OCR Text |
Show - Wfl Page 8 h J STiM I tr" November The UTAH INDEPENDENT i is.f'F vs;. -: '' Paper That Dares To Take A Stand and pulled together and saved every dollar we could save. All the rest of the young people had the same idea. Money was good and there was an incentive to save it. j 17, 1972 Inflation Cured By Gold Continued From Page 7 back on the track of economy and the sound dollar and do away with deficit spending. So, we put in Mr. Kennedy and in 3'$ years the budget was $17.6 billion. Then, along came Mr. Johnson and his deficit in 5 years was double the Kennedy deficit, running to billion. These four $36.1 presidents, in 24,S years, increased the national debt to the extent of $7 1 billion dollars. By that time the country was really frightened, so we said now we can't stand for that at all and will have to put an end to it. Suppose we elected a good, honest, frugal Quaker who believes in simplicity and says he will balance the budget and have sound money and who won't keep going into debt. We elected Mr. Nixon on the basis of a balanced budget and a sound dollar but we hadn't seen anything yet. The Nixon deficit for the first 4 years is going to run around $100 billion or almost 50 greater than the combined deficit of the four preceding presidents over a period of 24 years. This is the history of inflation. When it gets a start, it goes up faster all the time. It isn't necessarily the fault of the Presidents because, generally they haven't been in favor of spending as much as Congress. Generally, Congress has gone beyond the recommendations of the President. There seems to b e no limit to where we are going. Why don't we come to our senses and do something about it? The fifth part of my talk is the Cause. Weve already defined it as the increase in the quantity of money, but why do we have an increase. A1 Smith said back in 1928, Nobody ever shoots Santa Claus. Here are two candidates and this one promises more than the other one. Who is going to get elected? The politicians have learned that if they dont respond to the desires of the people for More oj all kinds oj things " they are not likely to be So, to better Its themselves, they say that 1 get elected than my opponent because he is w orse than I am. I had better go along with whatever is because, necessary to get if I don't, the other fellow w ill get in and it will be worse than if I get back in. So, the urge is to have more than we produce, in all respects. That's why installment debts are so big in this country. Thats w hy government of all kinds is so big. It's the effort of the people to have more than they are producing. Until we can find some way to stop that we are going to go ed. re-elec- right on with deficit spending. The The politician says, pressure groups, the labor unions, are forcing wages higher and higher. This means that prices are going higher and higher and people can't buy goods at those high prices unless we increase the quantity of money so they have more money in their pay envelopes every week. If they cant buy the goods at the higher prices, then we are going to have depression and unemployment, and thats bad. And it's bad to have an increase in the quantity of money and more inflation. But, we have to have one or the other, they say, and between the two they take the increase in the quantity of money and more inflation because the results are postponed. We can keep this inflationary balloon going quite a while. Keynes John Maynard Keynes was approached about the results of this and he said, Well, when that time comes we will all be But our children, dead. and greatwill be and around grandchildren grandchildren, who wants to shove the problem off onto them? This is the facetious reasoning of the public official, that, in a choice between having inflation or unemployment, it is better to keep increasing the quantity of money so people can d keep on buying the goods. We can at least postpone the day of our reckoning. This is the psychology that has seized the people of our country and that is why we are in this situation. This brings up two economic principles which I have been the first to enunciate. I think they will eventually become known as high-price- Kershners Laws. 1 When a self-governi- ng society empowers its government to take money from some and give it to others, the process will not stop until the last bone of the last taxpayer is picked bare. Think it over, w hat is happening to taxes in this country? The basic reason is that some people have more than others. We down here on this level elect politicians who promise to go up there and get some of this money and bring it down to our level. As long as there is any difference in the levels the wealth is going to tend to flow from the upper levels down to the lower levels, because government