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More
of my readers ask me about confiscation than any other issue. I
continue to refer people to my article from 2008, but it's time for an
update.
http://www.24hgold.com/english/news-gold-silv...;redirect=False
I
stand by what I wrote in the past, but there is more to say.
First
of all, gold in the hands of the American public has never been confiscated,
never can be, and never will be.
confiscate
1. To seize (private property) for the public treasury.
2. To seize by or as if by authority. See Synonyms at appropriate.
adj. (knf-skt, kn-fskt)
1. Seized by a government; appropriated.
2. Having lost property through confiscation.
The
only gold that has ever been confiscated was gold held by banks for their
customers ! Let the
buyer beware who owns ETF's, certificates, bullion accounts, or those
holding gold in some storage program; again, beware!
The
government has never, and will never, send agents house to house, asking you
for your gold, at the threat of gun point. And even if they did, it
would be so easy to evade that kind of inquiry, by merely saying, "My
gold, I sold that years ago!" Think about it, they don't even do
that to fight the drug war!!
Furthermore,
in a nation of gun owners, government agents would likely terminate the
program after about the 100th house they searched, due to the people fighting
back.
If the
government can't win the war on drugs, against laid-back lazy pot heads, do
you think they could win a confiscation war against vigilant, anxious, sober,
gun wielding 50-60 year olds, many of whom are decorated veterans of the
special forces?
In
fact, for those people who know of Bible Prophecy, and even for the atheists
and agnostics among us, gold ownership should be the key factor keeping
people alive through the coming 7 year tribulation predicted in the Bible in
Ezekiel, Daniel, and Revelation. There will be people who will not ever
take the mark of the beast required to buy and sell, and it is those people
who will likely have silver and gold who will survive to populate the earth
after the tribulation and during the millennium, whether believers, atheists,
or agnostics alike!
Zechariah 14:16-19. Revelation 13:16-18, Rev 14:9-12, Rev 15:2,
Rev 19:20, Rev 20:4-6
See also http://bibleprophesy.org/666mark.htm
Thus silver and gold are the hardest kinds of property to confiscate, because
it is the most easily hidden of all assets that exist! Not even Satan's
ultimate government that forces mankind to accept the mark of the
beast to buy and sell or be threatened with being beheaded (Revelation
13) will be able to confiscate all the gold and silver among mankind!
Not
even drug sniffing dogs can be trained to sniff out gold, because SILVER AND
GOLD DO NOT HAVE ANY ODOR!
But
let's think about this a bit.
Why is
confiscation even an issue? Why are gold buyers being trained
to ask me about it? I believe it's because there are
numismatic dealers who make more money, and spend more money advertising,
make this an issue to be able to sell overpriced gold. Let me explain
more clearly, by way of statistics.
The
honest gold bullion market is about a $2 billion market in the USA, with
margins of about 1%, on average. I estimate that, because gold eagle
sales are about 1 million oz/year (record production), and assuming that
those represent half of gold purchased in the USA (given my experience as a
dealer.)
Thus,
honest gold dealers have a gold profit of about $20 million, total, among all
gold dealers in the USA, and out of that, will come ad dollars to be spent on
things like this email letter that you are reading now to inform
you about the truth of the product that we sell.
Why do
I go through all that? Because I read that the numismatic market in
gold is about a $10 billion market. It is not only 5 times as large,
but the profits are much larger, too, with margins of about 50 to 100% or
more, and thus, the numismatic market earns perhaps from $2 to 5
billion per year, from which they get to spend on advertising. So, the
numismatic dealers might have an ad budget about 100 to 200 times as large as
honest gold dealers. Think about what that means for the education of
the average gold buyer.
Thus, I believe that the largest gold dealers in the USA teach lies about
confiscation so they can sell you over priced gold that is marked up by over
100% more than it should be!
We
sell double eagles, old gold coins around 100 years old, when we get them,
for about 10 to 15% over the price of gold.
No major wholesaler has ever offered us anything significant over the spot
price, and we've called around!
Yet
those same coins are often sold to the unsuspecting public for up to 100%
over the price of gold, to naive clients who are trying to buy "non
confiscable" gold. And thus, by buying the wrong kind of gold,
from liars, they end up not only having half of their wealth immediately
confiscated, due to their own foolishness and irrational fears, but they end
up funding the businesses, and ads, of the liars who continue to spread their
lies about non confiscable gold.
