Image courtesy of David Castillo Dominici / FreeDigitalPhotos.net
By that definition, it would seem the U.S. has been in recession for the past couple of years. Many mainstream media pundits claim we are not in recession but a slow recovery.
Does it seem that way to you?
The technical indicator which tells you that the country is in a recession is when there has been 2 consecutive quarters of negative growth which is measured by the country’s GDP or gross domestic product.
Experts say that this is bound to happen because it is part of the business cycle and things usually improve within 16 to 18 months.
What is a business cycle? It is considered to be a periodic but irregular up and down movement in a country’s economic activity which can be measured by fluctuations in the GDP as well as other macroeconomic variables.
Things are going up when the economy recovers and expands. The situation goes the opposite direction when the market experiences a slowdown until it eventually reaches a recession.
In my opinion, the only reason our economy has not slipped into a full-blown depression is because the privately owned FED continues to print more fiat paper money to bail out the financial industry and keep them afloat. Because of all this cheap money, the stock market value has been inflated to appear it’s hitting new highs. Those highs, however, are masked by the flooding of the market with cheap money.
In the US, building permits are down… and foreclosures are up. There is no renaissance happening in manufacturing. Only half of the new jobs expected showed up in March. Retail sales are down, and consumer confidence is off. The US economy is growing below the Fed’s own “stall speed” indicator. Half a million people fell out of the workforce in March. Retail sales fell in March. So did manufacturing.
Ron Paul recently said on on Bloomberg TV, “You will not see economic growth until you liquidate the debt and liquidate the malinvestment out there.” He goes on to say, “Inflation is when you increase the supply of money. Bond prices go up. Stocks are going up. Housing prices are starting to go back up again. Education costs are going up, but the gross distortion is the effect that the inflation of the money does on the price of money and interest rates and how it causes economic problems and why you don’t get economic growth.
You have to look at the malinvestment and destruction that occurs when you mess around with the price of money. It’s not just the CPI because the CPI is not reliable. The government fudges that as well. They change the way they measure it. Free-market economists say it is going up about 8%. A lot of deception going on out there. I was just talking to someone on getting social security, they’re not happy with the purchasing power of the dollar and you can’t tell me there is no inflation.”
The recession in the United States has affected other countries and drastic steps have been taken to prevent it from getting worse. Britain has injected up to 50 billion pounds which is equivalent to $90 billion into its biggest retail banks. Japan has ordered its ultraconservative Bank of Japan to flood the world with freshly created currency.
Legendary investor Jim Rogers is worried about unprecedented money printing around the globe. Rogers says, “We have never had every government debasing their currency at the same time. . . . This is the first time in recorded history where you have most of them doing it all together. These are perilous times . . . one way or another, this is going to end badly.”
Is there light at the end of the tunnel? The answer is yes but it is going to be some time before anyone will see any improvements. Whether it’s tax cuts or tax increases as the politicians propose, this crisis will continue on for some time until we start to deal with the real issues.
Until somebody comes up with a plan to put people back to work, the current current state of the economy will not improve. It is something that the American public should insist their political leaders solve.
Filed under Inflation by 
Image courtesy of smarnad / FreeDigitalPhotos.net
Whether you are a hobbyist or a serious investor, there are some coin collecting tips that help ensure the quality of your collection. Shared by experts, these tips also help you sell your collection for the right price at the right time. But, whether or not you envision a time when you will be selling your collection or parts of it in the future, applying these tips diligently can enable you to make good buys that adds to the overall value of your collection.
Keep your Tools Handy
A coin collector’s tools should always be ready in case an opportunity comes up to acquire a good piece. These tools include white cotton gloves, coin folders, envelopes, a storage box and a good magnifying glass. Some collectors keeps a loupe to use when they want to view a coin’s details clearly.
Keep a good copy of a grading guide book. This provides you with an explanation of the numerical grading system, with detailed photographs of coins and how they are graded.
Apart from the grading guide, an essential part of your tool assembly is a good guidebook. One example of a guidebook you can keep is A Guidebook of United States Coins which is better known as the Redbook would be a good source of information on US coins. This guidebook, updated annually, includes descriptions and basic grading criteria for each coin design.
A serious collector keeps abreast of coin prices by regularly looking at price guides which list the prices of coins. Price guides are available online from the PCGS and the NGC. Apart from these, Coin World and Numismatic News also publish price guides in addition to their weekly coin papers.
Simple Ways to Prepare for a Purchase
It is never a good idea to invest money in a purchase without investing time and effort in preparation. Here are some simple coin collecting tips to make sure you get a good buy:
- Do your research. If you have the chance to buy a coin you like, find out how details about it including how many of that coin were minted, its grade, how rare it is and who is selling it.
- Compare prices using at price guides from reliable grading services. Do not rely on websites or TV programs that are trying to push their own items.
- Muster your self-control and buy only if you are certain that this coin is a good investment.
- Examine the coin carefully with a good magnifying glass and a loupe before you write your check. Scratches and dents are not always immediately visible so take care that you have made a detailed inspection of the merchandise. There is no way this can be overemphasized. Even experts have made mistakes by taking for assuming that a coin is all that it seems.
Once you have made the purchase, it is important to store it appropriately, arranged with other coins in an order or design that makes it easy for you to view it both as an individual piece and as part of a bigger collection. Again, it is important that you keep abreast of prices so you know if the value of your acquisitions is going up or down.
Make sure that the quality of your coins remains as good as it was on the day you bought them. Taking care you do not damage your coins when you handle them. Always hold a coin by the edges while wearing gloves. Have a soft cloth ready to catch the coins in case you drop them during handling and most of all, never, never clean or polish them.
Whether you are want to be a serious investor or you just want to start a hobby, these coin collecting tips can be useful for you. Following them helps you make sure that your coins remain valuable regardless of whether you bought them for profit or for fun.
