It was with great interest quickly turning to chagrin that I launched into the editorial on the Utah Sound Money Act that appeared in Monday's Tribune ("Gold fever: Ignore Utah Sound Money Act," Opinion, Jan. 3). The newspaper's thinly veiled attempt to recast the stark reality we all experience every day into the fictional "establishment spin" too many in today's media faithfully recite, frankly fell flat.
For example, pointing to the rise in the price of gold without acknowledging the unprecedented expansion in the U.S. money supply, which more than doubled over the time period cited, came off as either disingenuous or embarrassingly ill-informed. Further, chiding bullion markets for "volatility," without conceding the smoothing effect that the true monetization of gold and silver coinage has on the precious metals demand curve, lacked honest conviction, to say the least.
Consider, for example, that dating from the passage of the Free Coinage Act of 1792 until the enactment of the Coinage Act of 1965, an ounce of silver cost exactly $1.29. That's because until 1965 a dollar was defined as 371.25 troy grains of silver and one troy ounce contains 480 such grains. The 1965 act began the process of replacing the silver coin Americans had been using for 173 years with the base-metal tokens in use today.