Categories

Economy & Politics

Tools

  • Economy & Politics
  • Investing
  • Personal Finance
  • Related Posts


    Senate Democrats Target Kroger In Latest Gun-free Campaign
    Lawmaker Urges DOJ To Examine Oklahoma Beheading As Terror Case
    This Explains A Lot: Obama Has Attended Less Than Half Of Daily Intelligence Briefings
    Obama Prepares Lavish Feast For Indian PM – Who Is In The Middle Of A Religious Fast
    Los Angeles: Residents Can’t Waste Water, But The Government Can
    ADP Private Payrolls Rise Modestly To 4-Year Average
    Germany Throws Up Over Draghi Plan To Buy Greek Junk
    Europe On Triple-Dip Alert After German Manufacturing Posts First Contraction In 15 Months
    The “Sexy” Facts About Debt Markets
    Is The U.S. Secretly Egging On Hong Kong Protesters?
    These U.S. Warships Are Attacking Syrian Militants From Afar
    If Something Rattles This Ponzi Scheme, Life In America Will Change Overnight
    Summing Up The ‘Recovery’ In 1 Simple Chart
    Beijing Just Sent A Chilling Message To Hong Kong’s Umbrella Revolution
    5 Weeks And No Coherence


    Nominal And Real Dollars

    Here is the story that nobody will tell you.

    Each day, the mainstream media put a positive twist on the stock market. The monetary authorities know that a booming stock market brings euphoria and spending by the population. They dare not reveal this graph showing that stocks are actually in a downtrend against gold. Not one in a million investors suspects that their holdings denominated in fiat dollars are losing value daily.

    DJI in Gold Instead of Dollars
    Graph courtesy of Jan. 14, 2013 report of
    James Dines & Co, Inc., dinesletter.com

    Warren Buffett is hailed as the great billionaire investor, but there’s never a word that his fiat empire is actually losing value measured against gold. The graph above shows that the Dow Jones industrial index, as denominated in fiat paper dollars, is in a super bear market. This also proves that there is a super bear market in fiat currencies.

    This is a chart that is the basis of mass confusion, though it is very simple. It involves two kinds of dollars, nominal and real dollars.

    Nominal dollars affect our lives most, because these are everyday changing dollars. They change because the U.S. government changes them by constantly devaluing (diluting) them by printing massive amounts of new dollars.

    These nominal dollars are quicksand to the assets of millions of Americans. They are the monetary unit used in contract law as well as millions of everyday transactions. Americans depend on nominal dollars, so their everyday lives are full of deception and false hope.

    Nominal (changing) dollars make a total mockery of the huge U.S. stock market. Depreciating currency creates the illusion that stocks are gaining in value; whereas if measured in real and permanent value as gold and silver, stocks are constantly losing value. The chart illustrates that.

    Real dollars are actually imaginary dollars because they remain constant and do not change in a set value. But they are a measuring comparison of the great losses in nominal devaluing dollars.

    Discuss this Story:

    Comment Policy: We encourage open discussion. Comments including racist statements, profanity, name calling or spam will be removed at our discretion. We use filters for spam protection. If your comment does not appear it is likely because it violates the policy.

    Obamacare Subsidy Rodeo Begins Again
    The Scoop On The Ebola Patient In Dallas
    Dogs Don’t Like Leashes: Some South Carolina Pols Don’t Like Nikki Haley’s Reforms (like Accountibility To Voters)
    The Democrats Hope You Are An Idiot
    Asian Factories Slow In September, Push Inflation Ever Lower
    China September Factory Activity Steadies But Economic Outlook Still Weak
    Argentina Defies U.S. Court Order By Depositing Debt Payment
    Yellen And The Fed’s TMI Problem
    FCC Eliminates NFL Blackout Rules
    Connecticut Governor’s Sandy Hook Panel Recommends New Restrictions On Homeschooling
    Groups Call On Obama To Undo His Administration’s Damage To Freedom Of Information Laws
    GOP Gaining Momentum In Key Senate Races
    Terror In The Heartland Due To ‘Workplace Violence’
    Eurozone Inflation Drops To Fresh 5 Year Low, EURUSD Tumbles
    Presenting ISIS-Beating “Mad Max” Battle Tanks And Buses
    The Hong Kong Protest: What It’s All About
    Senate Sponsor Exposes The Real Reason For The Fed
    China In A Nutshell
    No, America Isn’t Communist; It’s Only 70% Communist
    Venezuela’s ’21st Century Socialism': Food Lines For The People, New Cars For The Military
    “We’ll Become ISIS” – The Devaluation Of America’s Young Men
    The US Is Now 50% More Unequal Than Ancient Rome (And That Includes Slaves)
    This Is Unacceptable
    Military Officers Resigning Over Policy Differences Is A Bad Idea
    President Obama’s Asinine Abdication Of Responsibility On Iraq
    You Want To Live In A City That Uses Data In One Of These Three Ways
    Hong Kong’s Umbrella Revolution May Be The Politest Protest Ever
    How ExxonMobil Swayed U.S. Sanctions And Strengthened Putin’s Hand
    The U.S. Is Ready To Redefine ‘Television’ To Include The Internet
    China Final September HSBC PMI Steady On Firmer Global Demand But Risks Remain
    Read more from Economy & Politics...

    Liberty Investor Digest

    Get today's most important
    financial headlines all in
    one place by email!



    Sources


    close[X]

    Sign Up For Liberty Investor Digest™!

    Get Liberty Investor Digest FREE By Email!

    Input your name and email address in the fields below and get today's most important financial headlines sent straight to you inbox!

    Privacy PolicyYou can opt-out at any time. We protect your information like a mother hen. We will not sell or rent your email address to anyone for any reason.