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Comment: This graph completely misses the loss

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This graph completely misses the loss

of wealth before the divergence of money from the value of gold.

The Federal Reserve act commenced them robbing us of the wealth that physically existed in the world. In other words, they took the gold.

In 1971, they decided that wasn't enough so they broke the tie and stole future money. In other words, they floated debt on every aspect of society - governments, companies and individuals.

This graph shows the latter but not the former.

What we need is a tool to show how productivity for the average individual worker has grown 52 times since 1913 (my research). The value we have become accustomed to spending has grown 12 times. (My average shows we buy 11 times the goods and 13 times the services as back then.) This SHOULD HAVE still led to an increase in saved wealth (either by physical savings or by reduced work hours) of 4 times.

So, where has "hours worked" gone? I found that we have gone from a "family average" of 35 hours/week to one of 84 hours/week. This is another 2.4 times increase we should have turned into savings as well.

The total of these two factors is that we should be receiving 9.6 times as much value for our family's total work week today than we did a century ago, even accounting for increased standard of living. However, we have not become a world of wealthy individuals. We have become seriously in debt. How much is tricky to gauge but I would guess it closely relates to the change in nominal value of the dollar. Let's see:

Since the dollar is now worth around 1.1825% ($18.92 / $1600.00 in gold) of what it was back then, we must have lost out on the possible prosperity gains by a factor of about 8.8 times. ( ( 1 / .011825 ) / 9.6 ) = 84.56/9.6 = 8.80902

If we consider that gold price is held too low, the numbers become much worse. At $2500/oz, we are only prosperous to the tune of one in 13.76 parts. My gut feeling is that it's even worse than that.

The short version: If we had stuck with gold, not lost our control over wages, worked identical hours by the same number of people and received the benefits of tech advancement in equal proportion as our contribution... If so, we could live identical lives as today and retire in 1/8th to 1/15th of the time.

Just imagine retiring in 2-5 years while being the sole breadwinner of the family. This is the message that I believe will win over the people.

Put that in your chart and post it! :)