What Silver as Money Means
There was a very interesting article that talked about the role silver had had monetarily throughout history, and these kinds of things and articles should be read given that there is very many complete articles talk about the subject in full. However, in this subject it is also necessary to mention the role of gold in this subject as well since it is after all its older brother. There have been periods in which nations have been on a gold standard or a silver standard or that worked with both. The idea of many of these types of articles is to give insight for people to think about how role they believe silver and gold has on the actual economy. What should silver be considered? There are those that consider it a monetary metal, others think it is an industrial commodity while there are others that believe it is both.
There was a very interesting quote that Robert Hemphill, the Credit Manager of the Federal Reserve Bank in Atlanta said and is something that people should take very seriously. “We are completely dependent on the commercial banks. Someone has to borrow every dollar we have in circulation, cash or credit. If the banks create ample synthetic money, we are prosperous; if not, we starve. We are absolutely without a permanent money system. When one gets a complete grasp of the picture, the tragic absurdity of our hopeless position is almost incredible, but there it is. It is the most important subject intelligent persons can investigate and reflect upon. It is so important that our present civilization may collapse unless it becomes widely understood and the defects remedied soon.”
There are a couple things that can be applied to everyone. Obviously this type of thing will only gain interest if people truly look into it and study what is being said. The truth be said, only when people are capable of confirming in their own way that a debt based monetary system causes no threat in each individual’s economic well being and is something that is going to last during the time their own children grow up in the future. Another aspect to look at is how should individuals protect themselves if the monetary system ends up not working.
Consider that if people were only to put a small percentage in their investment portfolio to silver, well, think about how that would affect your income today. A small percentage can be of even three percent if you think about it or perhaps a little bit more. Would it affect a person’s financial situation that much? Probably not. If silver or gold were to lose all of its value well, then you would lose, but if it were to attain its actual value you just might find that the small percentage you decided to save on suddenly has a lot more value.
Economists give the impression all together to be completely at a loss when it comes to money. Even free market economists more often than not are adamant that some kind of government power is considered necessary for currency. These very economists hardly ever think that government control of currency is meddling in the free market though. In the past, money was one of the first things restricted and taken over by the government. Many people do believe though that the free market is the best place at deciding about currency.
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