Filed under Coin Collecting by
I was excited to see the following article published in the online edition of The Hutchinson News. It is another indication that some people understand the U.S. Constitution and want to return our money to a Constitutional status.
Gold, silver bullion coins could be legal tender in Kan.
Kansans who want to purchase gold and silver bullion coins, to be prepared in the event inflation eats the paper dollar’s value, could find it easier under pending state legislation.
House Bill No. 2379 states gold and silver bullion coins issued by the federal government would be legal tender in Kansas. Sales of such coins would be exempt from sales tax.
Testifying Tuesday before the House Taxation Committee on behalf of the bill will be representatives of the Washington-based conservative think tank, the American Principles Project.
The American Principles Project “promotes gold-backed monetary reform at the national and state levels,” according to its website.
“This is legislation that we have worked on in other states,” said the American Principles Project’s director of economics, Rich Danker, who will be coming to Topeka.
About half the states don’t have sales tax on gold and silver coins. If classified as money, the coins could not be taxed, he said.
In part, Danker said, it’s a competitive issue.
“It would likely encourage more coin dealers and conventions in the state,” Danker said, if the sales tax was removed.
The American Principles Project, though, is not working on behalf of coin dealers but sees a larger issue at stake.
Silver and gold will give people a way of saving and transacting business that would not lose value the way a paper dollar can, he said.
“We think it’s about sound money,” Danker said.
Sellers would not be required to accept payment in gold or silver coins, just as they can stipulate what types of payment – for example, no personal checks – they accept now.
“We’re really encouraged by the support in the Kansas Legislature so far,” Danker said.
Freshman legislator Rep. Travis Couture-Lovelady, R-Palco, was instrumental in the introduction of the bill.
The American Principles Project’s policy director, Jeffrey Bell, who has worked to elect Republican presidential candidates, will be in Topeka, too, for the hearing.
Filed under Silver Prices by
Probably the most beautiful and collectable coins today – the Morgan dollars.
The Morgan dollars were named after it’s developer, George T. Morgan. The Morgan dollar is 90% pure silver, also it was minted from 1878 to 1805, and it was minted for a one year in 1921.
Why the oddity of minting the Morgan dollars for just one single year following a 16 year hiatus? Well, in 1921 the $1 design was modifying from the then current Peace dollar towards the Sacagawea dollar. Just about eighty-six million Morgan dollars were struck in 1921 by the US Mint, because the replacement wasn’t ready to fulfill the legal requirements set by Congress for maintaining $1 coinage production.
The morgan dollar was overproduced throughout it’s period, and around two-hundred and seventy million Morgan dollars were ruined after it’s mintage was stopped. For this reason, the Morgan dollar happens to be highly desired by collectors… Not just for it’s beauty and silver content material, but for it’s rareness. Needless to say, 1921 is still one of the most common years of mintage linked to the Morgan dollar.
But how are you able to determine a Morgan dollar from other coins just like the Franklin half-dollar or the popular Buffalo coin? Or even from fakes and duplication copies?
The obverse side will have a different side profile of a woman having a band of laurel intwined in her hair. This woman is the Lady Liberty, as shown by George T. Morgan. It comes with an old neoclassical design, and it is easily noticeable from the Peace dollar Lady Liberty.
On the opposite you will notice an eagle, the iconic symbol of the United States, having a wraith that encompasses the eagle. You will even note the domination “One Dollar”, and the words “United States of America”.
Bring your Morgan and place it on a digital scale. It should weigh close to 0.7734 ounces. If it weighs a lot more it’s a reproduction. If it weighs considerably less, then, it’s either severely used or a reproduction that has a light metal.
Simple, isn’t it? Now that you know what you’re trying to find all you have to do now is find some Morgan dollars to buy and collect.
Filed under Coin Collecting by
Have you been a keen coin enthusiast? You are!? Then, I am sure you have heard of PCGS? No…? Well, I am sure you have come across certified coins…?
Yet exactly what is a certified coin? And who or what’s PCGS?
Well, to be aware of this we need to travel back to a period when there were no certified coins neither any certified coin traders. A time when enthusiasts had to do their particular research and grade the standard of their very own coins as well as the coins they desired to buy.
This is a very tough time in the coin enthusiast in the world! And the difference of one or two grades could mean plenty of dollars. For example, lets say you’ve got this Coronet Type half cent from 1840. You are wanting to promote the coin and you graded it a MS65. That should enable you to get a simple $300.
So, putting it for sale at the next coin convention, so you obtain a buyer on the hook. Nevertheless he looks at the coin and grades that it is a MS63. This is a big difference. Right now your $300 treasured coin is worth $50 for this purchaser.
Is he becoming truthful OR is he wanting to swindle you? And this goes either way. At times you would get some untrustworthy dealers that will try to up the grade on their coin in order to acquire some extra cash in the sale.
Today, if there were simply a trusted third-party who could grade the coin and settle the small dispute. And there is! PCGS.
PCGS is a third party grading service company. PCGS is surely an fair third-party who takes your coin and gives it a certified grade of MS0 to MS70. After that, to make certain nothing interferes with the certified grade… PCGS puts the coin into an air tight closed plastic cover.
Contained in the plastic cover is the coin, along with a sheet of paper over the coin which authenticate’s the coin and describes the coin. Collectors know this as little sheet of paper over the coin the “slab”.
PCGS certified coins are trustworthy by buyers and sellers alike. This makes them a fantastic company to beat rating disputes if you ever attempt to promote your coin.
You are able to take your gold coin, silver coin, commemorative coin, and virtually any coin you’ve got and deliver it in to PCGS and they will provide a professional quality.
