Ron Paul Calls For 'Total' Liberty; Disparages Buy and Hold

[sailingaway]

So this was his 'preexisting event' he told CPAC about back in December. At least I'm assuming this was it. He also starts his radio spots next week, which might have something to do with it.


One reason that liberty has been compromised in America is because citizens compartmentalize it into different categories, like economic versus social liberty, former Congressmen Ron Paul told attendees at the Fourth Annual Innovative Retirement Strategies conference produced by Financial Advisor and Private Wealth magazines in Orlando, Fla., today.

The focus should be on total individual liberty that allows people to do what they want as long as they don't hurt others, Paul noted, adding that social and economic liberty are connected.

Paul told more than 200 financial advisors he didn't envy being in their profession, explaining that the present cycle of printing and spending money was not sustainable. Adding that he thought the day of reckoning would have already arrived for the Federal Reserve Board's easy money policy, the former congressman refused to put a date on when he thought that policy would unravel.

Asked about his own investments, Paul acknowledged he favored gold and property. "I'm not opposed to people who know and study the stock market because many of them seem to do well," he told a questioner.

However, he took a different view of buy-and-hold investing. "If you had bought the Nasdaq in 1999, you'd be down 40%," he remarked.

Paul voiced the widely held view that bonds, particularly those issued by the government, were in a bubble. "If Bernanke is right and I'm wrong, none of us should ever need to work again," he declared. Why? Because at the rate the government is printing money, it could give each of us "$10,000 a month" rather than purchase Treasury and mortgage-backed securities.

Long-term bonds are particularly problematic. "Who would buy a 30-year Treasury?" he asked.

more: http://www.fa-mag.com/news/ron-paul-calls-for--total--liberty--disparages-buy-and-hold-13640.html

[EBounding]

"If you had bought the Nasdaq in 1999, you'd be down 40%"

That seems kind of disingenuous to say though. Do the returns include dividends? And of course, the end of 1999 was the beginning of the dot-com bubble which lasted about a year. No one puts all their retirement savings in risky assets at one point in time; if you do, you deserve to lose everything. If you dollar cost average, the effects of the bubble would be negligible. I agree with everything else though.

[Carson]

If you were to back to the beginning of the counterfeiting the average stock price keeps up with inflation.

Here is the DOW.

http://photos.imageevent.com/stokeybob/followthemoney/30DJIA.jpg

Here is a chart showing the devaluation of the dollar.

http://photos.imageevent.com/stokeybob/followthemoney/RobertSahrcurrencyvalue.jpg

Note how the currency value goes from about $5.00 now taking $130.00 to do the same? Also note if you knock off a couple of zeros off of the DOW chart it also goes from $5.00 to $130.00.

That is what is known as inflation.

I'm not saying people can's do their homework and do better than average. On average though your just trying to race inflation. On top of it some of the very people making inflation possible have something called a Capital Gains Tax. As you can see though it is also another fraud. Your not making a capital gain at all. It is all an illusion of a gain. Still they are going to cut themselves in on 30% if your stuff.

Then how did you do?

Same thing on silver and gold.

The fix is in.

[sailingaway]

does that inflation number count food or is it the phony cpi? Because the dow would have to go up way higher than it is now to match what gold has done since last time it was this high.

[Carson]

does that inflation number count food or is it the phony cpi? Because the dow would have to go up way higher than it is now to match what gold has done since last time it was this high.

Gold is kind of out of my league.


The chart has always seemed a pretty solid view of inflation based on the Consumer Price Index. I thinking it was adjusted for reality. Here is a link to Robert Sahr's website if you want to check out his work or encourage him to update it to 2013.

http://oregonstate.edu/cla/polisci/node/87

I was just thinking along those lines when I came back to check on this thread.

I was thinking since the Doctor's chart shows that one way you could have created that much inflation was to counterfeit the entire money supply 26 times to get it to rise as much as it has. I reality there is more to it. The size of the pile of stuff would also play a factor. For simplicity sake though lets keep it simple and look at the new DOW numbers.

14,455 divided by 500 would come out to 28.91. An updated inflation rate.

Roughly there is 90% of an ounce of silver in the old dollar. So that 10% messes with me but suppose a real dollar was a real dollar and now in counterfeited fiat notes it should take about 28.91 to go with our new inflation rate.

