Money is an illusion, and like all illusions it may instantly disappear. To be able to understand the nature of the money we have today, I have dug into this illusion. What I found was both scary, and promising. Our money today is absolutely nothing more than a mirroring image of the trust in our leaders. Welcome to “The Illusion of Money”.
Let us first have a look at the system the world formally has had since 1971, the fiat system. A forty year period, where gold has not backed any of the currencies in the world. It is allegedly the first time ever in history this has happened. Everything has been based on trust, and the monetizing of debt.
Only paper, nothing more
The Swiss website The Daily Bell.com are made by libertarian people, following the ideas of the Austrian School of Economics. They explain fiat money as the opposite of honest money. They write:
“Fiat money is money that is declared to have value even if it does not. Honest money has value regardless of what people say. Gold and silver are often referred to as honest money and since they have been dug out of the ground at considerable expense, they do have value regardless. People will pay variable sums for them.
Fiat money is also known as paper money, or electronic money. Since there is nothing behind paper money but the obligation of a state to redeem it in more paper or electronic money, fiat money’s ultimate worth is questionable at best. In fact, there is a history of states walking away from the face value of the fiat money that has been printed (created). But if one has it in one’s possession, it is impossible to walk away from the value of gold and silver – and contrary to fiat money, they have an inherent quality.”
It could have worked
Kwaves.com writes: “The United States has so far avoided hyper-inflation by shifting between a fiat and gold standard over the past 200 years.”
This tells us something very important. The fiat-system is not necessarily that bad, if we have strict regulations, real rule of law and order for all, honesty and a government with integrity and the welfare of the people as their main goal. If not, the fiat-system is doomed to fail.
Trust needs backing
It should not be difficult to see the reason for this. A system built entirely on trust can never survive anything, unless it has complete backing of the words trust, honesty and truth. This must be without compromise. If trust is lost, all is lost. What else can be the foundation of trust, than these two words, honesty and truth? I guess it does not have to be more difficult than that.
When did you last see a top level politician that fits the two word description given above? When was the last time you saw a big international bank that fits the description? And when did you last see a juridical system that is not the best money can buy?
And last, but definitely not least, when did you last see laws, rules and regulations that where not changed as soon some big financial player started lobbying and financings election campaigns for their needed politicians? The lobbyists always have good reasons, but we should all know by now that the road to hell always has been pawed with good intentions. No matter if the intentions are purely strategic or not.
Gold is backing
Here we are at the cross road between what we may call perceived value and real value. This cross road is the reason for me to say that our money today is just an illusion of our minds. The money of today is just numbers in a computer, mirroring the trust the people of the world have in their leaders. Formally the fiat-system is about the state giving their money value, but who makes up the state??
It all boils down to this phrase: Trust needs backing, gold is backing.
By now it should be clear that trust is just a mirror of the moral values of a society.
But when basically the same people that coins our money, tries to control the public through their Hollywood version of “bread and circus”, they stimulate our egos and individualism more than anything else. This is just another way of saying that they stimulate moral decline. Divide and conquer is obviously a way for them to make sure we the people never work together.
Crash of the illusion
The problem is that the flipside of this coin is more and more governing through emotions and political correct narcissism (total self-centeredness). And nobody should wonder about moral decline, and the development of a police state as a clear result of this.
No organism is better than its head. If this way of controlling the public reflects the moral hearts the world leaders, we have all the reasons we need to see what is big illusion money backed by trust is. Just look at the growing numbers of lawyers, and we have all the proof we need. Trust is hardly more than just an empty word any more. No moral backing for the trust equals zero backing for our money system. It is over!
As of June 2011 all signs point in one direction, total collapse. Our money was just an illusion, backed by a moral our leaders hate. Backed by nothing, equals nothing.
Welcome to the gold standard!
About State of Globe Monthly: - Refreshing, Unbiased and Informative (Marque Lundgren, US Presidential Candidate 2016)
Discover our new magazine State of Globe Monthly. In this first edition we focus on the end of globalization. A topic we believe will mark 2016 more than anything. We also see a new global financial system coming, and we truly believe the worldafter some terrible turmoil will come back to its financial senses again.