This page has been archived and commenting is disabled.
This Sunday May Mark The End Of Western Monetary Dominance
Submitted by Simon Black via Sovereign Man blog,
Walking down the streets of Constantinople in the early Middle Ages, you would have immediately felt the energy and prosperity.
Constantinople was one of the wealthiest, most advanced cities in the world, and some historians estimate its population could have been as high as 500,000 people.
Byzantine architecture in Constantinople was world famous, and local artists were producing mosaics that are still regarded as some of the finest ever made.
At this point in history, wealth and power in the world was clearly concentrated in the East.
Europe was nothing more than a plague-infested backwater. Constantinople flourished. And even further to the east, China was sporting some of the most advanced technology in the world.
But times changed.
By the 13th century, the Byzantine Empire was in clear decline. Its borders were shrinking and the empire was at the center of almost constant warfare.
And more importantly, they had begun to debase their currency. Again.
For centuries, the Byzantine gold solidus had acted as sort of de-facto international reserve currency. It contained roughly 4.5 grams of pure gold and was used in trade and commerce around the world for nearly seven centuries.
(Modern archaeologists have unearthed medieval gold solidus coins as far east as Inner Mongolia!)
Problem is– war is terribly expensive. And they paid for it by debasing by their currency. By the 11th century, the gold content in the solidus had been debased to the point that it was no longer worth anything.
So they gave it another try. Fool me once. Shame on you.
The successor to the solidus was called the hyperon; it was initially struck at 20.5 carats of gold (roughly 85% purity). But this was quickly reduced to 18 carats, then 15, then 12.
Fool me twice. Shame on me.
Enough was enough, and the rising powers in Europe demanded an alternative.
It was the Italians (the most advanced power in Europe at the time) who solved the problem.
Florence, Genoa, and Venice were all minting their own gold coins by the 13th century, and the 3.5g Florentine florin soon became the new international reserve standard used across Europe.
In many ways, this marks the beginning of the West’s rise to dominance: it all started with declaring their monetary independence from a declining power and a currency they could no longer trust.
Fast forward several centuries and we can see that the tables have clearly turned.
The West has been the dominant superpower for centuries. Yet like the Byzantines before, the West is in obvious decline.
At this point insurmountable debts and deficits plague nearly all Western governments. And they make up the difference by debasing their currencies.
This has created massive distrust, especially in the world’s most dominant reserve currency today, the US dollar.
Like the Venetians and Florentines before them, rising powers in Asia are starting to take matters into their own hands.
The Chinese renminbi (though surely not a one-way bet) is rising in international prominence. And China is at the center of a new emerging global financial system being set up in partnership with Russia, India, Brazil, etc.
Western dominance was born from a distrust in the dominant reserve currency at the time. Its decline will be because they followed the same route.
And the canary in the coal mine is what’s happening in Switzerland this weekend.
On Sunday, the people of Switzerland are going to the polls to vote on a return to the gold standard.
It was only 14 years ago that the Swiss franc, traditionally seen as a safe haven currency due to Switzerland’s reputation for stability, was still on a gold standard.
In fact, of all the major currencies, the Swiss franc was the last to abandon prudent monetary standards.
Ever since then, the Swiss National Bank’s balance sheet has absolutely exploded.
Now there’s a national election to return to a gold standard and conservative monetary policy.
Right now the polls suggest that the Swiss are leaning towards ‘NO’, i.e. they want to continue to abandon prudent practices and hand over total control of the money supply to unelected central bankers.
And if the country that has the world’s strongest traditions for financial stability chooses to turn its back on sound money, what hope is there for the rest of the West?
If the Swiss vote NO this weekend, I view that as a major watershed moment in signaling the beginning of the end of Western monetary dominance.
We can already see the signs everywhere.
Across Europe, government bond yields are NEGATIVE, i.e. you have to PAY these bankrupt governments for the privilege of loaning them money.
And as IMF director Christine Lagarde said last week that a diet of high debt, low growth and high unemployment may yet become “the new normal in Europe”.
Each of these data points signals an obvious long-term trend. We can see where this is going.
But here’s the good news: none of this need affect you. The power is in your hands.
Even if the Swiss divorce themselves from prudent policy, and even if your government refuses to maintain sound money, you still have options.
You can choose to maintain a portion of your savings at a well-capitalized bank abroad in stronger currencies.
You can choose to hold some physical precious metals (or even cryptocurrency) overseas at a secure location where it can’t be confiscated by a bankrupt government.
You can choose to own productive assets abroad or collectibles that cannot be conjured out of thin air by central bankers.
