#GoldRevaluation #MoneyCreation #PlatinumCoin #USDebt #FederalReserve #GoldPrice #DebtRelief #FinancialSystem
In a recent analysis shared by Chris Powell via Money Metals, the concept of using gold revaluation as a means to create money was explored, presenting it as a more responsible alternative compared to the somewhat controversial idea of minting trillion-dollar platinum coins. This idea, which has been floated around as a way to increase the U.S. money supply without directly addressing the burgeoning national debt or needing Congressional approval, involves the Treasury minting and depositing the coins with the Federal Reserve, thereby allowing the Fed to inject equivalent dollars into the economy. This method leans on an obscure law that permits the Treasury to produce platinum coins of any denomination, essentially offering a loophole for substantial monetary expansion.
However, the concept of gold revaluation brings to light a more traditional, and arguably more democratic, method of addressing money supply and debt issues. The U.S. government’s sizable gold reserves, if revalued, could serve a similar purpose in money creation. This idea has been supported by various economists and researchers who see gold revaluation not only as a means to alleviate debt but also as a way to rebalance financial power globally. Historical discussions, such as those highlighted by Jan Nieuwenhuis involving U.S. State Department conversations in 1974, indicate the strategic importance of gold in the global financial system and the potential impact of its revaluation on currency and asset prices.
The preference for platinum coins over gold revaluation by the U.S. could be interpreted as an attempt to maintain control over the nation’s reserve creation, confining it within the Federal Reserve and Treasury. On the other hand, a general revaluation of gold would likely benefit all gold-holding governments and central banks, promoting a more equitable distribution of financial power. The indicators of a slow shift away from U.S. dollars towards gold in the international arena further underscore the decreasing confidence in traditional fiat currencies, something the U.S. policy of gold price suppression has tried to counteract, albeit with increasing scrutiny and criticism.
This exploration of gold vs. platinum as instruments for monetary policy and debt management touches upon deeper themes of financial equity, the integrity of money creation methods, and the geopolitical dynamics of reserve currencies. With the debate around these precious metals continuing, the implications for global financial stability and equitable economic growth remain significant, prompting a reevaluation of traditional monetary practices and power structures within the international community.
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