But for how much longer will the Federal Reserve Bank's signature franchise product be employed by the populace? We might do just as well to ask how much longer will the signature product, and the electronic entries made by banks across the world connected, however tenuously, to that signature franchise product, retain any purchasing power? After all, since its inception in 1913, the creature from Jekyll Island, aka The Federal Reserve Bank, has seen its "notes" lose ninety four percent of their purchasing power, so that now, irrespective of supply and demand dynamics, it takes approximately a dollar to buy what once took a nickel.
I will spare you a recounting of the history of money in the U.S. since The Fed acquired its franchise, except to say that there is a decent brief primer on it in this report. In the meantime, consider the relative purchasing power of gold versus Federal Reserve Notes, and consider the status of finances in the U.S., and for that matter, the state of finances across the globe, and then, as it may be a matter of the utmost importance to your future, financial and otherwise, ask yourself the following 64 trillion dollar question: Is there any reason to expect the long standing trend of franchise money (where the purchasing power of the aforesaid has been consistently eroded over its entire history, and has, especially over the last decade, especially with respect to gold, markedly deteriorated) to change in any meaningful way?