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The following is a transcript of the "Adam Smith Lecture" I gave at a private gathering in London on 19 February. For a long time governments have been redistributing peoples’ income and wealth in the name of fairness. They provide for the unemployed, the sick, and the elderly. The state provides. You can depend on the ...
HRH Queen Elizabeth II: “I saw all the Gold bars. Regrettably, not all of them belong to us.” George Osborne, Chancellor of the Exchequer: “Some of them were sold, but we still have got some left.” For the first time since George III in 1781, a British Monarch attended a British Government Cabinet meeting on the 13 ...
The Bundesbank’s confirmation on Wednesday that it is looking to repatriate a portion of its gold reserves caused a stir in financial media: by 2020 they are looking to have finished transportation of 674 of the 2,319 tonnes currently stored abroad. This will mean transporting 300 from New York (of 1,500 now held there) and all 374 ...
“Gold is money. Everything else is credit” JP Morgan, testifying before Congress, 1912 The world’s most powerful banker understood that gold sits at the bottom of the inverted “liquidity pyramid”. The graphic below (courtesy of Demonocracy) shows multiple stacks of $100 bills totaling some one-quadrillion ...
Much has been made in the press of the manipulation of LIBOR, without much explanation of the consequences for prices of all things that depend on supply and demand for bank credit. Outrage focuses on the activities of avaricious bankers, which is why the connection never gets made between relatively minor manipulations of credit pricing ...
In Golden stability versus fiat chaos (Part I) we discussed how gold money preserves purchasing power and attacked the factually and logically wrong argument that a fiat currency would or could, if “properly managed", prove more stable and better at preserving value than gold money. History is eloquent in this regard. In ...
The following is an essay version of a speech given by Spanish trader and economist Felix Moreno de la Cova, at a recent event in Madrid to mark the publication of the Spanish version of Gold Wars by the late Ferdinand Lips. GoldMoney would like to thank the Asociación Española de Metales Preciosos and Barbara Lips of the Lips ...
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