If you are looking to expand your US certified coins collection… Then search for PCGS certified coins. Why? Well, because they’re great investments, because you know precisely what you are purchasing. PCGS certified coins may also be passed on from one generation to another and they will keep not just their certified grade, but their innate value.
Take a look around on our internet site. We have a very good assortment of PCGS certified coins up for sale which you’ll add to your very own collection.
Filed under Coin Collecting by
Last week the Houston City Council passed an ordinance requiring people who sell precious metals to be fingerprinted and photographed.
According to KTRK-TV, the ordinance is “meant to help track down criminals who try to resell stolen valuables. Gold-buying businesses will now be required to photograph and fingerprint sellers as well as photograph the items that are being sold to the dealer.” In other words, citizens who sell gold will be considered criminals until they demonstrate otherwise.
“It’s going to allow us the tools necessary to combat a lot of the high-end jewelry thefts that’s going on in the city, whether it’s robberies or burglaries,” Houston Police Officer Rick Barajas told the news station last Wednesday.
Audi S8s, Shelby Mustangs, BMW M5s, Dodge Chargers and Honda S2000 roadsters are stolen thousands of times a year and yet people who own them are not required by government to be fingerprinted and photographed in order to sell their cars. Ditto folks who sell expensive items at pawn shops or on eBay. Can you imagine the chaos in commerce that would occur if every item over say $1,000 required the seller to surrender fingerprints and photographs – more accurately, mugshots – which the buyer would be obliged under penalty of law to submit to the state within 48 hours?
“No precious metals thief is going to agree to a mug-shot and thumbprint,” said Houston City Council Member Helena Brown in response to the law. “That’s like declaring that the thieves are going to be turning themselves in. It’s ludicrous. I don’t know who told HPD that this is going to help them. It’s not going to help anyone, but rather it will be damaging to an industry and to our self-respect and liberty.”
Instead of reducing crime, the new law will instead put a damper on the sale of gold, silver and other precious metals. Jim Guidry notes that despite a claim made by Houston police, the precious metals industry will be hard pressed to comply with the turnaround demanded by the city, will balk at the prospect of alienating customers by demanding their fingerprints and mugshots, and the industry will ultimately suffer through loss of its customer base and through fines and criminal charges.
Finally, it is hardly a secret that government hates the idea of citizens trading in gold and other precious metals. In 2009, the U.S. Mint made it more difficult to purchase gold and rationed the sale of American Gold Eagle coins and the previous year suspended the sale of American Buffalo 24-karat gold coins. Bernard von Nothaus of Liberty Dollar was prosecuted for daring to challenge the fiat money monopoly held by the Federal Reserve and the banks (and daring to have a political agenda, namely getting rid of a parasitical Federal Reserve).
“The modern and oppressive State is against freedom. The argument regarding gold versus fiat money has been settled both theoretically and empirically,” writes Monty Pelerin. “The good fight fought against fiat currency is a long and lonely one. This fight will not be won by intellectual persuasion, but will be determined by the brute forces of the markets the State believes it can control. A currency collapse is likely inevitable. That will expose the fraud and corruption of the current fiat currency regime. Even when that occurs, the elites will do whatever they can to avoid an honest money system.”
“The defamation of gold wrought by central banks and governments is because gold exposes the devaluation of fiat currencies and the flawed policies of government. Governments hate gold because the people cannot be fooled by it,” writes Ron Paul. “If the government persists in debasing the Dollar – as money monopolists have always done – then the people would be able to protect themselves by using alternatives such as gold that are both sound and stable.”
The City of Houston and its police, however, are not colluding with the Federal Reserve in an effort to control the sale of precious metals. The police are reacting as police always do – as gold and precious metals rise in value, it is quite natural that there is an increase in theft and fraud, a situation police react to quite naturally by demanding authoritarian laws that inevitably create a new class of criminals requiring more police and more prisons.
Article written by Kurt Nimmo
Infowars.com
February 11, 2013
Filed under Gold Trading, Silver Investing by
The 2012 1oz Kookaburra “High Relief” Ultra Cameo “Early Releases” Designation on a Very Rare Label.
Own One of Currently ONLY 390 Graded and Certified PF70 in the world!
Reverse Design: This beautiful 1oz includes the Darryl Bellotti design of the “AUSTRALIAN KOOKABURRA”, made with an extra-deep “blank” (known as a Planchet) to accommodate it’s superbly detailed high relief depiction of a Kookaburra perched on a tree branch with gum leaves, the Perth Mint’s ‘P’ mintmark and the 2012 year-date.
More Details:
- 1 AU Dollar Legal Tender
- High Quality .999 Pure Silver
- Completely Sold Out at the Perth Mint
- Limited Mintage of only 10,000 Coins
- Very Beautiful and Highly collectible coin
- Stunning Ultra Cameo “High Relief” Proof Design
- NGC Graded PF70 with Rare Label portraying the Australian Sydney Opera House
Certified and Graded PF70 by NGC with a Very Rare Label. The Perth Mint struck the coin from 1oz of 99.9% pure silver in proof quality. “Early Releases” Designated coins are struck first at the mint from “FRESH DIEs” and only the first small percentage of coins can be submitted as Early Releases Coins driving higher premiums.
The Perth Mint’s unbeatable minting expertise, use of advanced manufacturing technology and design artistry, contribute to their reputation as producer of the highest quality Australian collectible silver coins in the world.
Obverse Design: The coin depicts the Ian Rank-Broadley effigy of Her Majesty Queen Elizabeth II on the obverse and is issued as legal tender under the Australian Currency Act 1965.
Filed under Coin Collecting by
So, you’ve got some silver great coins? You’ve been collecting coins for a few years right now, and you have amassed a good selection of Buffalo coins, some bullion coins, a few error coins, along with a whole bunch of Morgan and Peace dollars.
