Governments Will 'Bankrupt Us': Marc Faber - CNBC
Faber reccomends physical gold and silver. No shit, Captain Obvious.
Since the Federal Reserve admits that the dollar has lost 97% of it's value since 1913, and the official price of silver in 1913 was $1.29/oz, a quick extrapolation of the value of silver to dollars today should put the current price adjusted for inflation at about $43/oz . This is just adjusting for inflation. Now take into account that hyperinflation is just around the corner with the printing of more currency, the possibilities are astronomical.
Going back to the Coinage Act of 1792 which officially set the value of the dollar to 371.25 grains of silver, (437.5 grains per ounce) or roughly $1.20 per ounce for silver, you can see that the dollar was quite stable prior to the introduction of the Federal Reserve banking system.
In 1792, 1 ounce of gold was valued at $17.68 (a $10 Eagle was 247.5 grains) and when Roosevelt confiscated all privately owned gold in 1933, gold was valued at $20.67/oz, again demonstrating the stability of gold backed currency.
Today, gold is at $1145/oz and silver is at $18/oz. The historic ratio should be 16:1. Today the ratio is 63:1. This would put today's price of silver at $71/oz using the historic gold to silver ratio and the factor of inflation. I'm no genius when it comes to seeing market manipulation, but obviously, there is something rotten in Denmark.
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