Libya’s Move to the Gold Standard led to Civil War
A few years ago the Libyan general Muammar Gadhafi was forcefully removed from power. It was a tough time from for that North African nation, considering the casualties from the invasion that took place at the time. There was a general insurrection that took place and people were generally divided into two: those who were on the side of their leader and those that weren’t. Many lives were lost and there was a lot of speculation that occasioned such an incident that took place in a country that had never had a history of war.
Libya’s Central Bank and the Gold Standard
Part of the reason why Libya was attacked is because they had their own central banking system. What this means is that they used to control their own currency, were planning a move to a gold standard and it didn’t help that they were the largest oil economy in Africa ahead of Nigeria and Algeria. There was no way for the powers to be in the world to get a foothold in the oil money which they have no control over, and so what better way than to find a good reason to get into that country and get that control that is so crucial to making the big economies bigger.
Trading in the Libyan dinar and the Gold Standard
Colonel Muammar Gadhafi was an eccentric character, but he was by no means a fool. He had a made a declaration of how his country would stop dealing or rather trading with the currency of US dollars, and to commence their trade in the Libyan dinar. The Libyan dinar was to be a gold standard currency, and it was gaining popularity in the country and in the African continent at large. It was an ambitious plan that would ideally drive the dollar out of business. The fact that oil would be traded in the gold standard dinars would easily have made Libya a powerful player in the world economy in no time, and that didn’t please very many people as you would imagine.
Gold Standard and the Lots of oil
Gadhafi intended that the oil producing nations in the Middle East should come together and do business in a nationalistic sense, which implies that they would be directly involved in setting prices. He was clearly disturbed that the oil producing countries weren’t making as much money as they potentially could if only they had the right strategies for the same thing. That stance didn’t go down very well with the world powers once again, and that potentially played a crucial role in the invasion of that country. It was a hard time, and no one ever wishes that to happen that to his or her country, but it did happen.
There is more to this Libyan invasion and the gold standard than meets the eye.
Why Is It The Right Time & Place To Invest In Silver and Gold
There are things which have been happening in the world of money today which make it worthwhile to re-consider the factors surrounding fiat currency. Fiat money has got some limitations which are dealt with by a different mode of currency unlike silver or gold. The main reason why fiat currency needs to be reconsidered, lies in the fact that it more or less benefits a few people, something which isn’t good by any standards of it all. Invest in silver and gold is a good commodity to consider as something to be purchased now for a variety of reasons:
Central Banks Invest In Silver and Gold
Silver always comes with a definite bank guarantee because the value of silver always rises in an exponential sense. At the time when it appears as though it is hard to fathom the price of silver or gold has dipped, the wisest thing to do is to invest in these precious metals because the price more often than not will always rebound upwards again. The banks know from historical factors they are always ready to deal with this kind of business. As the price remains low Central banks across the globe have been quietly buying Gold & Silver.
Invest In Silver and Gold As Fiat Currency Is Risky
Investing in the fiat currency isn’t a good thing because of the rate of inflation, devaluation, quantative easing in the world we live in today. There is so much drastic changes in the value of paper currency, so much so this is dangerous to trust. What does the future holds if all you have is paper money? It doesn’t help that the fiat currency is always controlled by the central government and no one can do anything about it – casing point, just look at Greece. It is simply dangerous business. The same cannot be said if you were to invest in Silver and Gold. Where the individual persons have a role to play in how their investment is run, and they can even influence it in whichever way they want to.
Currency War has begun its time to invest in silver and gold. The world is facing a currency war, half of the world’s trade is invariably linked to the US dollar. This means if the US dollar is affected then the financial world will feel the economic tsumani. The danger is, it makes coming up from the black hole of the financial crisis a near impossible process. Gold and Silver will face a crisis, there will be a shortage when the stock market crashes and paper currency becomes worthless, this is why people should choose to invest in Silver and Gold now rather than later.
Once this is daily news then the madness of the crowd to buy the precious metals will prevail. As we know economic upturns or downturns precedes the news and the time is right and the time is right now to invest in gold or silver.