Are you aware of what your collection will probably be worth? What it’s gold and silver coin values are? What it’s worth is to other coin enthusiasts?
Gold and silver coins are actually used as currency for a lot of years. The very first acknowledged coins were first made about 700 B.C. That’s eons ago! Still, we have need of precious metal coins, as well as a need to collect them.
You see, even in today’s society where we exchange paper currency for products and services… Silver and gold is still a real trading commodity. The truth is, once when our paper currency have been just gold and silver certificates backed by authorities and finance institutions.
These days we don’t mint many coins in gold and silver, and the coins we do mint in silver, gold, palladium and platinum are generally gathered for his or her numismatic coin values instead of exchanged for products or services.
Instead of using a silver coin to buy a Coca-Cola… You would use a modern-day quarter made from copper and nickel, and you also would save your valuable silver coins for a longer term expense.
But how can you confirm your coin’s value? Coin values vary greatly! And first thing which assists to figure out your rare metal coin values is the economy.
When the economy is doing good, then, the price of the dollar to the cost of precious metals is less. Even so, when the economy is going through tough times, such as a recession, coin worth will rise in cost as the spot cost of precious metals rise in price regarding the dollar.
Thus, many people choose to sell their bullion coins throughout tough economy periods. This means you’ll have an abundance of coins to include in your gold or silver portfolio.
Though the spot value of silver or gold is not the just aspect in finding out coin values.
As an illustration, coin worth depends on whether or not a coin is certified or not. If a silver coin is licensed by a respected company and rated for it’s perfection, then, it requires a greater premium over uncertified coins.
One example is a PCGS certified 2000 American Silver Eagle that is graded MS70. This coin could be worth more to a coin hobbyist than both a lesser graded Silver Eagle, or even a Brilliant Uncirculated Silver Eagle.
Another determining factor of coin worth is the supply available and the demand for that supply. It’s business 101!
Here’s an illustration. Not long ago on eBay a 2002 American Silver Eagle certified to become MS70 along with a First Strike edition bought for $9,000. Right now, the spot expense of silver was just about $35 during the time, but this coin exceeded WAY beyond that. Why?
Well, due to the fact there have been only 17 coins that year chosen as First Strike by NGC and graded MS70. The supply was minimal BUT demand was great!
As mentioned earlier, there are various reasons to figure out your coin values, but if you do a little research into what are the spot value of your precious metal is And discover the quality of your coins… Then, you’ll have greater comprehension of it’s value.
Filed under Coin Collecting, Silver Prices by
Collecting silver coins is a fun activity and has been very popular because it not only serves as a hobby but as an option to generate income.
Some of the most popular types of silver coins that are sought by collectors are the antique coins. Antique coins may be bought from auction sales, coin shows, online and offline coin dealers, other collectors, and even in tourist areas that have historical themes. Who knows, you may even turn up a few of these antique coins up in the attic where grandma or grandpa’s things may be stashed away.
Many collectors hesitate to buy antique coins because they can be terribly expensive. What is most important is the uniqueness of these coins and the benefits they provide their collectors. Besides the intrinsic value of these coins, they also provide a fascinating window into the history of the nation. Antique silver coins vary greatly in price depending on the age of the coin, its condition and its rarity.
Here are some tips that may be considered when buying antique silver coins:
More on Collecting Antique Silver Coins
Filed under Coin Collecting, Silver Investing by
Affiliate marketing has become one of the most effective ways to advertise silver and just about anything else online. It is also one of the easiest ways for anyone with a website to make a profit online.
Affiliate Marketing is simply an agreement between a merchant (Silver Snowball) and a website owner (You). As a website owner, or the affiliate, you allow the use of your site for the promotion of the merchant’s products by linking to the merchant’s website. In exchange, the merchant pays a commission to the affiliate on all sales generated by the affiliate. Every time someone clicks on the link on your affiliate website and makes a purchase, you get a commission.
Affiliate marketing programs are a win-win situation for both the merchant and the affiliate because of the pay-for-performance scheme.
Both the merchant and the affiliate enjoy some benefits in affiliate marketing. For example, it gives the merchant a wider market in which to advertise silver products and will give the product maximum exposure that it may not get with other traditional advertising techniques. The more affiliate sites a merchant has, the higher the traffic, which can convert to sales. Affiliate marketing is the equivalent of having an army of sales people who will do the advertising and will only get a commission if a customer purchases.
Since the affiliate marketing relationship is a win-win situation, the affiliate also enjoys many benefits. Foremost among these is the easy way to make a profit. The affiliate can earn by having an ad or link to the merchant’s website, which prospective customers will hopefully click and proceed to make a purchase. As soon as the customer clicks on the ad on the affiliate’s site, is redirected to the merchant’s website and goes on to buy that particular product, the affiliate earns a commission. The more referrals an affiliate makes, there is more profit.
Affiliate marketing is an excellent way to earn money with Silver Snowball while at home. There are virtually no production costs. The product (silver rounds) are already developed and proven by the merchant, and all you have to do to find, as many prospects as you can that will bring in the profit for both the merchant and the affiliate. In order to be an affiliate with Silver Snowball, you only need to be purchasing a 1/2 oz. silver round each month. There is no additional cost for an affiliate site coded with your Silver Snowball id. You will likely have some costs involved in setting up and hosting your gateway websites and other advertising. However, when you join Silver Snowball on my team, I will show you how to minimize those advertising costs, and in some cases get your advertising for free.
In addition, there is absolutely no sales experience necessary. Ed Freeman provides excellent support when it comes to providing marketing material. Plus, you will have personal access to me where I will share with you effective marketing strategies and tools.