All of these tools and resources already exist today. And for now, they’re available for anyone to take advantage of.
»
- 38208 reads
- Printer-friendly version
- Send to friend
- advertisements -
Lord, you are more precious than silver,
Lord you are more costly than gold.
True... True...
Lord
Just like the Scottish Independence sham... TPTB will not allow this referendum to pass. Control over the PM prices must be maintained or their Fiat-Madoff scheme will begin to collapse. (I prefer "Madoff" to "Ponzi" due to the greater scope of Bernie's fraud.) I hope I'm proven wrong.
Schiff had a great comment in his podcast that even if the referendum doesn't pass the currency will be debased and the newly aware citizenry will buy the gold anway. Just their central bank won't be holding it.
will they be voting on Diebold machines?
If so, PTB all the way!!
"Europe was nothing more than a plague-infested backwater. Constantinople flourished".
Yes, true but CAPITal decided to move to Europe ... it brought with it all the scholars and technology from Constandinople and so the end of the greek world with it ....
Then you have the invention of central banking which was a more synchronized and sophisticated system of running the world ...
Here we are ... next stage is moving towards Asia ... and later on i dare predict Africa
Inside sources indicate that this referendum in Switzerland will indeed be voted yes this weekend.
https://www.youtube.com/watch?v=IGYaFMFU63U
I just don't see TPTB letting the Swiss vote yes on this. A rigged vote seems much more likely.
The polls are bullshit. No way those are accurate.
Precisely which just reinforces the outcome is really not consequential. The mere fact its happening is the real story. The real issue is many countries are accumulating gold before the music stops. Those that choose to ignore that out of ignorance will be aptly rewarded when the music stops as the true power shoves it up their azzes. The top of the pyramid which is just a few old families have Plenty of physical gold and when they turn off the light of their casino. They will restart the game with just a new sign out front......hehehheehehhe
Long - left-handed cue sticks? ;-)
Looney
Swiss will vote No, they're an extremely conservative lot and the central bank has been scaring them about how dangerous this move would be
"Swiss will vote No, they're an extremely conservative lot and the central bank has been scaring them about how dangerous this move would be"
That's exactly right. The Vote No posters are plastered everywhere you go. The Conseil Federale has also advised the voting public to reject the Initiative. It will not pass.
They are trying to rig the vote by hammering gold today to give the Swiss voters a WARNING
Saying
This is what we can do with your country's gold if you vote YES
All today proved was they are scared shitless of a YES vote!!!!!!!!!!!!!!
WHAT...the #Briiics are stacking like there is no tomorrow.
I agree, if they can stop it, they will. Of course there's not that many Swiss, so rigging the vote is probably quite a bit harder than in the US.
I'm planning on a "no" vote -- illegitimate it may be, but "no" nonetheless, and a down spike in the price. if that happens off the current price, I'll back up the truck.
It's not inconceivable to me that the down spike after the vote will set the bottom for the market for some time to come, but we'll see -- these are the masters of manipulation after all.
Even with a no vote, it's priced in. I'll still be backing the truck up.
The world has very little trust in governments, and any brain dead skeleton knows things might get cheaper but the supply lines are getting thinner.
Ya' know it's all trickery, wordsmithing, perceptions management....
Talking about worsmitining and trickery,
One time on a date in college I asked this chick; "Can you give yourself oral sex?"
She looked at me like I was nuts and said; "No! Can you do it?"
I said, "Yep! Take your pants off."
Never saw her again. She disappeared while I was holding my cheek and eyes were watering
Just imagine if she took her pants off and there was a penis inside.
You're very lucky.
Was her name Lola.....perchance ?
Well I'm going to be positive and going for a yes vote, don't under estimate the Swiss people.
Already started:
"A second consequence for the US deep state would be the loss of Europe in the new Cold War. Except from Britons, who have traditional deep ties and common interests with the US, the rest of Europe could slip to the Sino-Russian bloc which grows rapidly in the military and economic field and increasingly gaining independence from the Western economic system, attracting other countries too."
http://failedevolution.blogspot.gr/2014/11/basic-reasons-for-which-us-de...
Europe, per Doug Casey, "a geriatric petting zoo"
I'd love to see what propaganda the No side is bashing out in Zurich.
The no side is probably being run by the same people who ran the no side in Scotland's recent referendum
you can banco on it
This article is an advert for Sovereign Man - it should come with a disclaimer on it
Hate to break it to ya, but all Simon's articles are an advertisement for his blog. and sovereign man philosophy.
