The Fed & government might not be able to find any inflation, but at least we will be prepared if they ever do…
Fresh of the presses!
Reported earlier from ZH:
As shown in the next chart based on the latest Fed data, there are now more $100 bills circulating now than ever before, roughly doubling in volume since the global financial crisis.
That’s a lot of hundred dollar bills.
Interestingly, it is kind of fitting.
Oh, well, the dollar has lost nearly all of its purchasing power since the Fed came into existence in 1913.
Here’s the graph showing the debasement of the now unbacked, debt-based federal note:
So yeah, while not exactly a 100% loss of purchasing power, theoretically a currency can never go to absolute zero.
Well, because there are an infinite number of divisions that can be made between the numbers 0 and 1.
What matters is when “confidence” is lost.
The sad part of all of this?
Here’s what the US dollar is supposed to be (yellow highlight added to screenshot below for emphasis):
The dollar and various denominations of the dollar are supposed to be specific weights and measures of gold & silver.
Well, it’s right there in the US Constitution here:
To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures
That’s the specific weight and purity part.
No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility.
That’s the gold & silver part.
So what is paper currency supposed to be?
It’s supposed to be an instantly redeemable money substitute which could be redeemed for its equivalent face value of gold or silver.
Kinda like this Silver Certificate:
What we use today is not the same thing.
What we use now is a complete fraud.
It’s unconstitutional in my opinion.
But there is a bright spot now.
It has nearly run its course.
Debt-based fiat, that is.
And we will return.
To gold & silver.
– Half Dollar
About the Author
U.S. Army Iraq War Combat Veteran Paul “Half Dollar” Eberhart has an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill. Paul dived into gold & silver in 2009 as a natural progression from the prepper community. He is self-studied in the field of economics, an active amateur trader, and a Silver Bug at heart.