The simplicity of affiliate marketing allows you to be an affiliate marketer at the least cost and the most comfort. You can even build a successful affiliate marketing business right in the convenience of your own home. In affiliate marketing, your responsibility is simply to find prospects for the merchant; you do not have to worry about inventory, order processing, and product shipping. These, along with customer service support are the duties of the merchant.
Because of the global reach of the internet, you can easily find thousands of prospects. You can intensify your advertising campaign by exploiting more aggressive and productive strategies such as viral marketing. By attracting more prospects, you also maximize your potential to earn.
Another benefit of an affiliate marketer is the minimal risk involved. There are no long-term binding contracts tying you to Silver Snowball and if you’re not making enough money, you can simply quit.
One of the best benefits of being an affiliate marketer is the opportunity to increase your income; and you can make a profit even if affiliate marketing is only a sideline business. With your own affiliate business, you can earn easily earn extra income, although you do have to exert effort and use your imagination to maximize your earning potential. Indeed, affiliate marketing is one of the simplest and most effective business opportunities on the web today.
Filed under Silver Affiliate by
The establishment media is extending kudos today to vice president Joe Biden for hammering out a deal that supposedly averted the so-called fiscal cliff.
“I want to thank the work that was done by my extraordinary vice president, Joe Biden,” Obama said late Tuesday night.
The Republican Senate boss, Mitch McConnell, went over Democrat majority leader Harry Reid’s head to negotiate with Biden.
“It was the fateful decision that put the Senate and White House on the pathway to the deal eventually approved by the Senate and the House, ending weeks of drama over the fiscal cliff,” the National Journal reports this morning.
But the deal allegedly averting crisis is anything but good news for the American people despite the backslapping on Capitol Hill and the sighs of relief in the corporate media.
In addition to kicking the fiscal can down the road, the so-called compromise finally did away with the illusion that Republicans are opposed to increasing the tax load on millions of Americans.
The Congressional Budget Office reports the deal cuts only $15 billion in spending while increasing tax revenues by $620 billion, what amounts to a 41:1 ratio of tax increases to spending cuts.
The Senate bill allows the so-called payroll tax holiday to expire, which will raise taxes on all Americans who earn an income. Democrats said this is not the case, that taxes will not rise, but the truth is the tax burden on working Americans will go up by at least 2 percent.
The wealth creators and producers — the entrepreneurs, small business owners, and maligned “rich” taxpayers — earning over $400,000 will see their top tax rate increase to 39.6 percent.
In addition, the double tax on dividends and capital gains will increase from 15 percent to 20 percent, thus adding more disincentive for the producers to create wealth that translates into jobs and prosperity for millions of Americans.
The supposed compromise adds incrementally to the long-term goal of impoverishing America and making sure its ability to create wealth is irreparably broken.
Article written by Kurt Nimmo
Infowars.com
January 2, 2013
Filed under Inflation by
A more than one trillion dollar debasement in 2013 is now apparent.
Last week, the Federal Reserve announced an expansion of its bond-buying program consisting in large scale purchases of long-term treasury securities.
These purchases come in addition to the monthly $ 40 billion in mortgage-backed securities (MBS), the so called QE3, launched in September of this year. This means that now, monetary expansion will be equivalent to a total of $85 billion a month. Simply put, this is an unprecedented rate of currency creation for the FED.
Thus, a more fitting name for this latest round of easing would be QE4Ever (QE forever).
The novelty in the Fed’s most recent statement is that for the first time it has linked its bond purchases to specific economic parameters.
The FED stated it would hold its target interest rate (currently between 0 and 0.25%) and continue easing for as long as unemployment remained above 6.5% and inflationary expectations did not exceed 2.5%.
How did the FED select the given unemployment rate parameter?
Perhaps it is associated with the fact that unemployment sat at 6.5% at the cusp of the financial crisis in October of 2008.
If the labor market does not improve substantially (hint, hint… it won’t) the FED’s Open Market Committee will continue its purchases of Treasuries and MBS indefinitely with a likely possibility of increasing these purchases in the future.
The central point for stock markets is that this ultimately leads to a trap. In the future, positive employment data could be judged as negative, by signaling an end or a reduction to the FED’s stimulus to an economy that has become dependent on it. This would be negative for stock markets, as it is no secret that there exists a direct correlation between monetary stimulus and rising stocks.
However, we must realize that Ben Bernanke, FED chairman, is not willing to tolerate high unemployment nor is he willing to tolerate falling stock markets. This exposes an already evident problem: QE dollar debasement will remain the essential wonder drug to sustain this ficticious notion of a “recovery”.
A simple reminder that in order to lower the unemployment rate from its peak of 10% in October of 2009 to 7.7% in November of 2012, the FED added $ 1.8 trillion to the currency supply, today closer to $ 2.7 trillion (see chart). A high price.
At the advertised rate, in less than a year, the FED’s balance sheet could be approaching $ 4 trillion or beyond.
Continue reading QE4 Ever: Emerging Signs of A New Global Crisis at GoldSilver.com
Filed under Federal Reserve, Inflation by
Is reserve currency status an economic blessing or a curse? The answer might seem obvious, as reserve currencies have been shown to confer lower borrowing costs on their issuers. But what of the borrower who, enticed by low interest rates, borrows more than they can pay back? Naturally the result will be a default. However, for the issuer of a reserve currency that is unbacked by a marketable commodity, such as gold, in the event that they borrow too much, they can just print more currency. While this avoids default indefinitely, it also hollows out the economy, erodes the capital stock, reduces the potential growth rate and, eventually, leads to a dramatic devaluation of the currency and loss of reserve status. History has not been kind to countries that have followed this path. In my view, the grave investment risks associated with the US dollar’s inevitable and potentially imminent loss of reserve status are not priced into financial markets.
