Fwd: Round Trip: Most of Gold and Silver From S. America Found Its Way to India Until 1750 and Some Back to N. America by 1950!

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Subject:	Round Trip: Most of Gold and Silver From S. America Found Its Way to India Until 1750 and Some Back to N. America by 1950!
Date:	Tue, 27 Jul 2010 08:46:25 -0700
From:	Jas Jain

Round Trip: Most of Gold and Silver From S. America Found Its Way to India Until 1750 and Some Back to N. America by 1950!

 

From The Indian Ocean by Michael Pearson:

"…the Europeans still had to send out large quantities of bullion into the Indian Ocean area; few European products found markets in the area. As Fulber noted, "if silver had not been available to Europeans in sufficient quantities, the East India trade could not have been carried on. This in turn reinforces our view of a world that is beginning to be integrated, for the bullion came from South America, and much of it flowed on to the Indian Ocean, either via the Mediterranean and the Middle East and so to our ocean, or around the cape in European ships. On average two-thrids of VOC [Dutch East India Company] exports from Europe were in bullion; in the seventeenth century the Peruvian silver, in the eighteenth Brazilian gold. Between 1660 and 1720 Dutch imports into Benagl, one of their major trading areas, were only 12.5 per cent goods, and the rest being bullion. So also with EIC [English East India Company]. Over the period 1660-1720 only 20.6 per cent of the English imports to all of Asia were made up of goods; the rest was bullion.

 

Most rulers at this time, whether English kings or Mogul emperors, were billionists who believed, with prevailing economic thought, that a rich state was one which had huge stocks of precious metals… The consequences of the discovery of the Americas, and then of huge silver deposits there, generated bullion without which Europeans could hardly have entered Indian Ocean trade. The ramifications of this are clearly enormous."

 

After the British take over of India beginning in late 1700s and other European colonization of Asia some of the bullion found its way back to Europe and some of it later to the US. Thus, part of the gold from S. America made almost a round trip. The Hindu goddess of wealth, Laxmi, likes to travel around. My guess is that most of the gold in Fort Knox was mined after 1750.

 

However, the US dollar is the "bullion" of the global trade today. Who own most of the US dollars?! If you want to see the countries on the rise and the countries on decline just look at who were the largest creditor nations and who were the largest debtor nations for the past two hundred years. The advantage keeps moving towards the creditor nations. The two largest creditor nations in recent history, the UK and the US, are now the largest debtor nations. Consumption debt hangs like a heavy stone around the neck. A born-and-bred American dope like Warren Buffett, with his narrow-minded and parochial views, simply cannot understand why the next 50-100 years for the US cannot be anything like the last 50-100 years. America is in a long decline, because of a bad economic system developed over the past three decades, which would end in a political catastrophe. I say, good riddance to the System of the Crooks, by the Crooks and for the Crooks. Unfortunately, lot of innocent people would die because of the unpunished fraudulent activities of American Crooks that simply cannot be stopped by the current system, it seems. A bad system leads to a bad outcome! I am sure that copycat crooks in India are doing the same—Pushing Debt and Scams. Dopes would get to experience the true nature of large "popular" and secular democracies.

Jas

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