Since all goods are encumbered with a first-refusal claim by the government, the markets trading those goods aren t free. Nor is the labor market, as laborers are coerced into selling their services for irredeemable promises. Labor contracts are pretty nearly meaningless as they are made in monetary units of uncertain value subject to depreciation. Central banking is but a front used to cover up this chicanery. Of course, to a government and central bank that can stoop so low as to issue irredeemable promises to pay, gold is public enemy number one.
Gold offers eternal challenge to government arbitrariness and coercion.
Gold money is not dead, in spite of premature obituaries in the media. But if not dead, gold must be totally discredited, not just in words, but in deeds as well. And this is where central bank leasing of gold enters the stage. It has been taken from the people fraudulently, by appealing to their patriotic feeling and faith in government. The fraud did not weaken people s trust in gold, on the contrary, as could be expected, strengthened it.