Continue reading whole article
Filed under Inflation by
Skewnews.com is reporting that Canada recently announced that they would be phasing out their penny coin. On the heels of the Canadian announcement, U.S. Treasury Secretary, Tim Giethner stated in a press conference today that the U.S. Mint will remove the penny and nickel coins from circulation, starting early in January 2013.
Due to the rising costs of zinc and production related expenses, the U.S. Mint now spends 4.8 cents to make a penny. And the cost of copper and nickel have inflated the cost to create a nickel coin to 16.2 cents.
Gone in 2013
In 2011, the U.S. mint made over 4.9 billion pennies, at a cost of $118 million to make. That is $236 million to produce only $49 million worth of pennies, a loss of $187 million in minting costs. Minting the nickel coin also represents a significant loss in revenue.
By comparison, the dime (which costs 9.2 cents to mint) and the quarter (21.31 cents) are economically more feasible, and will continue in circulation through 2013. However, according to Giethner, the dime may be in jeopardy as early as 2014.
Once the phase out of pennies and nickels begins, merchants must be equipped to round all transactions to the nearest ten-cent increment.
If something costs $1.53, for instance, it will be rounded down to $1.50, and a transaction for $1.55 or higher will be rounded up to $1.60. Credit card, debit and check payments would also be subject to the rounding rule. It is expected that the rounding will not result in higher costs for purchases or losses for merchants.
Pennies and nickels will continue to hold their inherent cash value, and they can be traded in at financial institutions. Banks will then return the coins to the mint for recycling into their base materials. By mid 2013 it is expected that the penny and nickel will both be mostly removed from the U.S. economy.
Filed under Coin Collecting by
There are several steps that must be taken in figuring out how to sell a coin collection. There are many auction websites that allow individuals to more easily sell a coin collection online, although there are other ways in which an individual can sell a collection in more traditional methods. If you have been working on a coin collection for years then you will be thoroughly versed in the value of the different coins in the collection so that you will not have to do as much research to find a buyer. In addition, as a collector of coins, you will also be more informed about the different buyers on the market, having probably bought and sold to them during the course of collecting the coins over the years.
First Steps
For those who have not been a coin collector for years, how to sell a coin collection can be a very daunting task. Often a coin collection is inherited leaving the individual seeking information on how to sell a coin collection. Unfortunately, there is not an easy method of selling it unless the individual has a trusted individual that is knowledgeable in coin collections and can take care of the process for him. Otherwise, the individual must do a lot of homework to find just the right person or company to buy the coin collection.
One of the first steps in how to sell a coin collection is to determine what coins are in the collection and what they are each worth. Sometimes the coin collection will contain only one type of coin, some of which are not worth much in themselves but are worth something when in a multitude. With this situation, the individual will not want to spend all of his time counting thousands of coins. The solution is to find out what the coins weigh and then find a scale on which the coins can be accurately weighed to determine the amount that there are in the pile.
If there is more of a variety in the coins, then the individual must use books and experts to determine the types of coins in the collection and what their possible worth might be. This is one of the hardest parts for a novice in how to sell a coin collection since they are not familiar with the coins and will not be as able to determine if the coin is in mint condition or if it has flaws that are barely visible to the naked eye.
Filed under Coin Collecting by
For many years, people have bought and invested in gold. But before you Buy Gold Assets though, you need to take some time to do background research on the market you will trade in as well as the dealers that sell them to you. When this is done correctly, buying gold is the safest and most profitable investments you can make. And there are a lot of reasons and advantages of investing in gold. To begin with, gold is a common form of insurance during difficult economic times when the value of currency drops. Since gold maintains its value regardless of economic standing, it is one of the very few items that can survive inflation. To add to that, gold is accepted as a means for exchange anywhere in the world.
Since gold has immense value, you can find a lot of people trading gold for profit and in fact, there are those that have become quite successful trading it. This is because there is always a huge demand for gold and considering the fact there isn’t much of a supply, this continually increases the value of the already very precious metal. And if you have plans to BuyGoldAssets and trade them for profit, it is important that you take some time to learn about the market and how you ought to trade the gold in your possession. The first step usually is to purchase gold from reputable dealers either online or in physical establishments. But if you are going to buy gold for the first time, it is advisable to do it in person so you can talk to the gold dealers in person and they can provide tips and advice about investing in gold.
On the other hand, if you are a seasoned investor and have been trading gold for some time, you have enough savvy in you to buy from online gold dealers. There are websites such as BUYGOLDASSETS.com that can also provide helpful tips and advice about buying gold from the internet. Because it is more practical and easier to do so, you can find a lot of people that choose to buy gold from online dealers. In addition, buying online is safer considering you do not have to walk around with gold Kruggerands in your pocket. You just have to be sure though, that you are going to buy the gold only from reputable online gold dealers; those that have been in business a long time and are highly recommended by a lot of other investors.
Filed under Gold Trading by
The major commercial center linking the Asian kingdoms of the east with the coastal Greek cities of Ionia was Sardis, the capital city of ancient Lydia. So it was only natural that the first coins ever made would start here. Around 650 BC, give or take 10 years either way, coins with the head of a Lion first appeared and was used as the first system of bimetallic currency. These first coins were made of a metal called electrum, an uneven mixture of gold and silver, and sometimes had small traces of copper and or other metals in it.
In Lydia, the most used coins was minted into the weight 4.76 grams, These were called the trites and valued at 1/3rd a stater. Three of these coins weighted about 14.1 grams, and equaled one stater. A stater being about one month’s pay for a soldier. One stater size coins as well as smaller fractions were minted also: the trite 1/3rd, the afore mentioned coin, the hekte 1/6th, 1/12th, 1/24th, 1/48th and down to 1/96th of a stater.
