Dear American, What we call “government debt” is not really debt in the traditional sense. It is the result of a long-running inflation strategy.
Over time, the dollar’s value has been deliberately weakened. As the dollar buys less, asset prices such as stocks and real estate rise. This creates the appearance of growing wealth.
Yes, portfolios and home values have gone up. But higher prices alone do not equal real wealth. True wealth must be durable and able to hold its value over time.
We have gathered some data for you to revise, so take a look at the graphs below:
US Stock Market Index, Dow Jones 1971 (NIXON) - Present
BREAKDOWN
700 Points in 1971
50,000 Points 2026
Gain = 7142%
Buying Power of USD Since 1971 Richard Nixon’s Removal of Gold from Dollar
BREAKDOWN
Lost 88% of its buying strength since 1971.
BREAKDOWN
USD Lost 97% of its Buying Strength since creation of Federal reserve 1913
US Federal Debt Total 1971 to Present
BREAKDOWN
$300 Billion - 1971
$38.5 trillion - 2026
Increase of 12833%
US Gold Price 1971 to Present
BREAKDOWN
$194 in 1971
$4,513 2026
Gain of 2326%
Post Covid Snapshot | Extreme Governmental Monetary Creation
BREAKDOWN
US Dow Jones 27500 points to 50,000
Gain of 55%
BREAKDOWN
Us Gold Price $1,600 to $4,513
Gain of of 282%
Since the U.S. dollar has lost roughly 97% of its purchasing power, the very tool used to generate these gains is nearly exhausted. When purchasing power disappears, inflated asset values eventually come back down. Mathematically, they have no solid foundation.
Gold is different. As the dollar weakens, gold rises, not because gold is changing, but because the dollar is failing. When confidence in the dollar finally breaks, gold will not fall with it. Instead, it is likely to reach levels that seem hard to imagine today.
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