Market Instability- 50 Years Off the Gold Standard

[@briankraemer8139]

Fellow human beings, please show the minimal amount of gratitude and hit the thumbs up. It astounds me that 201 people out of 7,251 views have bothered to take the half a second to show your appreciation. That's 2.8% of people. A tremendous amount of time and effort goes into making these valuable interviews.

[@ggttuuxx]

I would give 1,000 thumbs up on the Jeremy Grantham interviews, if I could. But not for this one, because Sargen is wrong. If you understand Grantham's interview, you would know why Sargen is wrong. It is people like Sargen repeating the mindless narrative, that blind us from the corrosion eating away at the US economy.

[@valentinbrescan288]

This is a very insightful interview

[@Mitzi73]

30 minutes well spent. 👍

[@siedimani8770]

As usual a very informative program! Thank you so much!

[@g.c955]

2008, back when US still had a working relationship with China, they helped US by letting QE inflate their own economy to share the burden. This time, Yellen has been trying to talk to China for the last 4 months, but not much has been achieved. If China won't help, I am afraid it's gonna be pretty bad this time.

[@ggttuuxx]

Yes. Two Treasury Secretaries went to China back then, to ask for cooperation. One of them even spoke Chinese. And China complied. Although China knew it would create some long term negative effects on China (as we saw in later years), China complied. Because it was the right thing to do, and a friend (the US) asked China to join in and help. Today, the US Gov continues to make up lies to smear China, because it is politically convenient for the politicians. Lies about Xinjiang. Lies about Hong Kong. Politicians who are supposed to work for the People, actually only focus on their next election. They have little regard for the Nation's reputation, the World, or integrity. Some US Politicians even try to get their constituents killed by Covid, just to get some sound bites. If the "leaders" are not working for the Nation, how can we get other countries to pitch in?

[@shangpush]

Thanks Consuelo. Thoughtful discussion.

[@vm-bz1cd]

I LOVE this show…. But, with all due respect, this guest is totally wrong as to why Nixon closed the Gold window. It was simply because the Physical Gold stored at the NY Fed and Fort Knox was starting to fly out of the US in increasing amounts, given the perceived depreciation in the value of the dollar due to Monetary Inflation caused by the need to finance Vietnam and the Great Society. In effect “Gresham’s law” was in action… wherein “bad money (US Dollar) drives out the good money (Physical Gold)”… this phenomenon has repeated like clockwork Thru history, since Roman times, approximately every 50-100 years….

[@vm-bz1cd]

P.S. in 1971 you could buy 1oz of Gold for $35. Now that same 1oz of Gold costs $1,800. I.e. … 99% depreciation in the purchasing power of the USD…Inflation “averaged” around 1% since independence and was also the same for UK fir over 300 years. Since 1971 we are “averaging” over 5%, with peak rates of 20% in the late 70’s. I know… i mortgaged my first home at 18%.. we are headed there again by the end of this decade! accompanied by the almost complete destruction of the purchasing power of all currencies in the world. Voltaire famously said, 'Fiat currency always eventually returns to its intrinsic value--zero.

[@williammwoodjr]

BRAVO. One of the best.

[@daves2520]

What a wonderful interview - very informative. Gold bugs, start your engines.

[@bigcelt950]

Great content

[@robs2579]

"The US never devalued gold" is a terribly false statement this guest made. FDR devalued gold 75% when raising the peg to $35/oz up from $20/oz during the depression. Furthermore, the currency had begun to devalue as a result of increasing money supply from the Fed meanwhile the gold supply was not equally increasing. This is what led to a private price of gold in the private markets where arbitrage opportunities to redeem gold from the treasury and sell higher at private dealers. This is why Nixon removed the peg, speculators were draining the supply and profiting nonetheless, and the pegs removal was supposed to be temporary. Chair Volker was on the commission advising Nixon in 1971 when he was Assistant Secretary of the treasury dept and in an interview before he passed mentioned they were planning on re-pegging gold however due to Nixon's scandals it never happened. This guy is not accurately portraying gold's history. Silver at the time was the UK's sterling peg and the US was competing for a stable currency as the UK wanted a strong currency even though it led the UK into a recession in the late 60s.

[@williammwoodjr]

Is there any gold in Fort Knox? If so who owns it?

[@tekannon7803]

What is troubling is how Consuela's excellent interview with Nick Sargen ended: pessimistically. Nick leaves us with the bottom of the iceberg of our global financial system showing its ugly face. Nick says we've been lucky so far, but... When one hears that kind of rhetoric you know there is instability barking in the distance. To a lay person like myself, we've done every tune-up that can possibly be done on the capitalist system and like stage magicians going over time, they've got no more magic tricks in the hat. We have to face up to the fact that every road that capitalism travels on leads to a dead end. It's time for a new approach to what money should represent in society: it can no longer define our status as human beings.

[@bradleyboyer9979]

What we have practiced is not Capitalism. Real Capitalism has never been tried.

[@tekannon7803]

@@bradleyboyer9979 I've just published an alternative economic system to replace capitalism: The Treatise of Teknomix. I'm not an economist, but I had an idea and it's undoubtedly going to stay just an idea. But from my research, you're right. What spooks me is that our fiat systems are printing money out of nothing. It makes no sense to me.

[@TheJj1yang]

What’s puzzling is his conclusion of bubbles everywhere, way too much USD has been printed, but USD will be fine in his lifetime, and don’t look at Bitcoin as an alternative. Instead Fed is going to have CBDC, digital USD, what’s the difference from devaluation of paper USD? Same fiat money. No one is talking about Bitcoin replacing USD, it’s an alternative for people to store their value, like digital gold.

[@DJMegabit]

Its still not getting put to use look at Money Velocity not money supply too. I think its not being used too.

[@zztop8592]

When we sent our jobs to China in 1996 with NAFTA, we had low prices, but now we are paying the price with many people without good paying factory jobs, and supply issues.

[@trailguy]

Yes it did. 1934. Currency was devalued 75%.

[@brianhollenbeck8633]

😁