From the name of this blog, perhaps you have ascertained that I believe measuring ROI by a finite resource like gold is better than measuring ROI by the perpetually proliferating U.S. dollar.

In other words, because the U.S. dollar perpetually proliferates, the gold price will perpetually reach record highs despite pullbacks that sometimes last years or even decades.

If you have reviewed the basics of our fractional reserve banking system, then you understand that anyone who borrows a single dollar ultimately spews multiple dollars into the cesspool of dollars through which we slosh and struggle our centrally planned economic lives.

Simply put: more debt means more dollars, and more dollars means more maniacally high gold prices someday.

So with great alarm (and some glee), I spectate the American sport of borrowing dollars.  And nobody borrows more dollars than the U.S. government.

Headlines frequently appear in the news that announce the magnitude of the U.S. government budget deficit and debt.  But I am a bit baffled that recent figures regarding November, 2015 have hit neither any mainstream media nor any alternative media.

The U.S. national debt rose by $674 billion in just November, 2015:
nationaldebt201511all

 
Even if we exclude the $339 billion of debt incurred on November 2, 2015 to cover Jack Lew’s “extaordinary measures” of the previous eight months, the U.S. government incurred $335 billion of debt in November, 2015 alone.

I can only guess why finances of the U.S. government deteriorated so badly this past month.  Did it lose capital gains tax revenue over the past six months as the S&P 500 failed to beat its record high from May, 2015?  Did Obama ramp up military maneuvers in the Middle East?

Anyway, like everyone else who appreciates the ability of gold to retain value over multiple millenia, I keep hoping the gold price has finally bottommed out.  The recent U.S. government diahrreal bout of dollar debt cheers me.

So on a cheerful note, I would like to show that the gold price can snap back and rise very quickly.  It rose more than 50% in just ten weeks in 1982:

goldpricerise1982

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