Getting Your Head Around Paper Money to See the Gold

By: Gavin Conway
Suppose I say to you, there is no difference between a $100 Dollar bill and a $1 Dollar bill except the way the ink is printed on them. It cost exactly the same amount of money to print each of them. Ultimately they are practically worthless in what they are physically. If you however take a $.50 piece from the year 1880 which was made from 90% silver, that had value in and of itself. The Dollar had twice as much silver in it as the $.50 and so twice as much worth. It was the silver that gave it its value.

Can you see what I am saying? No? Well, today, one of those $.50 cent coins that have 90% silver content are worth $5.00. How can that be? I hear you say. Well, they hold there value and always will, inflation will make sure of that. As the Dollar gets less and less, silver & gold will rise and rise. If you buy it now, you can be sure it will rise within in a few years time and keep on gong for years to come.

In 1964, three silver dimes would buy you a gallon of gas; gas cost roughly $.27 cents. Those silver dimes today are worth a $1.25 each; those three silver dimes would nearly buy you a gallon of gas plus about $.25 cents in today's Dollar value. That's three dimes from 1964.

So what is happening is this, the price of gas hasn't gone up, it's the value of the paper Dollar that is going down. Inflation is causing deflation to the paper Dollar. Why? Everytime the government creates more money using their own money tree called the Federal Reserve (see, money does grow on trees), it takes your Dollar down in value a small percentage. Overtime this all adds up.

Its like this, if you have 10oz of gold and 100oz of gold exists in the whole known world, well then you own 10% of the worlds gold. Let us say that 10% gold you have is worth $100.00 and that is the world recognised value for 10oz of gold. Now let us say a huge amount of gold was discovered equalling to the same amount already in existence. That influx of that gold would slash your 10oz value in half. The more you have of something, the less worth it becomes. There is only so much gold in the world that has been found, this is why it is called a precious metal. In fact, such a small amount of gold is in known existence that you could fill a space of 20x20x20 yards when its all melted together into a cube.

This is exactly what is happening to your Dollar. Whenever thet government needs to pay off debt, it goes to the Federal Reserve, with its licence to make money out of thin air, swamping the economy with more and more money and inevitably devaluing yours. Only 5% of the money created is in physical paper money, the rest is in digital format. It could not be any easier, clicking a few buttons actualizes millions, if not, billions of Dollars.

It is an unsustainable method to create money whenever we feel like it. Eventually the Dollar will go to zero; it is on an uncontrollable inflation course straight into the ground. To protect yourself I will tell you this, go and buy gold and silver bullion. You don't have to buy gold in coins or bars and have to store in some personal private safe. You can buy gold today online over the internet from reputable companies that will store it for you safely. Know this for sure also, that gold cannot be created out of thin air like the paper money we use today, the value holds through times of uncertainty and will rise in value as the years go by.

Why settle for paper when you can have gold.
Top Searches on
Money Management
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 

» More on Money Management