Debt & Fiat in pictures

The following graphs put much of what we’ve spoken about this week into pictorial perspective.  The first illustrates, just since 2002, the disconnect going on between what used to be the monetary base (gold) to central banks gone mad on printing money.  The second shows the growth in US national debt since 1900.  Note what happened after they left the gold standard in 1971… As Winston Churchill famously said:

“All previous attempts to base money solely on government edict or fiat have ended in inflationary panic and disaster”