It didn’t take long for the Greek cities of Ionia to start using electrum to start making their own coins. Widespread trading of electrum made coins was somewhat hampered however. Because of the uneven mixture of gold and silver, it was rather difficult to determine the exact worth of each coin. For this reason a foreign merchant would offer very low undervalued rates on local electrum coins. In 570 BC pure silver coins were introduced in parts of Greece making these difficulties less and less a problem.
By 560 BC, the Lydians came up with a process to separate the gold from silver, bringing about the minting of the first gold coins. Now gold coins were being produced along with silver coins. Electrum coins did remain a fairly popular form of currency until around 350 BC. Gold and silver coins however quickly became the world standard for currency used in trade. What helped to bring this about so quickly was in 547 BC, when after 13 days of the siege the Persians scaled a lightly defended part of the wall and captured the city of Sardis. Cyrus being amazed with the gold coins found in the Lydian kingdom, decided he wanted to make these gold coins for himself. The Persians learned to mint gold coins and began to use them for trade.
The Greek’s liked the use of silver coins as currency and helped to make silver coins excepted as a world standard for currency. Unlike the Greeks, the Persians preferred gold coins over silver, and helped to make gold coins excepted as a world standard for currency. Between the two, gold and silver coins become the money excepted throughout the known world. From that time gold and silver coins has been the only true form of money to this very day.
At this point you may be saying what about the paper dollars, or yens, or euros I have in my pocket? Around 100 AD the Chinese were the first to invent paper. Sometime in the early 7th century they also become the first to invent paper money. This paper money was called flying money. These first bank notes carried a guarantee that it could be traded at any time for coinage. The paper was not the real money, it was the coinage that it could be traded for that was the real money. The paper was just a form of a promissory note, a promise to trade for real money.
In 1292 when Marco Polo came back from his travels in China telling people about this paper money they used there the people in Europe didn’t believe it. It seemed as a joke that the Chinese used paper for money. Paper money in Europe wouldn’t come about until the 1600s. In the mid 1600s paper money began to appear throughout Europe, some accepted, some not. The Goldsmithnotes printed by the Bank of England founded in 1694, were again a type of promissory note. These notes were printed as a promise from English gold smiths for account deposits. The clause “(I) promise to pay the bearer on demand the sum of — pounds” in gold. Again the paper was not the money, the gold it could be traded in for was the money.
Article 1 section 8 paragraph 5 of The United States Constitution states that Congress has the power “To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;”
Article 1 section 10 paragraph 1 of The United States Constitution states that “No State shall … make any Thing but gold and silver Coin a Tender in Payment of Debts;”
From these 2 sections of The United States Constitution it is clear that our founders did not want paper money as a form of tender in this country, and for good reason. They knew that gold and silver coins have and keep value, and paper always comes to problems. Many of our founders seeing the problems Europe had with their tries at using paper money, plus the early tries of the colonies to use paper money.
In 1836 the first bank notes were printed, with over 30,000 designs and colors, they were easily counterfeited, along with bank failures, became almost as poison to most people. In 1861 Congress authorized the United States Treasury to issue paper money for the first time in the form of non-interest bearing Treasury Notes called Demand Notes. In 1862 these notes were replaced with United States Notes. Commonly called Greenbacks. In 1865 Gold Certificates were issued. In 1868 National Bank Notes, backed by U.S. government securities were printed. In 1878 Silver Certificates in exchange for silver dollars were printed. In 1913 the Federal Reserve Act was passed, then everything changed.
Until this point the paper money printed could be traded in for gold or silver coins – real money. For a while federal reserve notes could be also. From 1913 to 1963 the federal reserve note went from a note that could be traded in for real money to nothing but a piece of paper that is not backed by anything, a debt instrument. Federal reserve notes no longer says it is redeemable for gold or silver, it only says “This Note Is Legal Tender For All Debts Public And Private.” In fact the words lawful money is nowhere on the note at all anymore.
Today’s federal reserve note is what is called fiat currency. Fiat currency does not have any intrinsic value or any guarantee that it can be converted into gold or another currency. Fiat currency is nothing but a government’s order (fiat) that it must be accepted as a means of payment, back by nothing at all. The founders of the United States knew that is what would happen if paper money became accepted. That is why they made gold and silver coins the only form of lawful money in our Constitution.
Paper money never has been and never will be real money. Gold and silver coins has been and still is the only true real money. You hear that gold and silver is going up in value, when in reality it is the paper money going down in value, meaning it takes more paper to buy the same amount of gold. Back when quarters were still made of silver you could buy a loaf of bread with one of them. Today that same quarter made of silver would still buy you a loaf of bread.
Gold and silver coins is the safest place to invest your paper dollars. It is the one thing you can invest in that will never go broke. Stocks and bonds may crash, paper money may become worthless, banks may fail, but all through history gold and silver retains value. It is well known that Gold coins are the safest and most risk free place to invest ones savings. As the news informs us of the failing economy, and we see prices of everything go through the roof we need to find a safe place to put our hard earned federal reserve notes. At the decay rate of the dollar, if you can survive on $20.000.00 a year today, in about 10 years it will take you over $50,000.00 a year to live the same life style. That same $20,000.00 in gold coins in 10 years will last longer than a year.
Paper currencies offer you no protection in your investments, it only loses more and more value with each passing year. There is nothing that offsets the shrinking value of currencies like gold coins. When you save gold and silver bullion coins, such as the American Eagles, you build yourself a fortress of investment security.
Article written by Bernie Wheater
Bernie Wheater lives in Rochester, New York. He is a marketing and business consultant. He helps show people the benefits of owning a home business.
Visit his website at: [http://www.freemoneytree.tk]
If you would like to learn how you can obtain Gold and Silver Eagle Coins for 40 cents on the dollar go to: [http://www.silverandgoldcoins.tk]
Article Source: http://EzineArticles.com/?expert=Bernie_Wheater
Filed under Gold Trading, Silver Investing by
Don’t miss this EASY, AFFORDABLE and FUN
Silver Accumulation Program.
