Gold and Silver are the only thing that is money. Paper money is a representation of money (gold and Silver). This is contrary to Bernanke's answer to Ron Paul's Question, "Is gold money?" His answer was Gold is an Asset like a Treasury Bill. Boy that's scary. What would one convert this Treasure Bill asset to? More Federal Reserve Notes? A note is a promise to pay. Pay what? Money of course, so Mr. Bernanke how would you answer that question now?
We don't have inflation but we do have the depreciation of the paper dollar. An .oz of gold was valued at $18.92 in paper money in 1913, today the same .oz is valued at $1638.00 (9/30/11) in paper money. The .oz of Gold hasn't changed, it's still an .oz. The only thing that has changed is the conversion rate, so is this inflation or deflation? I think it's the Private banks (The Federal Reserve) just robbing the people who can't get in on the ponzi scheme. If your in at the beginning it's great but if your in at the end you have been robbed by the early birds, namely the Bankers and their friends. Go ask the old timer who was offered ten cents on a dollar during the “Great Depression” what he thinks. It was engineered by the banking system just as the 2008 banking fiasco and the to big to fail trick.
If you look at the historical chart Gold continues to go up against the dollar. The value of the paper dollar began it's long slide after 1913. It’s deterioration has gone into overdrive since Nixon abandoned the gold standard. Now let us look at a 1913 paper dollar vs. gold. In 1913 gold was valued at $18. 92 an .oz and today ( 10/8/11 it’s $1663.20 at 7a.m) so what is todays buying power of a 1913 dollar? It’s simple math: Gold 1913 was value $18.92 .oz divided by $1,663.20 todays value and like magic that 1913 dollar is worth $.01155067 in buying power today. That’s a penny!
This will continue until the Bernanke dollar goes to “0”. Yes, I said the Bernanke dollar (federal reserve note and not backed by the United States but is self insured by the Federal Reserve System and more paper money:) This fits Joseph Heller’s book catch 22 very nicely. The talking heads will never explain it so simply but I’ll bet they are holding some gold and silver.
Ron Paul for President, he is the only one addressing the real problem.