"Stuff is the new money." Er, no it's the original money


When I lift up my mattress…

The big boys on the street were warning us two months ago: we're blowing up a huge commodities bubble. The hoarding was evident soon after, and we're now seeing the flight from securities backed by governments, to the kind of stuff you can lock up in the attic–gold, silver, what have you.

This is a colossal jolt of karma to the governments who told us that 'real stuff' isn't money anymore, and that this bit of paper, on which they've written something, is. Separating goods from value caused a lot of people to forget what things are really worth.

Later, we no longer needed physical cash at all. The introduction of credit cards meant that a few binary ones and zeros out there in the aether told us what we could and couldn't have.

The Federal Reserve made the decision to sever gold from the monetary food chain, so they no longer had to back up their bank accounts with anything: they could make up numbers out of thin air. Which is what they currently do.

In order to ensure a more vulnerable and compliant populace, Executive Order 6102 was signed in 1933. This made it a criminal offense for U.S citizens to own or trade gold anywhere in the world–thus destroying 10,000 years of traditional barter with the precious metal.

So when the U.S. government needs money to run the country, every year they come crawling to the Fed (a quasi-private corporation) which obligingly prints the money needed and loans it at interest to the great-grandchildren of all U.S. citizens. Nowadays, they mostly don't even print the actual greenbacks: they just type numbers into a computer somewhere.

Read that again.

The U.S. government allows a shadowy cartel of anonymous bankers to conjure figures from nowhere and insist that people accept it as 'real money'. Pure Keynesian.

You might think that sounds like a recipe for insane inflation and eventual economic collapse. Et voila, here we are.

Maybe people are finally discovering that the problem with today's money is that it ain't worth the paper it's printed on.