DaddyO
#Istanbul 2020......Bitchez
Istanbul was Constantinople
Now it's Istanbul, not Constantinople
Been a long time gone, Constantinople
Now it's Turkish delight on a moonlit night
That was a classic song.
Im sure its more of the usual redschield schaudenfraude.
You mean you don't trust the USD? What a surprise! It's based on the full faith of the US economy to repay.
(sarc, for those who need it)
... based on the full wraith of the US...
There - fixed it for ya.
They were men once.
ONE ring to bind them ALL,
And, in the darkness, conqour.
The coyotes are howling down by the lake right now.
No, seriously.
Where I live, the coyotes live down by the lake, and they are doing their nightly 'howlfest' thing.
I remember men. My dad was one of them. What ever happened to Men?
to bunnyswanson
The best men died. The rest were emotionally castrated by their mothers, wives and mass media.
Well there was my friend in college, and that night after doing that eight ball and the couple of cases of Bud to take the edge off, just had to try to juggle those chainsaws.
im here and will fight to the death
This is what is going to happen on Sunday:
The sheeple will cast votes. The banksters will "count" the votes.
An American, not US subject.
The votes are counted by the local Canton officials.Outside the cities, by people the locals know.
Handwritten ballots.The Cantons ratify the count.Very decentralized.
Not so easy to rig, but we will see.
... and crazy rednecks.
In my district there should only be about a thousand ballots to count (absent a really high turnout), then they print out the official tally, and then the mayor, secretary and two official witnesses sign the tally, and then they forward the total, then a dozen or so people will walk across the street to the bar... The local part should be finished and the count known around lunch time.
After I get done with the "Fuck Diebold" duty tomorrow, I will write-up how the Referendum should have been worded in order to
1) return the Swiss gold
2) eliminate both all desire and any need for its future sale
3) protect Swiss purchasing power
4) protect Swiss exports, and
5) receive backing by the SNB and at least some of the major political parties.
As the way the referendum is worded on the ballot - it will not actually do what either the side is saying it will do, but that is politics - If you like your health insurance, you can keep you health insurance.
Hey don't bust my cynicism bubble. I've worked hard on it. ;-)
I may be overly cynical on this election, but I sure wasn't on Scotland's independence vote.
An American, not US subject.
Genetic Wisdom does not transfer.
Ancient cultures like Chinese and Slavs are coming back like it or not Western.
hehe.
with their gold?
Why would anyone expect anything other than a "no" vote? Funny thing is, paper gold will probably sell off hard after the absolutely anticipated results are presented. We live in a New Normal.
One might be inclined to write off Western Nations, but when one turns to it's replacements; China, Russia, Brazil, et all you find a shaker house of cards than the West. The Rule of Law, private property, and JudeoChristian ethics form the foundations of Western civilization ... they are not existent in the diverse and disparate cultures of the emerging nations. We (The West) may fall to subjugation by force but we will not relinquish economic leadership through incompetent management of resources, capital, and our heritage.
"...The Rule of Law, private property, and JudeoChristian ethics form the foundations of Western civilization..."
Ummm, are there any "western nations" left by what we currently see in those geographic areas?? Hardly looks like it to me.
Don't mind 'Bear'. He has either just awakened after a long sleep, or is still in the middle of a dream (a WET dream).
I'd wager that Russia and Brazil support Judeo-Christian ethics much more so than the pagan, atheist, and satan worshippers of Wall Street and Brussels.
The problem is that the West is adopting the Judeo ethics of the money changers whom Christ drove from the temple. Reject the tribe and their diabolical deception.
"the rule of law....... bla bla"
are more existant in a shit hole like Argentina than"the west" , you dumb ass.
There has been a seismic shift in the values of the achieving western man. He no longer wants to work with others to improve society; to further the interests of capitalism and the stature of his fellow man but rather it is purely a greedy, self-interest at the expense of others that he seeks. To be the criminal before he is the victim; to no longer aspire to be a mere, altruistic James Bond but rather the more powerful and self-aggrandizing, James Bond villian. It's too bad, but president Obama aspires to the James-Bond-villian model and the example he is setting is most divisive. One need not wonder how this fundamental shift in values plays out in the end... Roman historians know it well.
Central Planners will send the AfroAmerican workforce back to Africa. A 360 degree hedging hindsight on future Social Security payout.. China has a 5 year jumpstart on peasant labor plantation bases.
The thing will be for good through economic exchanges or worse, in the ass, as happened when the barbarians invaded Rome or when Mao Zedong kicked the US and her ass Chian Kai-shek vassal after the second world war.
Before that China had the Revolution Boxsers and Russia in 1917.
Violent riots, insane things happened.