This
issue really bugs me, as you can tell. I don't cover this often,
because there is the other side of it, of course. If wealthy buyers
wish to buy overpriced gold, or bid high insane prices for rare coins, that's
entirely their own business, and there's nothing wrong with that, it's their
money, and they can spend it as foolishly as they wish, and there should
never be any laws passed to prevent them from doing what they want with their
own money.
Furthermore,
why should I expose a $10 billion fraud, when the fraud of selling phantom
silver is a $200 billion fraud, and much, much, much worse? To be
rational, I should write about 20 articles on the paper silver fraud for
every article I write about overpriced numismatics, and so I do.
Now,
my comments do not exactly address the issue of the 1933 gold recall, or some
say, "confiscation", where collector coins were theoretically
exempt. Collector coins were also undefined. Some say there might
be a new law passed where if you pay 15% over spot, then it could
be defined as a collector coin, and so, some more honest numismatic dealers
will hype up unwanted gold that would otherwise go to the smelter, and sell
it at 15% over spot, to satisfy the overly paranoid buyers, rather than sell
it at outrageous 100% premiums.
Now,
I'm sure I'm going to be slandered by the $10 billion numismatic industry,
and forgive me if I don't care to respond for another two years from
now.
But
let me put it another way. New and popular old Eagles represent about
1/2 of the gold we sell. All other forms of gold are the other half,
and so, each of the other forms represent a tiny portion of the other half of
gold sales. This would include bars, Krugerrands, Maples, foreign gold,
fractional gold, and old US gold coins.
Now, if you wanted to be an honest dealer, and saw that some gold was not
selling, then you have to realize that it might end up in the smelting pot
with your scrap gold and you get less than spot for it due to the refining
charge, or, since you recognize that there is next to "no" market
for that gold, you could go out and scare the newbies into paying outrageous
premiums for that gold. Or, you can take the middle ground, and be
patient, and sell it at reasonable bullion prices, which is what we do.
There's
another form of gold, the new "collector" gold that consists of two
toned or reverse toned proof strike gold Eagles. I could mint something
similar for the cost of about $600 in new dies, but why bother. If
collectors want to pay outrageous premiums for shiny new two toned gold, let
them, but I'm not joining that party.
Likewise,
when it's my money, I don't have to buy old comic books at outrageous prices,
I don't have to buy old stamps at outrageous prices, I don't have to buy
antiques at outrageous prices, and I don't have to buy old or new gold at
outrageous prices either. And I won't.
This
works to the advantage of people who think they know the collector coin, rare
coin, or numismatic trades, who can find "real bargains" at real
bullion shops, where things are not marked up to outrageous prices.
Now, allow me to summarize a few arguments from my last letter on
confiscation.
http://www.24hgold.com/english/news-gold-silver-confiscation.aspx?contributor=Jason+Hommel&article=1377675682G10020&redirect=False
The
real confiscation is inflation. At a 20% inflation rate, that's worse
than the government stealing everything in every 5th home in America,
including the home and all the investments. I'll say it's worse because
that kind of inflation creates economic distortions that create bad
investment decisions by the remainder of the population.
But
think about this! Government is not likely to confiscate silver and
gold, when the government is making and selling silver and gold Eagles coins!
The US
government makes 30-40 million silver Eagles per year now, and 1 million gold
Eagles. At $20/oz., that's about $800 million in silver, and $1200
million in gold.
Government
is not likely to confiscate silver and gold for the budget when the budget
deficit is in the trillions, which is over $1,000,000 million, or a million
million. The value of silver and the gold is simply not even remotely
close to being enough to help. Silver and gold prices would have to be
about 100 to 1000 times higher for confiscation to even begin to help plug
the current government deficit, let alone pay the entire budget.
The US
annual budget is $3 trillion, and all the gold in all the world is barely $6
trillion. The government would have to confiscate every single gram,
ounce, and kilo of gold in the entire world, and it would barely fund the US
government for two years, and then the government would be bankrupt all over
again! This is why gold cannot help our government, not at today's low
gold prices and not at today's huge government size.
