Gresham’s Law Squared - Bad Coin Be Gone! Twain't Nice.Submitted by Mark Twain on Wed, 03/02/2011 - 14:34
Gresham’s Law Squared
gearing up for Game Over
If you are pressed:
- Why does good hard money disappear into vaults?
- Why does bad paper-trader money overwhelm us?
- with liquiditiy? Debt?
- Real money history.
It’s getting serious, Gresham’s Law is kicking in and this isn’t any “run-of-the-mill” Gresham’s Law either
– it’s “Gresham’s Law Squared.”
'Not only is there huge hoarding of gold and silver,... physical bullion and a larger amount of “paper” bullion, e.g. unallocated gold and silver, exchange traded funds...'
Please Read this report.
Then,scan this list of writers.
Prepare yourself. Now!
Gold & Silver: Inspired writing brilliant highlighting.
Contains hard facts on hard money. Wonderful pictures, charts, & historic narrative.
- James Dines, Dines Letter
- Gerald Celente, International Trends Research
- GATA (Gold Anti-Trust Action Committee)
- Ted Butler, Butler Research, Silver http://www.butlerresearch.com
- Tyler Durden, Zero Hedge
- Jim Willie, Golden Jackass
- Rob Kirby, Kirby Analytics
- Jim Sinclair, JS Mine Set
- John Williams, Shadow Stats (reporting governmental statistics as best can be done)
- Martin Armstrong, Fort Dix Prison
- Thunder Road Report (linked here).
Maria Bartiromo, CNBC interviews politicians & central bankers - pathological purveyors of untruths...
Why? Why not honest folks? Martin Armstrong? Fort Dix Prison is a heck of a lot closer than Davos...
“Bad money drives out good”
The more valuable and credible money is hoarded and taken out of circulation, while the less valuable is used in everyday transactions.
... profound wisdom...:
“Legal tender laws mandate the medium of exchange, but they DO NOT AND CANNOT NAME THE STORE OF VALUE. For that they rely on credibility management by institutions like the Fed and CNBC…And it is the monetary store of value that is on the move, not the medium of exchange.”
'Sir Thomas Gresham was born in Milk Street in the City of London in 1519. He was a banker and goldsmith and subsequently inherited his father’s banking business. He became known as “the greatest merchant in London”.
[ The Merchant of London ]
Besides being the adviser to Queen Elizabeth I, it was his idea to build a central exchange in the
City of London, the Royal Exchange, subsequently opened by the queen in 1571.
“During the 17th century, stockbrokers were not allowed in the Royal Exchange due to their rude manners, hence they had to operate from other establishments in the vicinity, like Jonathan’s Coffee-House.”
The first documented referral to the concept of Gresham’s Law was by the Athenian playwright, Aristophanes (450-385 BC), in his play “The Frogs” when he wrote:
“the full-bodied coins that are the pride of Athens are never used while the mean brass coins pass hand to hand.”
In the Roman Empire, increasing costs of the military and ... exhaustion/subsequent loss ... mining
province of Dacia led to debasement of the coinage. By the third century AD, gold ... diverted from use in transactions... Hoards of silver coins from that era found by archaeologists typically contain denarii, which had a higher silver content than the later (and baser) antonianii.
In the fourteenth century... 700-year old warning against governments printing money to bail out the “Too Big To Fails” still rings true today:
“And if he should tell the tyrants’ usual lie, that he applies that profit to the public advantage, he must not be believed, because he might as well take my coat and say he needed it for the public service.”
repeating link to Thunder Report: