With everything around us crashing, what is a person to do? The news stations all say we are in unchartered territory and nobody knows what is going to happen. After I hear of all the nations over the earth that are in financial trouble I agree that this has never happened before. However, I don’t agree that we don’t know what is going to happen.
Since the beginning of recorded history there has never been a paper currency that has survived. China tried it unsuccessfully over and over for hundreds of years before other nations gave it a whirl. Each time it failed miserably. The third time they tried it was with Kubala Khan . He made paper money from tree bark and forced everybody to use it and give him all their gold. Anybody not accepting his bark money in transactions was executed!
After World War I, the German Republic tried to print enough paper money to buy their way out of debt. With no gold or silver backing their “Ponzi” scheme, eventually nobody wanted the valueless paper money. It got so bad that it took a wheelbarrow of German Marks to buy a loaf of bread. That was called “hyper-inflation.”
In our own time we watched the nation of Zimbabwe destroy its money by printing trillions of dollars, that had no backing of gold or silver, that was used for bailouts. A few years ago their dollar was equal to one of our dollars. Now it takes millions of their dollars to buy one of ours! Another case of hyper-inflation.
The second thing that has never survived since the beginning of recorded history is banks. Eventually they all used marginal lending (lending many times over the amount on deposit) and went broke when there was default. Even putting people in debtor’s prison did not help the banks to recover their bad loans.
The banks were so stupid to allow people to use their home equity as an ATM machine, and because of greed make loans to more borrowers that couldn’t or shouldn’t be in a purchased home in the first place! And now we are printing trillions of dollars for bailouts! And the money is worthless...people just aren't smart enough yet to figure that out..give them time..they will!
History seems to prove that people are stupid and never learn anything from history.
God says in Proverbs 19:3, “People ruin their lives by their own stupidity, so why does God always get blamed?” THE MESSAGE BIBLE
The only thing that has survived since the beginning of man and never had its value go to ZERO is GOLD! (and silver)
It is the ONLY investment to consistently gain value for every year of this new century. Look at the price of gold per ounce on the close of each year: 2000=$273.60
2001=279.00
2002=348.20
2003=416.10
2004=438.40
2005=518.90
2006=638.00
2007=838.00
2008=885.50
Don’t be stupid. Buy some gold for financial insurance. Make sure you buy the kind you take possesion of and not the kind somebody holds for you and gives you a certificate of ownership for it!
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