When the gold standard was set in place, the price of gold remained a constant $20.65 per ounce and only fluctuated by $0.01 from the year 1833 to1890. So for fifty seven years as the US Dollar was attached to this gold standard, it remained un-fluctuating along with the gold standard. That is how it was designed to be from the founding of the country.

The constitution states that the currency of the country is to remain that way to maintain the Dollar and protect against what is exactly happening to the currency today.

From the years between 1891 and 1930, the price of gold per ounce remained relatively stable. The lowest it went was $20.58 and the greatest it reached was per ounce $21.32 and so, for a total of ninety seven years between 1833 and 1930, the price of gold only moved $.74 cents from high to low.

The price of gold hit an all time low during the depression year of 1931 since then the US slowly removed the Dollar from the gold standard until August 15th 1971; President Nixon announced that the US government would no longer redeem US currency for gold. This was the last step in departing from the gold standard. The demise of the Dollar can be seen since it was removed for the gold standard.

Keep in mind that the Dollar has historical value and therefore is extremely consistent, even though it looks as though the gold price is rising; it is actually the Dollar that is dropping. It has been as high as $1,030 per ounce, down to $830 per ounce.

So interestingly, if you wanted to buy a new car that cost $55,000 in 2008 and in gold, that would cost you roughly 60 ounces of gold at the spot price of $930 per ounce. So, if the Dollar was never removed from the gold standard and all the inflation that has occurred because of the removal from the gold standard, that same car today would only cost you $1,200. Remove the $1,200 from $55,000 and you get $53,800 which is how much inflation this $1,200 item has risen by over the last one hundred years.

The original Dollar value is roughly $.02 cents in today's money. It's astounding to realise how much the Dollar has dropped in value. I will try to explain further. In 1964, $.25 would just about get you a gallon of gas at the pumps because in 1964 a quarter was made from 10% copper but 90% silver. Silver costing $17.20 per ounce makes the quarters value $3.11 and that quarter of 1964 can still give you a gallon of gas today. This shows that the value of gold and silver has hardly changed and that it's the currencies that are not tied to gold and silver that are fluctuating drastically.

This was the founding Fathers warning to us and exactly the resaon why they tied the Dollar to gold and silver at the founding of the constitution. The excess printing of money by the Federal Reserve is just another tax on the American people, it takes the value of the Dollar that you have in your pocket and makes them worth less and less in the long run. While the prices of services and good rise and rise, you on the other hand are still being paid roughly the same, its the Dollars value or any other currencies for that matter, thats detachment from the gold standard is why their value is dropping. I hope that I have made it clear to you that you need to make a move on this problem, be it investing your money as soon as you can into precious metals or by even taking a stand against the governments position on a detached Dollar from the gold standard.