The Growing Wealth Gap

27 Sep

The Growing Wealth Gap

Protect Yourself and Profit!

America’s economic growth has been the envy of the world.  From the earliest days of the Republic, foreign observers could foresee the prosperity powerhouse that American would become.

A dependable monetary system based on gold and silver was a central component of America’s success.  This should have been no surprise.  An honest precious metal coinage has been the basis of economic success stories throughout history, from the Golden Age of Greece, to the Byzantine Empire, the Florentine Renaissance, and the British Empire upon which the sun never set.

The abandonment of gold and silver in America has likewise been accompanied by a diminishing economic vitality.

The founders of the new American Republic understood this and wrote into the Constitution gold and silver’s central role in the nation’s monetary system.

Unfortunately, gold and silver disappeared from out monetary system in two steps, in the 1930’s and 1970’s.  There was still some powerful forward momentum, but our growth trajectory has mostly slowed ever since.

Now the American middle class is being wiped out.

Here’s the evidence:

HEADLINE:  Income inequality in America the highest it’s been since Census started tracking it, data shows

(Washington Post, 9/26/19) — Last year, income inequality in America reached its highest level since the Census Bureau started tracking it in 1967, according to federal data released Thursday.

In the midst of the longest economic expansion the United States has ever seen, with poverty and unemployment rates at historic lows, the separation between rich and poor from 2017 and 2018 was greater than it’s ever been, federal data show.

HEADLINE:  Census: US inequality grew, including in heartland states

(Associated Press, 9/26/19) — The gap between the haves and have-nots in the United States grew last year to its highest level in more than 50 years of tracking income inequality, according to U.S. Census Bureau figures released Thursday.

Income inequality in the United States expanded from 2017 to 2018, with several heartland states among the leaders of the increase, even though several wealthy coastal states still had the most inequality overall, according to the figures.

The nation’s Gini Index, which measures income inequality, has been rising steadily over the past five decades.

It’s too bad that American is giving up its economic preeminence and marginalizing the middle class.  A strong middle class in vital to the freedom and prosperity of a country.  The wealth gap need not have grown as it has, but the governing classes convinced the people that they could spend their way to prosperity and print their way to riches.

What is to be done?  It is not clear that there is any pathway to restoring our former state, not if the people believe they are entitled to live at the expense of someone else.

You and I working together cannot restore America to fiscal prudence and monetary integrity.  

I wish we could, but we cannot.

Even so, you can take powerful steps to protect yourself and your family.  You can do this by giving gold and silver a central role in your own monetary system:  in your personal savings and investing.

If the nation won’t reclaim its dynamism with gold and silver, if the US refuses to return to gold and silver, even as other countries like Russian and China are doing so, you can do it for yourself.

Speak to your RME Gold representative today about a sensible plan to make real money a part of your future.   

Even if your country won’t do what the Constitution requires it to do.

P.S.  As we write, we are seeing a pullback in the gold price from recent highs of about $50 an ounce, as well a similar correction in silver.  In a bull market such as this, pullbacks from a recent run-up generally represent excellent buying opportunities.