Isn’t government the “friend of the people?”
*Dow Theory Letters, Richard Russell, April 6, 2006
“A “friend of the people”? What kind of a government would allow it’s inflation rate to be hidden by tricks such as “hedonic” accounting and ridiculous “core inflation” statistics? What kind of a government would hide its best measurement of the broad money supply? The question is whether the government is responsible to the people or whether the government is flimflamming the people?
The fact is that the central bank system must inflate to survive. The central bank system is basically a gift to the bankers, and it’s run by the bankers for the bankers. The Fed has never been audited, not has its legality ever been tested before the Supreme Court.
Who in the Congress understand how our money is manufactured or how our money-system works? Of course, they’re not supposed to know how our money system works. If they did, they’d toss it out with the rest of the garbage.
Luckily, we have the markets to keep us informed. The government can lie to us, but the markets don’t lie. Today there’s a free market in gold, and the gold barometer is saying — “Danger, inflation — your paper dollars are losing value against real money. It’s taking an increasing amount of “junk” paper dollar to buy an ounce of real money — gold.
It’s sad, it’s inexcusable, it’s unpardonable, but what we’re seeing is our own government hiding what it’s doing, hiding the facts. But gold, the nemesis of the Federal Reserve system and the government, is telling us the truth. The warning flags are flying. The “friend of the people,” gold, is issuing its early warning.”
*This information is solely an excerpt of a third-party publication and is incomplete. Please subscribe to the referenced publication for the full article. This is not an offer to buy or sell precious metals. Investors should obtain advice based on their own individual circumstances and understand the risk before making any investment decision.