The Gold and Silver Payment Calculator says that today Silver Spot is USD $28.80. It also says that to pay a bill of $28.91 it would take $1.40 in pre 64 silver coins. I think that is the 10% messing with me again but regardless it all sound pretty much in there. Silver and gold were fixed there for a while. Maybe that is also messing with me.

Also I never noticed the Silver and Gold Calculator messing with me like that. I'm thinking 90% of the spot price should come out to $1.00 in pre silver coins. Not $1.26.

[Carson]

does that inflation number count food or is it the phony cpi? Because the dow would have to go up way higher than it is now to match what gold has done since last time it was this high.

Another thought on the subject is even if they don't include it in the bullshit charts or figures you know it's there. Even if it isn't there in the item your looking into at the moment the over-site will quickly be discovered and accounted for by people trying to stay in business. I think a lot of stuff has some catching up to do at present.

Like wages.

[sailingaway]

I think gold can have runs just like everything else, and that it is a more true value indicator, it still is also where people, and now central banks, go in times of concern. But it is up over 100% since 2007 the last time the Dow was near this high.

[Carson]

I think gold can have runs just like everything else, and that it is a more true value indicator, it still is also where people, and now central banks, go in times of concern. But it is up over 100% since 2007 the last time the Dow was near this high.

Gasoline has been what I thought was a good indicator in the past. I was using the Silver and Gold Calculator to help with the calculations. Now I can't trust it anymore and I can't find an address to contact them about it.

I going to try it by hand. I remember gas being around 17 to 25 cents for a long time. If I multiply $.20 times 28.91, my new inflation rate, gas would be running about $5.78. By those calculations we still are getting a good deal.

http://photos.imageevent.com/stokeybob/morestuff/gas-20-cents.jpg

I also think I remember 14 cent hotdogs and hamburgers. One of those would be running about $4.00, but then again they may have been more real in the olden days.

P.S. I can's shake remembering gold doing odd things over the decades. All of the charts show wide fluctuations and things like the price frozen. Here is a link to one that show it stable at about $435.00 for a long time, but I would have to figure 435.00 for what to see any value in the number.

This is the home page;

http://www.chartsrus.com/


This is the chart;

http://www.sharelynx.com/chartsfixed/600yeargoldprice.gif

[Carson]

Gold is kind of out of my league.


The chart has always seemed a pretty solid view of inflation based on the Consumer Price Index. I thinking it was adjusted for reality. Here is a link to Robert Sahr's website if you want to check out his work or encourage him to update it to 2013.

http://oregonstate.edu/cla/polisci/node/87

I was just thinking along those lines when I came back to check on this thread.

I was thinking since the Doctor's chart shows that one way you could have created that much inflation was to counterfeit the entire money supply 26 times to get it to rise as much as it has. I reality there is more to it. The size of the pile of stuff would also play a factor. For simplicity sake though lets keep it simple and look at the new DOW numbers.

14,455 divided by 500 would come out to 28.91. An updated inflation rate.

Roughly there is 90% of an ounce of silver in the old dollar. So that 10% messes with me but suppose a real dollar was a real dollar and now in counterfeited fiat notes it should take about 28.91 to go with our new inflation rate.

The Gold and Silver Payment Calculator says that today Silver Spot is USD $28.80. It also says that to pay a bill of $28.91 it would take $1.40 in pre 64 silver coins. I think that is the 10% messing with me again but regardless it all sound pretty much in there. Silver and gold were fixed there for a while. Maybe that is also messing with me.

Also I never noticed the Silver and Gold Calculator messing with me like that. I'm thinking 90% of the spot price should come out to $1.00 in pre silver coins. Not $1.26.


I figured out why the calculator was messing with me like that. I was messing with American Eagles that are 1 ounce and .999 silver. I somehow started thinking a U.S. Silver Dollar was an ounce and 90% silver.

This is what the calculator guy says.

Sir:

$1.40 face value has $1.40 x 0.715 = 1.001 ounce of silver.

The 90% silver coin is 90% silver by weight. It's valuable for the silver in it, not the face value.


Or as I read here.

Morgan Dollar 1878-1921 (90%) .7735 oz of silver


So off I go to heal my pride a little. But I will be back!