Inflation: While Americans Struggle, The Fed QE Policy Makes It More Expensive to Eat & Buy Clothing

reply to post by dwmjr1985


Monopolies don't happen on their own. They are created through favoritism.

If De Beers hadn't been helped along by various African governments and facilitated
through the British government it would never have operated in the manner in which it
has.

Are they evil as hell? Yep. But evil often needs help to hide the evil otherwise it can't last long.

But to answer your question, yes. SOME regulations are absolutely necessary.

What isn't necessary is 2000 page bills that purport to help regulate the financial system and eliminate waste, fraud and abuse. You only need 2000 pages if you're hiding waste fraud and abuse.

reply to post by projectvxn


It's helped but it also very much ignored. If people simply stopped buying diamonds and any other product de beers produces then they wouldn't exists. Well unless they get a government bailout that is.

Originally posted by dwmjr1985
reply to post by projectvxn

 

It's helped but it also very much ignored. If people simply stopped buying diamonds and any other product de beers produces then they wouldn't exists. Well unless they get a government bailout that is.

Precisely.

Personally, and from an investment standpoint, I think diamonds are worthless outside of industrial and technological applications.

We do need diamonds for research and to apply to technology. But the main market is in jewelry. I used to be a gem trader, and never EVER dealt with diamonds. One good mine an the price will sink like a...well, like a stone..

The problem with that is if there's a demand for the product someone needs to provide it. And that's fine. Governments, however, need to be sure that standards and practices apply to all of their operations. Why, for instance, do we not hold our companies accountable for abuses overseas? If we wouldn't allow them to poison drinking water here, why do we allow it there?

I'm am a staunch free marketeer. But I understand that if you create the atmosphere for lawlessness you shouldn't be surprised if what you get is lawlessness. Cecil Rhodes(The man behind De Beers) was also very cozy with the British and African political class(Not just in South Africa). That coziness and lack of accountability is what created the De Beers(diamonds from Satan) debacle.

It easier for the political class to blame the corporation for all the worlds ills. But at the end of the day it is the political class that facilitates and in many cases outright creates the ills of the worlds with a corporate face to take the fall.

Regulation should enforce the following:

To prevent fraud and out right theft.

To protect property rights (This includes pollution)

To protect the individual natural (god given)rights of all parties involved.

To enforce contracts.

Precious Metals is another thing that i lump in with the Diamonds. Gold is great for space exploration and for use in electronics. It's not a necessity and it's value is not as real as food and water, and shelter (although the housing market showed that your house is also prone to a false sense of value).

reply to post by dwmjr1985


Well, sure...to an extent.

In nominal terms gold does not lose it's value. A decent suit in 1920 would cost you about an ounce of gold. A decent suit today will cost you about an ounce of gold.

Gold and silver are pretty solid in terms of valuation. Diamonds and precious stones are on a different metric altogether.

During periods of inflation, however, there are only a few ways to keep your wealth. Gold and silver, land, foodstuffs. That sort of thing never loses value.

And of course, your BRAIN and your hands are invaluable in times where the value of the means of exchange is being lost.

Another thing, and you may not be for this, but I am an avid collector of firearms. Firearms don't just hold value, they appreciate rather well over time.

A WW2 era M1 Garand is more expensive to buy today than an AR15. Ammo is also a highly prized commodity especially if buying food is not an option.

I keep well stocked.

Firearms are far more useful than gold and silver. I can't kill as many animals with precious metals as i could with guns. I just can't afford guns. I am a big fan of Russian Weapons and all WW2 weapons M1 garand and M1 Carbine, the Enfield . When i was the coast guard i had the beretta like most of the military and i have to say i am not a fan of that gun. I'm much more a fan of the Colt 1911, the only hand gun i would ever personally own. Plus i am heavily considering immigrating and i want to have as little possession to move as possible.