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February
03
2017

Transferring Power to the People
James Turk

Of the many significant statements made by President Donald Trump in his inaugural address, I believe the following stands out:

Today, we are not merely transferring power from one administration to another or from one party to another, but we are transferring power from Washington, D.C. and giving it back to you, the people.

It is indeed a noble goal, but the obvious questions arise. Is returning power to the people just a guide that President Trump will use for the decisions he makes as president? Or is it his aim to actually put power into the hands of the people? And if the latter, how do you transfer power from Washington D.C. and give it back to the people?

I purposefully use the word “back” for this shift of power, not just because President Trump uses it. Rather, it does seem clear to me that in my nearly seven decades on this earth, power has shifted away from individual citizens to Washington D.C. It is the same phenomenon that was recognized shortly after World War II by a brilliant Congressman from Omaha, Nebraska, Rep. Howard Buffett, who happens to be the father of Warren Buffett.

Unfortunately, Rep. Buffett was far ahead of his time, so few listened to his concerns and even fewer appreciated his wisdom when he addressed a group of businessmen on May 4, 1948. His words speak for themselves.

There is a parallel between business and politics which quickly illustrates the weakness in political control of money.

Each of you is in business to make profits. If your firm does not make profits, it goes out of business. If I were to bring a product to you and say, this item is splendid for your customers, but you would have to sell it without profit, or even at a loss that would put you out of business. Well, I would get thrown out of your office, perhaps politely, but certainly quickly. Your business must have profits.

In politics votes have a similar vital importance to an elected official. That situation is not ideal, but it exists, probably because generally no one gives up power willingly. Perhaps you are right now saying to yourself: “That’s just what I have always thought. The politicians are thinking of votes when they ought to think about the future of the country. What we need is a Congress with some ‘guts.’ If we elected a Congress with intestinal fortitude, it would stop the spending all right!”

I went to Washington with exactly that hope and belief. But I have had to discard it as unrealistic. Why? Because an economy Congressman under our printing-press money system is in the position of a fireman running into a burning building with a hose that is not connected with the water plug. His courage may be commendable, but he is not hooked up right at the other end of the line. So it is now with a Congressman working for economy. There is no sustained hookup with the taxpayers to give him strength.

When the people’s right to restrain public spending by demanding gold coin was taken from them, the automatic flow of strength from the grass-roots to enforce economy in Washington was disconnected.

In other words, power flowed from the people to Washington. Rep. Buffett continues:

Far away from Congress is the real forgotten man, the taxpayer who foots the bill. He is in a different spot from the tax-eater or the business that makes millions from spending schemes. He cannot afford to spend his time trying to oppose Federal expenditures. He has to earn his own living and carry the burden of taxes as well.

But for most beneficiaries a Federal paycheck soon becomes vital in his life. He usually will spend his full energies if necessary to hang onto this income.

The taxpayer is completely outmatched in such an unequal contest. Always heretofore he possessed an equalizer. If government finances weren’t run according to his idea of soundness he had an individual right to protect himself by obtaining gold.

Thus, to transfer power back to the people, we know what President Trump needs to do. Allow gold and silver to circulate once again as currency by removing those impediments – like taxes – that hinder that outcome.

To make America great again, President Trump needs to Make Money Great Again. He needs to follow Rep. Buffett’s advice, and I am therefore pleased to say that an initiative has already begun. President Trump needs to sign the Executive Order explained at www.MMGA.org

It won’t be easy to restore sound money. As Rep. Buffett presciently warned with uncanny foresight:

I warn you that politicians of both parties will oppose the restoration of gold, although they may outwardly seemingly favor it. Also those elements here and abroad who are getting rich from the continued American inflation will oppose a return to sound money. You must be prepared to meet their opposition intelligently and vigorously.

The proposed Executive Order at www.MMGA.org is both an intelligent and peaceful solution to the re-establishment of sound money. It allows weights of gold and silver to circulate in parallel with dollars, which transfers power back to the people by restoring every individual’s right to choose the currency they would like to use.

Rep. Howard Buffett’s May 4, 1948 is available here. I wholeheartedly recommend reading it.

James Turk is the founder GoldMoney – The Best Way to Buy Gold and Silver, which provides a convenient and economical way to buy and sell gold, silver and platinum online using the digital gold currency for which he was awarded four US patents. He has specialized in international banking, finance and investments since graduating in 1969 from George Washington University with a B.A. degree in International Economics. He began his business career with The Chase Manhattan Bank (now J.P. Morgan Chase), which included assignments in Thailand, the Philippines and Hong Kong. In 1980 he joined the private investment and trading company of a prominent precious metals trader. He moved to the United Arab Emirates in December 1983 to be appointed Manager of the Commodity Department of the Abu Dhabi Investment Authority, a position he held until resigning in 1987 to begin FGMR.

James Turk has written several monographs on money and banking and is the co-author of The Coming Collapse of the Dollar (Doubleday, 2004), now available in a paperback version entitled The Collapse of the Dollar.

James Turk began publishing the Freemarket Gold & Money Report in March 1987 as a subscription-based investment newsletter focusing primarily on precious metals and national currencies. In August 2009, the newsletter completed a total transformation to become a free, web-based commentary. Accordingly, its name was changed to the Free Gold Money Report.
The objective of this website is to be informative and educational. It aims to help readers better understand gold, money and currency through James Turk’s commentaries and insights.

www.fgmr.com