The Demise of Tangible Value, The Genesis of Monetary Debasement
On August 15, 1971, U.S. President Richard Nixon declared that the dollar would no longer be convertible to gold. This marked the most tragic and pivotal moment in the annals of global economic history.
1. The Sandcastle of Credit
With the ascendancy of the dollar, now merely a nominal liability unbacked by gold, governments commenced the unrestrained issuance of currency, unburdened by the specter of debt. This constitutes the fundamental genesis of the inflation wherein housing prices escalate at a pace far exceeding the earning capacity of contemporary individuals, despite their ceaseless toil.