does have the right to take money from some and give it to others. And when it has that right, under popular pressure, it will exercise that right. We see how it is done in this country. We know how dividing the wealth has gone along. We dont envy one another our ordinary possessions but we look at that rich fellow over there living on the hill and we say he has more than is good for him. We wouldn't want to hurt him, but he could be dispossessed of 13, 14, 12, or even 34 of his wealth and that wouldnt hurt him any. Just think of the good we could do with it if we did do that. It would be a little messy to do it in person but we could pass a few laws, build a jail, and send some policemen over there and dispossess that fellow of most of what he has. That is what we are doing. If we are centering our attention on dispossessing the other fellow, we are not putting our attention on creating new wealth and well soon all be hungry or living in a socialist state. We are trying to revise the commandment against coveting by trying to make it read: Thou shalt not covet except that portion of thy neighbors wealth which exceeds thine own." The second Kershners Law reads like this: 2 Periods of sound money throughout human history have been periods of moral advance and economic prosperity, forms to fill out, no questionairre, no time delay, no waiting. You just shoved in the paper and out came the gold. But nobody did so because the gold wouldnt buy when anymore than the paper. So, we had that kind of dollar, where there was no danger of inflation, at least we didnt see any danger at that time, we had a sound, honest dollar convertible into gold on demand. My wife and 1 looked around and we said, Now if we w'ork hard, and live carefully, and are thrifty, practice economy in all respects, save our money, we can educate our children, we can do something for the church and for our country and we can retire eventually and have a happy old age as a result of saving over a long period of time. We went to work 1 saving of capital. Capital is what makes a civilization and the incentive to save it is why we got the capital. Thats what caused America to be great, saving based on incentive. Patient, long-tereffort with a goal far off to the future toward which you were m striving being honest, frugal, and saying by industrious, your money. Thats what made, this country great. Continued On Page 9 i - w FIREPLACE VM STYLED FOR ELEGANCE Style for any decor. It be painted any color. Stainless steel trim. No foundationo or masonry required. In-- , stall in any home. can ,: 1;! I: ! Ifcn 1 1: FIREPLACES ARE FUN! A il beautiful & contemporary fireplace for living room : -- j?: easily installed in new or old homes! Call for free estimate. ABC Fticing FIREPLACES, INC. aid Waldlig MS SPECIALTIES SHOPPE For All Your Fence Needs 973 East 21st South SLC 485-332- 8 371 5 Washington Blvd, Ogden 393-878- 7 250 West Center, Provo 375-897- 1 990 W. 400 South n GAS Centerville, Utah Phone 295-100- 6 LOGS LORAN HERBERT Sizes: 8 Inches thru Fuegis Red Ox Restaurant Prime Rib of Beef Luncheon Served Tues. through Fri. 1 1:30 a jn. to 3 p.m. Dinner Served Thurs., Fri., & Sat. 6:00 to 11:00 p.m. 220 South Highway 91 Closed Sunday and Monday 364 -7254 North Salt Lake 60 Inches wide MOST REALISTIC GAS LOGS WITH NATURAL FLAME! These new gas logs are made from casts of real wood logs and are completely true to life' See the West's largest selection at Fire- ... Inc. Manzanita, Driftwood. Pme Cone, Silver Birch; Oak. etc. in many places, S styles. Yi.S ' SILVER BULLION 99.9 CRUSER JEWELRY 399-964- 4 to companies, manufacturing create more wealth through better processes, all oj which required the Fireplaces GasVf GIVES YOUj ABETTQL :and'Sas Logs DEAL? fine guaranteed tisJj&tA i'sssasii LAVELL BUTT AGENCY 571-19- 11 278-661- 1 Write: P.O. Box 21194 Salt Lake City, Utah 84121 of sorts all institutions, 1 to 20 Discount on Timex Watches Lay Away Xowf Salt Lake City, Utah 84121 assembly lines, into railroads, steamships, schools and colleges, churches, libraries, operas and orchestras, all sorts of cultural latilator 10 6217 Highland Drive Money that everybody saved UTAH'S LARGEST SELECTION and and economically speaking, hard times. Now let me give you the theory of it. When my wife and I were married, over fifty years ago, we had sound money in this country. You could take your paper to the bank and shove it under the window and get back gold dollar for dollar, no questions asked, no - flowed down into factories, into conversely, periods of unsound money throughout human history have been periods of moral decline featuring: Accutron Bulova and Caravelle Watches il tine The t vv-J- r tj Ogden, Salt Lake Complete Fireplace Line! Gas Logs Fireplaces Barbecues Fireplace Screens Grates Tools Gas Ranges & Provo |