being coined, or any of the coins which shall be struck or coined at the said mint, every such officer or person who shall commit any or either of the said offenses, shall be deemed guilty of felony, and shall suffer death.
President Andrew Jackson, our 7th president, was one of our nation's greatest monetary heroes. He recognized the evil of printing excess paper money. He saw a boom (bubble) in real estate, fueled by excess bank loans. He put a stop to it by passing a law that required all land sales to be in gold coin. Banks refused to loan gold coin, and only paper money, so the boom collapsed. He fought the banks, and refused to re-charter the central bank.
In the Civil War, both sides issued too much paper money to pay for the War. Lincoln's paper money was called "greenbacks." Following the War Between the States, Lincoln was going to go after the banking industry. He was assassinated shortly after the end of hostilities.
In 1914, during the presidency of Woodrow Wilson, the Federal Reserve was founded. Wilson, on his deathbed, admitted his error, saying that allowing the Federal Reserve to be founded was a betrayal of his country. The Fed quickly issued money to help pay the costs of WWI, and caused the boom of the roaring 20's.
By 1929, the stock market crashed, and the nation entered the Great Depression.
In 1933, gold was re-valued from $20/oz up to $35/oz by Franklin Delano Roosevelt. FDR made it illegal to own gold within the U.S. but allowed foreigners to redeem paper dollars for gold.
By 1945, the end of WWII, the U.S. government was in debt by a total of $250 billion. Valued in gold at $35/oz., that would have been 7.14 billion ounces of gold, which is more gold than has been mined in the history of the world up until 2008, which is only about 5 billion ounces of gold.
In 1963 Kennedy was assassinated, and 1964 was the final year of issuing 90% silver coinage. People claim that JFK passed an executive order to issue $4-5 billion worth of U.S. notes backed by the silver held by the U.S. Treasury. But that was an insignificant amount, compared to the debt of $250 billion in 1945.
From 1965 to 1969, fifty cent piece coins were debased and adulterated by reducing the silver content to 40% silver.
By 1971, Nixon closed the gold window, and stopped redeeming paper money for gold. Gold quickly rose in price over the next decade by an average of 34% per year, up to $850/oz. Some say Nixon really resigned (not over Watergate which was the smokescreen) but over the real embarrassment of selling off our nation's gold hoard while trying to defend the fraud of issuing too many paper dollars (inflation).
In 1975, Americans were allowed to own real gold again. The day before, December 31, 1974, 'paper gold' began trading again. Except this time they were called "gold futures contracts." These were used to depress the price of gold substantially until the late 80's. Thus, people who bought physical gold were hurt badly as the value of physical gold was cut in half right in the middle of the ten year boom. Gold futures contracts are still used today to cap the price of gold.
In 1980, bonds were used to lure people away from gold. Bonds were paying a high interest rate, and a nation-wide ad campaign was designed to get people to buy bonds instead of gold. And if you wanted gold, you were supposed to buy the paper gold of "gold futures contracts" for the increased rate of return. The nation was deceived and rushed back into paper money.
In 2003, the U.S. Bond market is valued at over $20 trillion, which is $20,000,000,000,000. The measure of the money supply in U.S. banks is valued at about $8.8 trillion. The total paper money is $29 trillion. The U.S. gold hoard, 261 million ounces, at $400/oz. is valued at $104 billion, or $104,000,000,000.
By 2008, M3 was valued at $14 trillion, and no numbers for the size of the bond market are available.
If you divide $29 trillion, into the 261 million oz. of gold, there are $111,111 dollars for every oz. of gold. This is a price target for if we went back to using gold as money, and the fraud of the dollar, and the fraud of fractional reserve banking were destroyed.
Gold Delivery Default
There is one important point to make regarding the last two defaults in gold deliveries in 1933 and 1971. The inability to pay in gold came before the price rise. Gold deliveries stopped before the price rose. Clearly, there does not need not be a substantial rise in the gold price before the default hits. Delivery defaults occur when they run out of the gold to deliver. The rise in price comes after the delivery default happens.
In all of monetary history, paper money always fails. It always goes to a value of zero. Don't forget the lessons of history.