Gold Prevents Bubbles. Gold’s scarcity is highly functional and serves as a governor on irrational growth. In an economy based on a fully convertible gold standard, gold makes large credit-driven bubbles impossible.
Conversely, paper money structures make possible large surges of newly created inflationary capital that flow into reckless schemes such as the housing bubble of the last few years, the stock market of the late 1920s, the dotcom bubble, etc. These bubbles build to a state of frenzy and then crash. These cycles are created by the Central Bank/Fractional Reserve/Fiat Money complex that has been completely detethered from from gold and is a feature of all modern governments.
We are now nearing the end of the largest bubble creating credit expansion in world history, and the crash that is currently in the making will be monumental.
Gold Prevents Wasted Lives.
It is unlikely you would loan your hard-earned savings of gold bars to your pot-smoking neighbor so that he could get a degree in social science and then purchase a house three times bigger than he needs or can pay for, and yet, your government took your paper money savings and did just that. Complexity is purposely built into the architecture of all paper money systems making it difficult for you to understand how they could do such a thing and, more importantly, how you will ultimately pay the price.
Without gold or some stabilizing hard asset, bubbles are blown and entire generations are misdirected by irrational thinking that leads to wasted biological time and energy.
Notice the current bubble in college education. Millions have obtained college degrees in areas that have no relationship to the marketplace. College graduates are working in retail stores as clerks or shelf stockers. Employers may need welders or programmers, but the misdirection created by the fiat money credit expansion offers them sociologists.
In another example, paper money inflation created the housing bubble and the irrational thinking that misdirected millions into becoming real estate agents, mortgage brokers, landscapers and swimming pool tenders. Millions of other people bought houses they did not need and could not afford. A large percentage of these victims were forced into bankruptcy. These millions of victims, victims of fiat money scams, will never recover their wasted years.
Fiat money credit expansion creates a lemming mentality among the masses. The masses move in herds toward the latest craze and the credit made available by the fiat money/fractional reserve system makes it all possible. These flights into irrational and delusional financial decisions are a hallmark of central bank exploitation of the public. Those who are savvy to the inflationary schemes are recipients of the inflationary bounty, while the general public is fleeced of their stored productivity.
Gold Prevents Unneeded War.
Governments spend far more on war than the public is willing to pay in direct taxes, so governments resort to hidden taxation via inflation.
To grow these war machines, you are taxed by a slight of hand trick. The Romans used coin clipping, metal debasement and other ploys; modern governments use paper money printing to accomplish the same dilution of savings.
This pilfered productivity is used for the construction of war machines that serve the psychopathic desires of the politicians in charge. The results are usually the same: Mass murder of millions upon millions of innocents. A gold standard blocks inflationary government deficit spending. Governments can borrow but must repay in gold collected from overt tax collection. With paper as currency, government can print to repay the loans. This printing is where the thievery by covert inflation begins.
Gold Protects Your Biological Energy. You can put away a gold bar and that gold is yours. It represents your stored biological energy, your work. Hold paper money for a long period and it can taken by dilution. The government will steal your savings, that is, your stored biological energy, by just printing more paper. This increased quantity of paper money will travel through the marketplace, drive up prices and make your stored labor less valuable. Governments steal your biological energy, your stored labor, by paper money inflation.
Gold Enhances Mental Health. Gold as money creates stability in that prices tend to stabilize and remain tied to gold for long periods. A hundred years ago, one could buy a house for 100 ounces of gold, and today, the same is true. Gold is possibly the most stable commodity in all of human history.
This stability has a great mental health benefit in that one’s biological energy and outlook for the future is tied to an objective, unchanging entity in physical reality. Regardless of your mood or current condition, gold is there to stabilize your outlook on life. Gold is bedrock, and you can count on it staying true when all else fails. In a free society, gold is an unwavering measure of one’s success. This stability creates a calmness and connection to the world.
Gold Develops Peace and Nonviolence. To the extent gold is used as money, peace, economic stability, individual independence and mental health will dominate.
It is no wonder dictators and sociopathic politicians hate gold and strain to propagandize falsehoods and hatred for the most stabilizing of all materials. For them to seize power, they need to destabilize society. To destabilize society, they need to annihilate gold.