Thursday, November 20, 2008

Dollars, Devaluations, And Dildos

One of the interesting things about having a blog is checking the visitor log. If a blog has been around for a few years and has an active comment section, it gets lots of hits from people doing Google searches for all sorts of things. That's particularly true if the porn and erectile dysfunction spammers have plastered posts that are several years old, which is definitely the case here. Since the visitor log shows where those Google searches originate, it gives an interesting global snapshot. For example, I've found that a disproportionate number of searches for variations of "sex toys" and assorted graphic nastiness comes from the more culturally repressive parts of the Middle East.

I checked the visitor log yesterday and saw this entry:

fed.frb.gov (Federal Reserve Board)
District Of Columbia, Washington, United States
19th November 2008
www.google.com/search?sourceid=navclient&ie=UTF-8&rls=GGLG,GGLG:2005-43,GGLG:en&q=%22John Connolly Going off Gold 1971%22
cunningrealist.blogspot.com/2008/10/rumblings.html

In other words, someone at the Federal Reserve did a Google search for this exact phrase: "John Connolly Going off Gold 1971." That search led to this post of mine, because that post included a relevant reader comment.

Interestingly, in the few minutes just before the Fed employee searched for that phrase, the price of gold surged.

If you don't know the background on that search, here's the Wiki entry:

In 1971, Republican President Nixon appointed the then Democrat Connally as Treasury Secretary. Connally that year famously told a delegation of Europeans worried about exchange rate fluctuations that the dollar is "our currency, but your problem."

Secretary Connally defended a $50 billon increase in the debt ceiling and a $35 to $40 billion budget deficit as an essential "fiscal stimulus" at a time when five million Americans were unemployed. He unveiled Nixon's program of raising the price of gold and formally devaluing the dollar—finally leaving the old gold standard.

Graphic thoughts at the Fed these days, apparently.

17 Comments:

Blogger J. said...

You had me at "dildos."

Can't believe you didn't mention the demise of the the Yugo, the last one of which rolled (or was pushed) off the line in Serbia. Hey, that car lasted longer than the Ford Pinto or the AMC Gremlin!

11/20/2008 7:29 PM  
Anonymous Anonymous said...

How many drop in 'cos they can't spell cunnilingus?

11/20/2008 9:06 PM  
Blogger Mr. Hedley Bowes said...

Does this mean we're removing the petrol peg from the dollar?

11/20/2008 9:57 PM  
Blogger Mr. Hedley Bowes said...

Seriously, in October 2002 I predicted that the forthcoming Iraq War would result in a global blockade of U.S. currency and products.

Detroit? Omaha? Hello?

11/20/2008 10:04 PM  
Anonymous Anonymous said...

http://www.lewrockwell.com/podcast/?p=episode&name=2008-11-20_072_how_the_government_wrecked_the_economy.mp3

Great Interview with Peter Schiff. But of course Obama is going to save us. LMAO

It's not wealth that's increased in the last few years. We haven't increased our productive capacity. All that's increased is the paper values of our stocks and real estate. But that's not real wealth... When you see the stock market come down and the real estate bubble burst all that phony wealth is gonna evaporate and all that's going to be left is all the debt we've accumulated to foreigners.

Peter Schiff

11/21/2008 2:50 PM  
Anonymous Anonymous said...

Secretary Connally defended a $50 billon increase in the debt ceiling and a $35 to $40 billion budget deficit

$40 billion? Wow, how quaint.

11/21/2008 3:41 PM  
Anonymous Anonymous said...

And so it is Geithner-

11/22/2008 8:04 AM  
Anonymous Anonymous said...

ALOHA !!

$50bil more for the VIETNAM WAR, essentially ...

Would any recall what the original price tag for the IRAQ WAR was estimated to be at by the Bush team?

$1.78bil USD ...

When Tres Sec O'Neill said that the IRAQ WAR would cost more than that he was fired. By virtue of the IRAQ WAR CLOCK the Bush estimate of $1.78bil was off by $601bilUSD as of today and that cost is still growing as fast as ever.

WARS are always inflationary, yet none ever mention the current or future cost of the IRAQ WAR, since we all are more concerned about saving US BANKS so they can survive to fleece us more. While the FED FUNDS RATE is approaching zero and US TAXPAYER money is being used to save the banks the US TAXPAYER still pays 16% on VISA.

11/23/2008 1:35 AM  
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