Is the US Dollar backed by GOLD?
By K46620
@K46620 (1986)
United States
August 12, 2009 11:18am CST
It is amazing how many people still think it is backed by gold. It used to be- but no longer.
What is it backed by now? Obviously the paper the money is printed on is not worth more than an empty candy wrapper.
The dollar is fiat money, and it is backed by nothing but the mere confidence of the people that use it.
The Federal Reserve Controls the dollar. Since it is no longer backed by gold, they can make money out of thin air anytime they want to and give it to whoever they want. Guess who they give it to? Their rich and corrupt banker friends
Meanwhile, the inflation caused by this reduces the value of the money in everyone else's pockets. It's taxation without representation
We need to audit the FED- let's tell our Congressmen to support the Audit the Fed bills in Congress now
Let's find out what they are doing with our money, and see where it is going.
Meanwhile, the inflation caused by this reduces the value of the money in everyone else's pockets. It's taxation without representation
We need to audit the FED- let's tell our Congressmen to support the Audit the Fed bills in Congress now Let's find out what they are doing with our money, and see where it is going.3 responses
@cobrateacher (8432)
• United States
15 Aug 09
Hi, K!
It was, at one time, backed entirely by gold. Now its held up by faith. Unfortunately that faith in our nation has been diminishing for decades. So it's supported by nothing!
1 person likes this
@bluehibiscus (702)
• United States
12 Aug 09
The Untied States dollar ceased to be backed by gold in 1971 during the Nixon administration, I'm honestly not sure what it is back by now but apparently it is federally insured.
1 person likes this
@K46620 (1986)
• United States
12 Aug 09
You are right, the last tie to gold was broken by Nixon in 1971. It is backed by nothing of value now.
Check out the Consumer Price index. It has shoot upwards wildly since the last tie to gold was cut.
http://www.babylontoday.com/5869d340.png
Also, look at this chart which shows our money supply. It too has grown tremendously. They can make money when ever they want and that's exactly what they are doing. They stopped reporting the amounts in Feb. 2006 to avoid embarrassment over what they are doing.
http://www.babylontoday.com/56c60950.png
The common people suffer most from this- prices rise faster than wages.
@maximax8 (31053)
• United Kingdom
12 Aug 09
The US dollar is highly thought after in most countries of the world. It is an amazing currency. In Asia Australian dollars are far less sought after than the US dollar. I know some places give a good rate of exchange to get US dollars. I have noticed that. Funnily enough I saw a bribe happen with the people using US dollars at the border of Romania and Bulgaria. US dollars are on poorer quality paper compared to the plastic feeling New Zealand dollars.
1 person likes this
@K46620 (1986)
• United States
12 Aug 09
As the world's reserve currency the dollar has enjoyed and continues to enjoy a high spot among currencies. But with the track we are headed on this will come to an end. Every single fiat currency in history has failed from hyperinflation. The dollar needs to be backed by something of value.
