Sunday, March 12, 2006

Here's a variety of interesting money calculators, for topics ranging from starting a business to raising a child.
While rather long and dry, this speech by Congressman Ron Paul of Texas stands out as a voice of fiscal sanity in the governmental wilderness. Of the numerous things that puzzle me, how someone who commits as much truth as this guy gets re-elected ranks way up there. For those disclined to wade through the speech, Congressman Paul describes the history of US finances at the global level. The US used to back its currency with gold, you see. Yup, you could demand gold for your dollars at a fixed rate until Nixon. Since then, the dollar has generally fallen against gold. Governments tend to like printing money faster than anyone finds gold. Congressman Paul notes that America has used its military to control the value of dollars, such as for example protecting key OPEC nations in exchange for those nations using only dollars for their oil markets. Note that Iraq, Iran and Venezuela have threatened to use Euros for their oil markets. Is it any wonder we are in conflict with all three? Note that investors in gold pay 28% tax on gains, regardless of the time held, while those holding stocks pay only 15%. Nevertheless, those wanting to buy gold without holding bars of it in a vault can buy shares of gold equal to 1/10th of an ounce each by buying GLD through any broker. Let us close by noting the confidence investors have in the dollar by looking at a chart of GLD over the last year