Are
"collector" coins not confiscable? It's a common question.
In
reality, everything is confiscable, and nothing is confiscable. Let me
explain.
In the
legal sense of today's insane world, the US government has executive orders
ready to be put into effect, that in the case of a national emergency, say
they can confiscate your home, your car, your investments, and even your body
to be put into government work camps. Do you think that if you had
collector coins, that you would be exempt from the work camps when the
time comes? The only thing standing in the way of that is the second
amendment, and the fact that too many of us own guns, and would never go for
it. So, in that sense, even your lawn chair and your bed sheets are
confiscable, but not really, since they can try to take them, but won't get
very far!
On the
other hand, in the Godly legal sense, nothing you own is confiscable, because
your things belong to you, and nobody else. It's absurd beyond reason
that some government thugs, if they ever could get their hands on your gold,
which they cannot, would go through it piece by piece, sorting out what they
can take and cannot take. Absurd beyond reason.
Finally, don't trust any sort of third party storage program, as even if they
do have the gold, because then all of that will be the first to be
confiscated if the government does issue a confiscation order. And
that's the only kind of gold that has ever been confiscated.
One last point. The issue of confiscation is a big issue to the
billionaires of the world. As individuals, they are easy to prosecute,
or raid, or make an example of. But I know one multi billionaire who
has a security force of 80,000 different people, most of whom do not know one
another, and can't be traced. That billionaire is you, my collective
readers. Your gold and silver cannot be confiscated; you are too numerous,
too well armed, and too well hidden among a nation of 80 million gun owners!
Another big point that the Bible makes. Righteous people, by their very
presence in the world, end up restraining evil. That's my
reading of 2 Thessalonians Chapter 2.
http://bibleprophesy.org/2thessalonians2.htm
The mere action of not buying into paper money fraud, and by buying real
silver and gold, limits government tyranny via theft of people's money
through the printing press.
So, to
sum up. If you don't want the government to steal your wealth, get
bullion gold close to the spot price.
Our prices typically range from 5-10% over the spot price, which is much more
reasonable than 15-100% premiums over the spot price.
We run no scams. We run no storage program, we offer no certificates,
we offer no leverage programs. When you call our staff, they will
patiently answer your questions about all our bullion products, and help you
place an order for real silver and gold that we will ship to you usually the
same day that your wire transfer will arrive.
A few promotions:
Ted in
Oakland has 200 Indian head 1 oz. rounds at 5% over spot:
http://www.youtube.com/watch?v=hBNRT96dtQ4
oaklandsilverandgold.com
Mom in
Sacramento has quite a bit of proof quality 90% bullion she recently bought.
www.momsilvershop.com
We
have an abundance of all major silver products at the JH MINT, we have 100
oz. bars, 10 oz. bars, 1 oz. rounds, 1 oz Silver Eagles, and 90%
silver US coinage dated from 1964 and earlier.
We have 8 monster boxes in stock, and 5000 oz. of 10 oz. bars, now available.
JH MINT & Coin Shop, Grass Valley, CA (530) 273-8175
=========
I strongly advise you to get real
gold and silver, at anywhere near today's prices, while you still can
.
Price
Board:
http://jhmint.com/cgi-bin/ssrbidask
Our Coin Shops are open 10AM to 5PM Pacific, Monday to Friday
100 oz. silver minimum, USA shipping, wire transfer only!
Janelle (530) 913 0553 silver_support1@hotmail.com
JH MINT & Coin Shop, Grass Valley, CA
(530) 273-8175
http://www.jhmint.com/
Rocklin Coin Shop,
CA, 15 min north of Sacramento
http://rocklincoinshop.com/
NEW STORES!
Mom's Silver Shop
https://www.momssilvershop.com
3510 Auburn Blvd., #12
Sacramento, CA 95821
916 481-5656
(Mom will ship in
lots of more or less
than 100 ounces of silver, and overseas, and take credit cards or pay
pal.)
Oakland Silver and
Gold
http://www.oaklandsilverandgold.com/
3929 Piedmont Ave.,
Oakland, California
94611
osg2010@gmail.com
Sincerely,
Jason Hommel
www.find-your-local-coin-shop.com
www.silverstockreport.com
www.miningpedia.com
www.bibleprophesy.org
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