Another Voice for Precious Metal Currency

Hugo Salinas Price of Mexico's Grupo Electra is making a bid to introduce a Silver Libertad into currency. More than a plan, really, since Grupo Electra has been circulating the coins for over 2 years now, and is only trying to get them officially recognized for trade. Here's a copy of a paper he recently presented at a Conference on Resumption of the Gold Standard sponsored by the American Institute for Economic Research on May 13-14, 2004.

One very interesting aspect of his plan is that the currency, which would circulate along with and be regularly priced in Pesos, would only be marked up in value, never reduced. It makes sense when you read it....

Oh...and you can group it with Mahathir Mohamad's plan last Fall whereby the Organization of the Islamic Conference participating countries would begin to trade in gold. It's really all about distancing themselves from Dollars and Globalism....

"In the present circumstances of monetary uncertainty throughout the world, and in view of the proximity and the weight of the U.S. dollar upon the Mexican economy, it is prudent to search for an alternative which will open the way to an independent monetary system of quality, which can sustain itself on its own, among the monetary systems of the rest of the world.

Silver, a traditionally Mexican money, is the clearest avenue open to Mexico.

Though not the central objective of monetizing silver, undoubtedly the coinage of large amounts of “Libertad” coins, which would be eagerly accepted by all Mexicans, would impact upon the price of silver, and be of great benefit to Mexican mining, which is providing large amounts of silver to the world markets, at ridiculously low prices, to the detriment of Mexican mining and the Mexican economy, which is hungry for a mass means of savings in a medium which will guarantee the conservation of value through the years."