Hi this is Tutor Nick P and this is Quotes 161. The quote today is by Alan Greenspan. I'm sure many of you might remember him but it is starting to be a while ago now. He used to be the head of the Fed. So he
is the former head of the FED from 1986 to 2006. So he did it for 20 years. That is a really long time.
That's longer than both, you know then the two most recent former heads of the Fed. But you
know, combined. If you added it up their years. So anyway, let's take a look at the
quote. "Gold is a currency and it's by all
evidence, ' by all proof, " the premier currency' Premier means number one. 'with no
fiat currency including the dollar can match it."
Yeah. Remember , when we say fiat money, that means money that a government declares to be
legal tender. So whatever the government says , whether
it's paper money or whatever, you know, it's basically the currency of the
country that is fiat. You know, it's just basically paper money or digits that's
not necessarily backed by anything. Okay. So let's continue. In the same interview,
this quote is similar to the first one but was slightly different.
I view, view means his opinion , gold as the primary, primary again means number one, global
currency . It is the only currency along with silver that does not require a
counterparty signature or a liability for someone else. So what does that mean
when they say counterparty ? Well most people think you know, you got money in the
bank right, but if one day the bank were to collapse or go bankrupt that money's
gone. That that is counterparty risk. To depend on somebody else to get that
money. Or if you had money in some you know, insurance company that they're supposed
to pay you back. It's the same thing counter party risk, or you know, even even money that the
government has promised you, like pensions or Social Security. If they were
to collapse one day I mean they could, you still have to depend upon them. If
they ever ran out of money or if they didn't have enough money to pay back
then that's counterparty risk. Countries have collapsed, they have gone bankrupt
before. So you're depending upon somebody else. That's what he's saying,
that you have counterparty risk. All right. Let's continue. These quotes were said by
Alan Greenspan in a January 2015 interview. Now, this was three years ago . They were discussing
how many people were eventually going to lose faith in fiat currencies due to the world's
debt problems. that cannot ever be completely solved. I think I remember seeing a statistic somewhere
that the amount of debt is greater than all the currency that exists out there. And maybe even all the
wealth that's out there. Most of the time the debt really, it is just the interest is
what is being paid on it. One day maybe you won't even be able to pay the interest too.
So that's what he's referring to. Okay. Let's continue. He went on to say, 'I cannot tell you the day , so he means I cannot tell you when, but gold will be immeasurably higher in the future. What does he mean by immeasurable ? It means in an
extreme way ,or without bounds, without limits. I remember he said this three years ago. This clearly
has not happened in three years, but that's what he was saying. I cannot tell
you the day but there's got to be some point where it all blows, or
collapses. Where it all falls apart and basically that's kind of the day where
it all starts. But that's, that's from him. You know when he was the head of the Fed
he never talked about this he never talked about this, precious metals at that
time. He did talk about it before he was the head of the Fed.
Then after he retired, he did mention it some too. But while he was at it , in
that position a lot of times who's ever in that position is never supposed to
talk about precious metals , because they consider that competition with the
government's currency. Okay anyway, I hope you got it. I hope it's clear. I hope it was informative. Thank you for your time. Bye-bye.