Why Uncle Sam CANNOT be trusted

[JuneDune]

[Andrew]

You should probably tone down on the youtube video links. As a new member to this forum it makes me suspicious of you being some sort of spambot/political spammer, posting 3 youtube video links in less than an hour of registering.

[JuneDune]

nope definately not a bot, it never said anything about youtube link posting limits when i signed up, so i guess im not breaching any rules or regulations.

Can we keep this post ON TOPIC please.

Are u an agent of uncle sam?

Are u forums police?

hahha only kiddin, lighten up will ya!!!! :D :D :D :D

[Andrew]

Ok, thanks for verifying you're not a bot. ;)

As for uncle sam not being trusted, how about not trusting anyone? Is say, Islam more trustworthy than Christianity? How about Norway vs Sweden? Red vs blue?

[Dante]

While I rather like the speaker's attitude and manner, I think that perhaps he's pointing the finger at the wrong party. America is only guilty in that it is that largest proponent of the capitalist system, the most convenient target. In actuality, I suspect that a lot of the ill effects described were decided upon or tacitly approved by far more parties than just successive american governments; a flawed party being blamed for a flawed system, perhaps.

[Tatar Khan]

So here we have a person giving his own spin on the whole idea of Gold Standard. Dollar Standard and etc. He is making it look like a conspiracy.

Here is non conspiracy short explanation.

Before WWI the Gold Standard was used and it was effective, it also was simple allowing the trade between countries to be easier (no currency risk). During the WWI the Gold standard was suspended due to the high volume of the money being moved by the allies.

After WWI the countries to get back tot eh gold Standard and try to rebuild their gold holdings that were lost during the war and comeback to the prewar exchange rates. This doesn't work out. The US treasury accumulated a lot of gold and not planning to part with it. New gold deposits are few to add to the world's gold supply and the European countries are not in best economic shape. the 2 recessions and 2 stock exchange collapses that happened between 1918 and 1929 do not help the situation. The terrible state of the world economy causes the grand collapse of Great Depression.

The Great Depression causes huge problems, the governments need to spend on the different projects but their gold reserves keep them limited in money supply. The result is devaluations of the currency are undertaken. Exactly what the guy in the video is talking about. First government tries to amplify its gold reserves (however it is not like every family in US had tons of gold lying around and suffered huge loss of assets as the video suggests) than it does devaluation (and no 20 dollar bills did not carry the fact printed on them that they could be exchanged for ounce of gold) (and no In God we Trust does not mean that the money is guaranteed like word of God, it just motto of US government, the idea is that they trust that God will preserve America), fear of further devaluation sparked by media that sees the same thing happening all over the world cause the panic to buy gold.

Many countries actually went off Gold standard during 1930 and into controlled or floating exchange rate systems.

But attempt to get back to something like gold standard was attempted in 1944. The problem with Gold standard that it limits economic growth by the fact that supply of gold is finite and unless it is growing economic growth would not happen. So the countries go to Dollar-Gold system that collapses in 1970 due to excessive spending by the US government and the fact that Japan and Germany became/returned to being economic power houses causing the US dollar to be overvalued and their currencies undervalued. The result attempted devaluations and etc which end up with the many countries going to floating exchange rate because they see it as easier for them. Not all did, many still peg their currency to euro or dollar or yen or all three of them in different combination.