|
|
Happily, I was invited to a conference just last week in Utah, celebrating the passage of a law to permit the introduction of an alternative, gold/silver based currency. This is actually a big deal, and if we see some
follow through from other states (I think eleven others have had similar proposals which have not yet passed into law),
then we might see some
gold currencies in actual
use in the U.S. not too long from
now. The lawmakers of
Utah deserve a big
congratulation. I met a few of them
and they are actually quite sophisticated about these things. The conference was also an opportunity to bring together a lot of the
"gold guys" not only
in the U.S. but from Europe and Asia
as well, where there are efforts to introduce parallel gold-linked currencies especially in Switzerland and Malaysia. Investment-themed
conferences are not too uncommon, but one with a focus
on public policy is something new on the scene. It was important for people to meet
each other and talk about
what they are doing. I was surprised that there were so
many people working on various practical applications,
such as types of gold-linked
electronic payment systems.
Here's a schedule of the events. As you can see, it
was a pretty
big production. Unfortunately,
this is a premilinary schedule. There were a lot more speakers and panelists
than are listed here, plus political activists, congressmen from the Utah state legislature
and also from other states where there is interest
in these developments,
and many other excellent
participants. Maybe I will
be able to list a finalized schedule later.
Schedule
for the Utah Monetary Conference
Here is my presentation for the conference:
Presentation for Utah Monetary Summit, September 2011
At the conference, we signed a "Utah Monetary Declaration," which states:
Utah Monetary
Declaration
WHEREAS, money, as a medium of exchange, a store of value, and a unit of measure promotes economic activity, growth and productivity by facilitating specialization and
trade, the accumulation of wealth
and its long-term investment, as well as accountability in setting prices,
tracking progress, and settling accounts;
WHEREAS, natural money – precious
metal coin – by virtue
of its inherent qualities of recognizability, measurability, uniformity, divisibility, durability, portability and scarcity has reliably retained its purchasing power, notwithstanding periodic
fluctuations, over the centuries and millennia of human history, serving as an effective medium of exchange and store of
value often without any governmental declaration to require, legitimize or perpetuate its adoption and operation as such;
WHEREAS, sound money, by retaining
stable purchasing power over time, best serves societal needs by substantially reducing the uncertainty of inflation risk
for creditors and deflation
risk for debtors as well as encouraging saving and investment among the general populace and benefiting the economic zone in
which it circulates by stimulating the economy and by attracting foreign capital and commerce to the region;
WHEREAS, history attests that monopolistic monetary systems frequently engender currency debasement, resulting in serious consequences such as lost purchasing power, inequitable wealth
redistributions, misallocation of productive resources, and chronic unemployment, and that, as the cornerstone of a free market
and society, the right to choose, whether between suppliers of goods and
services, political parties and candidates, or between alternative media of exchange, effectively promotes the general welfare;
WHEREAS, for the equal protection of all people, rich and poor, the open
circulation of complementary and competing currencies should be fostered
and promoted by every sovereign state, including those of The United States of America
pursuant to their monetary powers (expressly reserved in article
1, § 10 and in the 10th amendment of the
United States Constitution) to monetize gold and silver coin as an alternative, voluntary
medium of exchange, and as an effective check and balance against
debasement of the national currency
by the national government which
is constitutionally precluded from demonetizing state legal
tender, through disparate tax
treatment, discriminatory
regulation, the threat of
suppression and seizure, or otherwise;
NOW THEREFORE, we the undersigned
hereby declare and affirm that:
1. As an essential element
of true liberty and of the pursuit
of happiness in a free society, all people enjoy the inherent and unalienable right to lawfully acquire, hold and use as a
medium of exchange whatever form
or forms of money they may prefer, including
especially gold and silver
coin.
2. All free and sovereign
states bear the moral, political
and legal obligation not only
to refrain from debasing their own currencies
(except under the most exigent circumstances) and
from erecting barriers to the unfettered
circulation of monies issued
under the authority of their sovereign trading partners, but also to affirmatively defend and protect against fraud, counterfeiting, uttering,
passing off, embezzlement, theft
or neglect by requiring
full transparency and accountability
of all state chartered financial
institutions.
3. No tax liability nor any regulatory scheme promoting one form of money over another should apply to: (a) the
holding of any form of
money, in a financial institution or otherwise; (b) the exchange of one form
of money for any other;
or (c) the actual or imputed
increase in the purchasing
power of one form of money as compared
to another.
4. Except in the case of governmentally assessed taxes, fees, duties, imposts, excises, dues, fines or penalties, the authority of government should never be used to compel
payment of any
obligation, contract or private
debt in any specific form of money inconsistent with the
parties’ written, verbal or implied agreement, or to frustrate
the intent of contracting
parties or impair contractual obligations by invalidating the application of a discount or surcharge agreed to be dependent upon the particular medium of exchange or method
of payment employed.
5. The extent and
composition of a person’s monetary
holdings, including those
on deposit with any financial institution, should not be subject to disclosure, search or seizure except upon adherence
to due process safeguards
such as requiring an adequate showing of probable
cause to support the issuance by a court of competent jurisdiction of a lawful warrant or writ executed by legally authorized law enforcement officers.
We hereby urge business
leaders, educators, members
of the media, legislators, government
officials as well as judicial and law enforcement officers to use their best combined efforts to reinstate and promote the legal and commercial framework necessary to establishing and maintaining well-functioning, sound monetary systems based on choice in currency.
The signatories hereto concur in the general principles expressed in the foregoing declaration notwithstanding specific reservations some may have as to how such principles should be interpreted and applied in practice.
Here's the text of the actual Utah state law:
HB0317501
General Description:
9 This bill recognizes gold and silver
coins that are issued by
the federal government as
10 legal tender in
the state and exempts the exchange of the coins from
certain types of
11 state tax liability.
Nathan Lewis
|
|
