Stay Beautiful Posted September 15, 2009 Share Posted September 15, 2009 To quote Alan Greenspan after being asked for a comment on golds recent gains. The gains are "strictly a money phenomenon" http://www.321gold.com/editorials/cook_b/cook_b091509.html Quote Link to comment Share on other sites More sharing options...
Errol Posted September 15, 2009 Share Posted September 15, 2009 Gold is money and nothing else. J.P Morgan Quote Link to comment Share on other sites More sharing options...
DiggerUK Posted September 15, 2009 Share Posted September 15, 2009 To quote Alan Greenspan after being asked for a comment on golds recent gains. The gains are "strictly a money phenomenon" I'm sure I heard Peter Munk, as he left the building, explaining that the potential losses at Barrick's were "strictly a money phenomenon" as well. Does he know Alan, Alan. Quote Link to comment Share on other sites More sharing options...
dr ray Posted September 15, 2009 Share Posted September 15, 2009 (edited) To quote Alan Greenspan after being asked for a comment on golds recent gains. The gains are "strictly a money phenomenon" http://www.321gold.com/editorials/cook_b/cook_b091509.html Perhaps he meant that gold hasn't increased in value but had increased in price because fiat money had decreased in value ie a money phenomenon - well thats how I would understand it. Greenspan was a goldbug in his youth. What medium of exchange will be acceptable to all participants in an economy is not determined arbitrarily. First, the medium of exchange should be durable. In a primitive society of meager wealth, wheat might be sufficiently durable to serve as a medium, since all exchanges would occur only during and immediately after the harvest, leaving no value-surplus to store. But where store-of-value considerations are important, as they are in richer, more civilized societies, the medium of exchange must be a durable commodity, usually a metal. A metal is generally chosen because it is homogeneous and divisible: every unit is the same as every other and it can be blended or formed in any quantity. Precious jewels, for example, are neither homogeneous nor divisible. More important, the commodity chosen as a medium must be a luxury. Human desires for luxuries are unlimited and, therefore, luxury goods are always in demand and will always be acceptable. Wheat is a luxury in underfed civilizations, but not in a prosperous society. Cigarettes ordinarily would not serve as money, but they did in post-World War II Europe where they were considered a luxury. The term "luxury good" implies scarcity and high unit value. Having a high unit value, such a good is easily portable; for instance, an ounce of gold is worth a half-ton of pig iron................In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value. If there were, the government would have to make its holding illegal, as was done in the case of gold. If everyone decided, for example, to convert all his bank deposits to silver or copper or any other good, and thereafter declined to accept checks as payment for goods, bank deposits would lose their purchasing power and government-created bank credit would be worthless as a claim on goods. The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves. Alan Greenspan 1967 Edited September 15, 2009 by dr ray Quote Link to comment Share on other sites More sharing options...
DiggerUK Posted September 16, 2009 Share Posted September 16, 2009 Greenspan was a goldbug in his youth. Should have inhaled more. Quote Link to comment Share on other sites More sharing options...
Stay Beautiful Posted September 16, 2009 Author Share Posted September 16, 2009 I'm sure I heard Peter Munk, as he left the building, explaining that the potential losses at Barrick's were "strictly a money phenomenon" as well.Does he know Alan, Alan. He will at the least, know of him as a side note, Barrick's other founder is David Gilmour. http://www.youtube.com/watch?v=Xl6NfQyNLto Quote Link to comment Share on other sites More sharing options...
azogar Posted September 17, 2009 Share Posted September 17, 2009 ron paul brought up a pro gold document greenspan wrote when he was younger when he met greenspan later on, he discusses it here: http://www.lewrockwell.com/podcast/index.p...n_ive_known.mp3 i think that's the one (been a while) / if not let me know Quote Link to comment Share on other sites More sharing options...
steveljohn Posted September 19, 2009 Share Posted September 19, 2009 Gold is hard cash which can be taken any time whenever you want.gold is money nothing more! Quote Link to comment Share on other sites More sharing options...
lordofcolchester Posted September 19, 2009 Share Posted September 19, 2009 Of course it is. Just ask yourself why are US / UK special forces given sovereigns when on overseas missions. If I had to barter for my like I would rather offer gold than Sterling, that is for sure. Quote Link to comment Share on other sites More sharing options...
argentos Posted September 20, 2009 Share Posted September 20, 2009 If I had to barter for my like I would rather offer gold than Sterling, that is for sure. Sovereigns have a better fondle quotient than paper money too. Quote Link to comment Share on other sites More sharing options...
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