I love getting physical silver and am doing so in a variety of ways.
Recently, I came across another pretty cool way to get 1 oz. Silver American Eagle coins. I haven’t stopped any of the other methods, I’ve just added another source to accumulate even more silver.
This is a bit different from the other methods, however. And, it’s quite easy and very affordable for anyone.
For a one time payment of $20, you can get an unlimited number of 1 oz. silver American Eagle coins. Each time you cycle in this simple to fill 3×2 matrix, you will be sent 2 ounces of silver…. fill another matrix and get 2 more ounces, do it over and over again for an unlimited number of silver coins…
Pretty cool… unlimited American Eagle coins for $20.
Now, that’s getting silver at WAY below spot price.
After signing up, I’m simply advertising my site in traffic exchanges and list builders… the same ways I’m advertising my other silver accumulation programs.
If you’d like a simple and affordable way to add silver to your portfolio, you really should check this out…
http://www.silvereaglesonline.com/silver3x2/
It doesn’t get much easier than this to get you earning silver coins even faster.
Filed under Silver Affiliate, Silver Investing by
We’ve seen over the past five years the collapse and near collapse of financial giants and companies considered too big to fail. Because of this, many people are looking for alternative investment opportunities and quite a number have considered silver coin collecting as possibility. If you are one of the many people who want to try collecting silver coins for profit, there are several things to consider ensuring your efforts will pay off.
Silver Bullion Coins
If you are seriously considering silver coins as part of your investment portfolio, you need to first of all decide if you want to collect silver bullion coins or if you want to buy silver coins that were minted and circulated as legal tender.
Silver bullion coins are generally made of 99.9 percent silver except for the British silver Britannia which has a silver content of 95.8 per cent. Normally, the face value of a silver bullion coin is lower than its actual market value. For example, the Canadian Silver Leaf is a one Troy once silver bullion coin with a face value of five dollars and a market value of over thirty dollars based on the market price of silver.
Silver bullion coins provide good protection against any economic meltdown, but if you are expecting spectacular profits from investing in this coin, you will be disappointed. Financial gains with this particular investment only happen over the course of time, when the bullion coins in your safety deposit box rise in value in consonance with the price of silver.
Investment Coins
Apart from silver bullion coins, you can also go for the other type of silver coins which are sometimes referred to as investment coins. Generally, these are coins are made of at least 90 per cent silver and are, or have been, a legal tender in their country of origin.
In the past five to ten years, increasing silver prices have made these coins a popular choice for collectors. On one hand, there is always a chance to one day sell currency coins for a big margin of profit, but on the other hand, there are bigger risks in this direction because factors such as demand and popularity enter the picture.
On the plus side, silver is cheaper than gold so it is possible to begin acquiring a silver coin collection without breaking the bank. American silver coins that are not categorized as rare have a prize range of two to twenty dollars.
What to Keep in Mind
There are certain things to keep in mind to keep your money safe as you go about silver coin collecting.
- Always do your research before you make a purchase. If a coin is worth a lot of money, look for official authentication. Find out if the coin has maintained good value over time.
- Go for high quality coins which are more certain to appreciate in value than oddities. Double check quality and grade by using reliable resources like the official Red Book.
- Keep clear of TV or internet bargains. Remember that if anything sounds too good to be true, it usually is.
- Provide good storage for your collection. Good storage does not mean a shoebox hidden away in your closet or in your file cabinet. Get a safety deposit box.
- If you want to go about silver coin collecting as an investment, be ready to sell when the price is right.
Many resources say that the outlook for silver is good and that the annual demand for this metal exceeds the supply, Moreover with the current economic situation, more and more people are becoming interested in using this metal as a way of keeping their money safe. The side effect of this increased demand would be to further drive prices of silver up, making it a good investment today. However, even with these rosy predictions, it is good to practice due diligence and caution. This way, although you may not make a killing in your investments, you will be better assured of both profit and protection in silver coin collecting.
Filed under Coin Collecting, Silver Investing by
The Silver Snowball program has always been very simple and now you can earn silver even faster than before. You earn 1/2 of whatever your members buy every month; a super generous 50% commission in silver!
What I mean is that for every 1/2 oz. 4 Bit Walking Liberty Divisible round purchased at your website YOU get paid the equivalent of 50% in bonus silver rounds.
No more waiting to get paid. For every order generated by YOUR website YOU get bonus Walking Liberty .999 Silver… EVERY MONTH!
And now there is more variety in what you can earn. You’ll want to collect each of these different silver rounds.
You can earn 1 oz., 1/2 oz. and 1/4 oz .999 Silver Walking Liberty Rounds.
There are NO LIMITS to what you can earn!
So if you have even one subscriber who is getting the 1/2 ounce silver round each month then you’d be earning a 1/4 oz. silver round that month just from that one member. Or you could have two people each getting one 1/2 oz. round – same thing. Those two rounds add up to 1 oz. and you earn 1/2 oz. You continue to earn 50% bonus silver rounds on new members and repeat members every month.
Silver Snowball gives people a simple, low cost and RELIABLE way to accumulate pure silver.
And of course you can earn much more than just one bonus round a month. For example with 10 oz. sold you’d earn 5 oz. With 100 you’d earn 50. This is a simple affiliate program so ALL the commissions go to you. You don’t have to build a downline or depend on someone else to do that for you.
Filed under Silver Affiliate by
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/charts/metals/silver/t24_ag_en_usoz_2.gif)
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/charts/metals/silver/ag_go_0365_ny.gif)
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/charts/metals/silver/ag_go_0030_ny.gif)
Recent Comments