Confidence – the emotion that holds all fiat currencies together

Source: BullionStar – Confidence – the emotion that holds all fiat currencies together

The United States had no legal tender laws until 1862 when the US government enacted them to ensure that the public would accept the paper notes that were issued. These notes were nicknamed greenbacks – a name that is still used today to describe the US dollar. The US government had issued these notes when it needed to finance the Civil War. Hard money in the form of gold and silver had curtailed their overspending. Unfortunately, a war had to be won even if they could not afford it.The issue of paper notes allowed the government to finance the war now but pay… in the future.

How Much Longer Will the Dollar be the Reserve Currency?

Source: Mises.org – How Much Longer Will the Dollar be the Reserve Currency?

We use the term “reserve currency” when referring to the common use of the dollar by other countries when settling their international trade accounts. For example, if Canada buys goods from China, it may pay China in US dollars rather than Canadian dollars, and vice versa. However, the foundation from which the term originated no longer exists, and today the dollar is called a “reserve currency” simply because foreign countries hold it in great quantity to facilitate trade.

The Last Time The United States Declared Bankruptcy

Source: BullionStar – The last time the United States declared bankruptcy

For the past week, the news making the headlines in the world economy is whether the United States will default as a result of the debt ceiling not being raised. I surveyed a number of my friends on this topic to see how many think that the United States will default on debt obligations this month. All of them believed that the debt ceiling will be raised and a default will be avoided.

What Is A Gold Standard?

Source: Learn Liberty – What Is A Gold Standard?

Before 1974, U.S. dollars were backed by gold. This meant that the federal government could not print more money than it could redeem for gold. While this constrained the federal government, it also provided citizens with a relatively stable purchasing power for goods and services. Today’s paper currency has no intrinsic value. It is not based on the value of gold or anything else. Under a gold standard, inflation was really limited. With floating value, or fiat, currency, however, some countries have seen inflation reach extremely high levels—sometimes enough to lead to economic collapse. Gold standards have historically provided more stable currencies with lower inflation than fiat currency. Should the United States return to a gold standard?

Documentary: Breaking Inequality

Source: Breaking Inequality

This is one of the most important issues our country faces right now and it demands everyone’s attention or else the consequences could be catastrophic.

Breaking Inequality is a documentary film about the corruption between Washington and Wall Street that has resulted in the largest inequality gap in the history of America.