Date: Tue, 23 Sep 2008 17:03:36 -0700 (PDT)
From: Mervyn Lobo <[EMAIL PROTECTED]>
>
The?answer to the question of this post is quite obvious. Every time the US has
an unpopular president, Americans start buying gold.?
>
Mario responds:
>
If you say so. But don't you have to have a seller for every buyer? I wonder
which country those come from?
>
The real question is why you continue to distort the US system of government
and the role of the US President, which takes such a lot of bandwidth to
correct.
>
Mervyn writes:
>
Er, the US is so broke that it is printing money like the "Wiemar Republic"
There is no limit to how much money the US has to print.
>
Mario responds:
>
Your reponse above was to my comment, "You also don't seem to know that Bush's
tax policy is not one of "lower taxes" but of lower "income tax rates" which
resulted in a tremendous INCREASE in income?taxes collected by the US
Treasury." which corrected yet another false statement by you about Bush 43's
policies.
>
Bush 43's tax policies, which Congress accepted, caused income tax collections
to skyrocket as the econmy grew steadily for seven straight years and still
hasn't slipped into a recession. The size of the US economy is what has
enabled it to survive its recent financial problems mostly caused by ridiculous
lending practices by major banks, for which they are now paying a heavy price.
>
Regarding printing money, I'm afraid you are right, and this has contributed to
the US dollar devaluation. However, any such narrow-minded comparisons with
the Weimar Republic, and your previous equally narrow-minded comparisons with
the communist USSR are patently absurd, since the US asset base and GDP are
strong enough that the US can manage and correct its financial problems unlike
those other systems.
>
You still seem unaware that the world economy, including Canada's, are
substantially dependant on US imports, and we have still pledged $63 BILLION
over the next ten years to help fight HIV/AIDS, TB and malaria in mostly poor
and tropical countries, which I wish other countries would support instead of
cheering for the US to fail.
>
Mervyn wrote:
>
The very thought of?another four years of McSame? policies?makes my?heart, and
gold, glow.
>
Mario responds:
>
There is a good chance that McCain will win the US presidency, but gold is far
more likely to reach $1,650 if he does not. If you don't think so you have no
clue about not only his opponent but also the Democrats who currently control
the US Congress. But then, as we have seen in this exchange, your knowledge
of the US is pretty narrow and usually grossly distorted.
>
But then you covered yourself when you said you had no idea when gold would
reach $1,650, which makes it useless as a recommendation. The economic value
of an investment does not depend simply on the buy and sell prices but also on
the time difference in between. Any credible book on basic economics will
explain to you why this is, and you will typically find it in the very first
chapter.
>
Mervyn wrote:
>
This will be my last post on this topic for now. I simply do not have the time
to explain things to non-believers.
>
Mario responds:
>
Ongoing credible belief requires reliably recognizable facts, without gross
distortions interspersed.
>
When you cite recognizable facts I have no problem recognizing them.
Unfortunately, you also include so many distortions that have nothing to do
with any issue at hand that it is just as well that you have decided to take a
break, as your approach must be pretty exhausting.
>
However, I am never too exhausted to notice and question or correct an
unrecognizable fact, and this does not apply just to you, believe me.
>