Babylon, Egypt, Greece, Italy, Portugal, Spain and the United Kingdom never recovered for different reasons but the bottom has the same origin: miscegenation.
Make no mistake, the Middle East things are going the same way, do not be surprised if, when the fall of the current Empire (USA), simultaneously in what is now Israel will be another diaspora.
Israel is nothing more than a catchall worse than Brazil with regard to miscegenation, the only thing that unites these people is the last name, the yarmulke, circumcision and the bellicose nature.
Ancient cultures genetically consolidades not accept invaders, are as white blood cells, fight and expel foreign bodies.
When I say that Japan will return to eat rice and fish in the near future, is not apocalyptic prediction or why not like Japanese, history shows us that Japan is only what it is because it was necessary after the second world war as a factory electronic components to the US.
The Meiji era created a cultured society in the manufacturing arts.
This importance is gone, the priorities are elsewhere, and today Japan fuck!
South Korea and Taiwan follow the same path.
This North americada culture for-profit in the short term without regard to the traditions and bonds of trust in the long run scare any historian.
The Chinese were smart, they saw it happen, prepared and now are they who say that Fuck the USA.
The secret of these matriarchal cultures is that the grandparents teach their grandchildren about the past, something that Hollywood has always tried to break with his liberal films where anything goes from drug homosexuality, since putarias insane rock bottom that is to deceive or lie to their advantage.
Is not how it works national unity.
Édessa not so ancient and homogeneous cultures survive.
Sorry for the long and truncated text in the "googleana" translation.
:-)
I'm not sure exactly what you said, but if you're proposing that California be renamed "Putaria", you're showing some real insight.
Yeah "putaria" ... since we're talking about a Brazilian "whore house", Obola may retire there after he's wrecked America.
I've placed my bets.
Waiting for the game to play out and hoping I got it right.
It's where we find ourselves, I think.
Gold tola bars are shaped to be carried up your ass for just that reason.
hahahaha what a fucking joke.
See you next week, with the DX at new multi year highs as the NQ YM TF and ES do the same.
The future is already written.
Demise of the West: The Dystopian Prophecies
http://www.peakprosperity.com/forum/89110/demise-west-dystopian-propheci...
Celebrating the demise of the living standards brought to you by American unions is laughable. If it were not for Americans, the USA would have child labor, 7 day work weeks/12 hours a day, no benefits, work until you drop. It was unions which created the middle class. Enjoy the collapse, but remember, you fall too. You all will fall into the abyss, regardless of where you are.
Private sector unions are one thing -if they suck too much blood out of the host, the host dies; public unions are an altogether different animal -they have an unlimited checkbook, aka, the taxpayer...even that old commie FDR forbid them.
Early unions did some good, but current public unions are bleeding this country dry.
Early unions did "some good" ? now THAT is damning with faint praise; They did a hell of a lot of good. In the 1960s they got real corrupt and now are perhaps obsolete
The Jefferson quote on that website about banking is considered spurrious; there is no record of it before 1933 according to Monticello.org.
I wish the Switzerland people will make the wise choice but something tells me that everywhere you see is full of insanity. I doubt this will pass.
wish/think > outcome predictable > not what should happen, but that is what is happening almost everywhere > wrong stuff happening, from MIC spending to TBTF to just plain illegal president.
so fucked up fucked up would be good
This guy's slant is beyond belief ignorant of real world facts. China has so much debt built up , and their demographics are so bad that they are not going to be running anything in the future. They are going to be too busy trying to keep their economy from totally tanking, which would lead to a people's revolution and all of the current leaders being replaced. Also remember the saying that when it rains in the developed nations it pours in the emerging markets. It has happened before and it is about to happen again. Yes the developed markets suck right now, but would you rather be there or in Argentina or Venezuela?
20th century perspective. lol
china has had the world's biggest economy since the beginning of organized human communities. the last 2 centuries of western domination are soon to be over for the flash in the pan white euros have been, from barbarian to the leaders of the world to back to barbariabn, like africa.
YES. The export model that gone insane with internal infrastructure buildups and the global vendor financing (i.e. keeping its reserves in $ to fuel US/EC consumption) has failed. Caught with demand deficit of Western Economies.
Huge internal debt problem and the need to keep production going with directed stimulus to keep employment in case of massive social unrest to a Party clinging on to credibility with its people.
Yes. They know the unsustainability of the export model with their declared reforms to turn around into a consumer economy. All reform programs are stalling as they are still fossilized under a "state capitalist" structure.
