Gold – Minsky Moment???
Has Minsky moment arrived?? or not yet? May be when DOW at 100,000????
“Minsky held that, over a prolonged period of prosperity, investors take on more and more risk, until lending exceeds what borrowers can pay off from their incoming revenues. When over-indebted investors are forced to sell even their less-speculative positions to make good on their loans, markets spiral lower and create a severe demand for cash — an event that has come to be known as a ‘Minsky moment.”- The Levy Economics Institute of Bard College.
“In their seminal work of economic history, Paul and Lehrman go right back to the beginning of what they call “The Present Monetary Crisis” when in 1784, Thomas Jefferson said, “If we determine that a dollar shall be our unit, we must then say with precision what a dollar is.”
The founding fathers followed his advice and in 1792 defined one dollar as 371 grains of silver.”
“All the effort and planning imaginable cannot make paper money work. There is no way paper can be “improved” as money. Whenever governments are granted power to purchase their own debt, they never fail to do so, eventually destroying the value of the currency. Political money always fails because free people eventually reject it. For short periods individual countries can tell their citizens to use paper, but only at the sacrifice of personal and economic liberty.”
https://aheadoftheherd.com/Newsletter/2020/Paper-money-rejection-is-golds-Minsky-Moment.htm
Thanks Bikoo
So a Dollar should be worth 0.85% of an ounce of silver
Or 1 ounce of silver should be worth $1.13
Thanks Fully,
I did not get the math behind “one dollar as 371 grains of silver”. What is grain in terms of ozs
But later US did define the value of $ as 20.35 per one oz of pure gold. How that relates to above statement??
I was trying to get Silver to gold ratio out of this.
How ever in 1930’s GSR did hit 100 first time. Currently agai it is at 90.
One more: Some of your posts I like to search in the future but unable to do it. request u you to have keyword in tittle of post’s message.
Thanks. Learn lot here.
Do you search under Fullgoldcrown in “Post by Author ? “