Tuesday, March 22, 2005

What "looks" like a good idea...

MEXICO CITY (Reuters) - An influential Mexican
businessman wants to reintroduce silver coins as
legal currency -- as in Mexico's 16th century
heyday -- and, far-fetched as it may sound, the
idea is winning support.

The Senate has already passed the initiative,
and the lower house is expected to vote soon on
the bill, which has struck a nerve in a country
where decades of financial crisis have fomented a
deep distrust of paper currency.
Hugo Salinas Price, founder of the specialty
retailer Elektra, says silver could be the shield
to protect Mexicans' savings from another currency

Not likely this is gonna fly. It would bring too
much discipline for politicos and the central bank
to handle. (See the article and note what Mexico's
central bankers say.)

Besides, it would still keep money in the hands of
government. The Romans shaved and drilled holes in
such good money thereby debasing it. (How is that
different from a tax?) Nixon closed the gold window,
thereby declaring the dollar just another piece of
paper. The list of these kinds of control of money
is long. Best to keep real money out of their hands
and buy it at the local Mexican bank where it's
always available. Then maybe someday it becomes the
currency of choice and a side economy developes.

"Law, language and money all developed without
central direction." --David Boaz

Best to continue with that because...

"Everything government touches turns to crap."
-- Ringo Star

The report.