A massive struggle to awart implosion and deflation.
to billw:
Are you saying that the West is intentionally bringing its economy to the state of collapse in order to cause the economic and political collapse of the non-West countries and to replace their national leaders with the West controlled puppets?
GOLD!
DEFAULT!
This article is misleading
This could be the gunshot heard round the world. Quite possibly the biggest piece of news ever written. The Swiss can change the world on Sunday.
https://www.youtube.com/watch?v=GXE_n2q08Yw
The O'Jays - For The Love of Money (Audio)
The referendum will fail, gold and silver will drop like stones and it'll all be on sale Monday.
What more can you ask for?
Referendum will fail, gold will go back to 1200, 1225 and even 1240 and then drop like stones in Loch Lomond.
Less posts from you?
An early Christmas Goose....
all speculation is an attempt at a form of self gratification,
so, we say good luck.
Money, or purchasing power is similar to everything else. How long can you retain money before it changes in value, or it deteorirates. Gold last a long time, but its supply is limited, and people have a habit of hording it, limiting economic activity. Too much gold, or money in an economy can cause prices to increase.
Money in our economy increases in value, or purchasing power if the product or service you dedire decreases in price after you obtain a certain amount of money. Not enough gold, or money in an economy can cause prices to decrease.
In our economy, 97% of our money is created by the banks as they create debt. It is a fiat money system. The money can expand, or contract. The federal government is involved in the creation of credit money, by creating a deficit, and the creation of paper and coin money. The private financial sector, and the government are involved in the creation of money in our economy. The government, and the private bankimg sector can increase, or decrease the amount of money that is in our economy.
Because the federal government is involved in the process of determining how much money is created, it should also partially guarantee the value, or purchasing power of money, when the private financial sector, and the federal government create too much money (debt). Not only by limiting the supply of money, but by tax policy. I am not talking about increasing taxes on the rich. If it partially guarantees the value of money, which won't cost the federal government a dime, it will help prevent high inflation, financial crisis, and deep recessions.
Please let me explain! www.wp.me/p42WQA-1E www.taxpolicyusa.wordpress.com
There is no East or West anymore Mr Beele
http://newworldorderg20.wordpress.com/2014/11/14/1945-british-national-archives-document-reveals-prime-minister-clement-attlee-desire-for-new-world-order-with-russia-u-k-and-u-s/
http://www.youtube.com/watch?v=yuBe93FMiJc
http://newworldorderg20.wordpress.com/2014/11/29/russias-rosneft-buys-french-oil-refinery-from-total/
http://newworldorderg20.wordpress.com/2014/11/29/chinas-industrial-and-commercial-bank-creates-offshore-yuan-center-in-los-angeles/
http://newworldorderg20.wordpress.com/2014/11/27/russia-and-the-u-s-sell-to-both-sides-of-india-pakistan-tension/
http://newworldorderg20.wordpress.com/2014/11/29/daily-updates-iran-is-already-open-for-western-business/
Bitcoin Last Price $379
is the article backwards or what.....its say a NO vote is waht is feared but a no is status quo. dam those bots
I don't think Sunday's vote means anything. The global banking system is determined to print a bigger piece of the pie for itself and destroy its currency in the process. It has all kinds of reasons why the ponzi plan will work this time. The vote will be no, no matter how many people vote yes. The world will continue to see it for what it is. The market will absorb gold until every once is gone into hordes. I will be waiting for their completedly predictable paper game on Monday. Then I will take some gold from them, if I can find any.
Personally I see gold going to 750 as IMO the majority of people around the world who want to own physical have already bought it and within 2 years there will be an epic contraction in global productivity forcing massive private selling of that physical. But I'm usually wrong so it'll now probably go to 10,000.
simon black knew this was coming all along because he once rented a house in Switzerland for like $2/hour!!11
ZH: STOP POSTING SB ARTICLES!!!!!!!!! HE IS A WANNA-BE-KNOW-IT-ALL DOUCHE
Edit : sorry. This was supposed to be an answer to msg 5499244 : "will they voting on Diebold machines".
-----------
Nope. Apart a few exceptions, like the canton of Geneva, the vote is "paper bulletins-based" and the result is determined by the citizens counting the bulletins. And, as far as I know, the "e-voting" is not done on Diebold machines :-)
In case of interest: I found the following link on the system used in Geneva : http://www.ge.ch/evoting/english/welcome.asp
Maybe we should start rocking the f@#king boat to get a gold referendum here in the states.
Follow the votes as they come in......should be starting soon I hope. Good Luck to Honest Money.
http://www.swissinfo.ch/eng/multimedia/vote-results-30.11-2014/41134608