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Jim Cook



Every once in a while I switch the TV channel from Fox to CNBC to see what the liberals are saying.  After listening awhile I get a deep sense of hopelessness and foreboding for our country.  The most important thing for the left is giving money to people.  They are happy to see the growth of food stamps, disability payments, housing subsidies, free healthcare and all the other welfare benefits.  They utterly fail to see the damage it is doing to the recipients.  Whole cities that once flourished have deteriorated into rotting eyesores populated with shambling hulks of chemically dependent drones.  These people are no longer employable.  They have become incompetent and helpless and the liberals can’t see that it’s their doing.

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The Best of Jim Cook Archive

Best of Richard Russell
October 6, 2010
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Subscribers must wonder why I am so adamantly opposed (as were the Founding Father) to fiat money. For me, it's a moral issue.

Look, you work your entire life, and the total amount of money you earn is two million.

The Fed creates a billion dollars through its machinations: No risk, no sweat, no planning, no patents, no brain-storming, They just create the money out of nothing.

Is the Fed's creation of money moral? I'm convinced that money by fiat is basically immoral. In fact, it's evil. And as I learned in Christian Science, "the only power evil has is the power to destroy itself." I believe it. Money by fiat is in the process of destroying itself.

Gold is honest money, obtained by the sweat, the risking, the planning, the financing of men. Ultimately, gold must win and fiat money must lose. Every fiat money in history has gone down the drain.. This is a concept that the "dollar bugs" will have to face.

The rising price of gold tells me that the scale is slowly but surely tipping away from money by fiat -- towards intrinsic, Constitutional money -- gold.

In the half century that I've been writing, I've never used a moral argument to justify a market position. But I definitely believe that the markets are now engaged in a great moral battle. The battle is about the morality and very existence of money by fiat.

When, on August 15, 1971, Richard Nixon slammed the door to the gold window, he never envisioned the unintended consequences of his arrogant act. Before Nixon the dollar was "as good as gold." After Nixon, the dollar (actually a Federal Reserve Note) was not convertible into anything; as such, the dollar was worth nothing. Yet the US government deemed that the dollar was legal for the payments for all debts. The world should have rejected the dollar and all fiat currency then. But it's never too late to do the right thing. The world is in the process of rejecting money by fiat now.

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