As the South Carolina House has passed a gold bill, currently due for consideration in its Senate, an historically colorful connection emerges.
One of Edgar Allen Poe's most famous and influential stories, The Gold-Bug, was set on Sullivan's Island in South Carolina.
"Gold Bug" is a familiar epithet for proponents of the gold standard.
(The William McKinley presidential campaign appropriated it as a theme used as a campaign lapel pin -- much as the American colonial revolutionaries appropriated "Yankee Doodle" from an epithet used to ridicule them by the British.)
Poe's story begins:
MANY years ago, I contracted an intimacy with a Mr. William Legrand. He was of an ancient Huguenot family, and had once been wealthy; but a series of misfortunes had reduced him to want. To avoid the mortification consequent upon his disasters, he left New Orleans, the city of his forefathers, and took up his residence at Sullivan’s Island, near Charleston, South Carolina.
Poe describes the bug:
It was a beautiful scarabaeus, and, at that time, unknown to naturalists — of course a great prize in a scientific point of view. There were two round, black spots near one extremity of the back, and a long one near the other. The scales were exceedingly hard and glossy, with all the appearance of burnished gold.
... which is to serve as a plumb weight in locating the buried treasure.
In its climactic scene:
We now worked in earnest, and never did I pass ten minutes of more intense excitement. During this interval we had fairly unearthed an oblong chest of wood, which, from its perfect preservation, and wonderful hardness, had plainly been subjected to some mineralizing process — perhaps that of the Bi-chloride of Mercury. This box was three feet and a half long, three feet broad, and two and a half feet deep. It was firmly secured by bands of wrought iron, riveted, and forming a kind of trellis-work over the whole. On each side of the chest, near the top, were three rings of iron — six in all — by means of which a firm hold could be obtained by six persons. Our utmost united endeavors served only to disturb the coffer very slightly in its bed. We at once saw the impossibility of removing so great a weight. Luckily, the sole fastenings of the lid consisted of two sliding bolts. These we drew back — trembling and panting with anxiety. In an instant, a treasure of incalculable value lay gleaming before us. As the rays of the lanterns fell within the pit, there flashed upwards, from a confused heap of gold and of jewels, a glow and a glare that absolutely dazzled our eyes.
Gold has been, for recorded history, and remains today, integral to human culture and human imagination. It is no more the property of any party or faction than is oxygen, is iconic, and uniquely well suited to the role of a neutral monetary base. Gold has integrity and has proven, over millenia, to hold value and create a strong, supple, framework for enterprise and for personal, national, and world prosperity.
George Gilder, whose new book publishes today, is one of the original pillars of Supply Side economics. As stated by Discovery Institute, which he co-founded, “Mr. Gilder pioneered the formulation of supply-side economics when he served as Chairman of the Lehrman Institute’s Economic Roundtable, as Program Director for the Manhattan Institute….”
He was the living writer most quoted by President Reagan. And he is back with his most brilliant work yet — one of potentially explosive importance if taken to heart by our political and policy thought leaders. It is a radical guide, with surprising insights on almost every page, to the creation of a new era of vibrant prosperity.
As reviewer Paul Brodsky, a professional investor in New York City, perceptively notes,
"Lewis Lehrman is one of a very small group of contemporary gold advocates able to successfully bridge the gap separating practical conservative intellectualism from fleeting, half-baked idealism. His CV lists great success across many fields including education (degrees and teaching fellowships from Yale and Harvard); industry (past president of Rite Aid); politics (narrow loser to Mario Cuomo in the 1982 New York governor’s race); finance, (past Morgan Stanley managing director); private sector entrepreneur (founder, L. E. Lehrman & Company); public sector advocate (founder, Lehrman Institute); historian (author, Lincoln at Peoria: The Turning Point); and recognized philanthropist (awarded the National Humanities Medal by George W. Bush in an Oval Office ceremony). ... Only someone erudite and elegant in demeanor could hope to pull it off . In an irreconcilably over-leveraged world where irritated bond vigilantes question economic sustainability and angry Tea Partiers protest the immorality of it all, Lehrman’s views are considered and his convictions carry weight. He brings gravitas to his cause, and he does so from within as a member of the club."
Before the Fed: JP Morgan Summons the Bank Presidents
"Finally, on the night of Sunday, November 2, Morgan summoned the presidents of the major New York banks to his new library, at the corner of Madison Avenue and Thirty-sixth Street, an Italian Renaissance-style palace he had built next door to his house to showcase his collection of rare books, manuscripts, and other artwork. Its marble floors, frescoed ceilings, walls lined with tapestries and triple-tiered bookcases of Circasian walnut, crammed full of rare Bibles and illuminated medieval manuscripts, made it an incongruous setting for a meeting of the banking establishment. Once the moneymen had gathered, Morgan had the great ornamental bronze doors to the library locked and refused to let anyone leave until all had collectively agreed to commit a further $25 million to the rescue fund."
— Liaquat Ahamed, Lords of Finance (Penguin Books, 2009, p. 54)
Lately we have been engulfed by headlines reporting financial turmoil on every continent, in almost every nation, large and small. The commissars of central planning who so marred the history of the 20th century have been replaced by central banks in the 21st. In Cyprus, the new leadership now dares to confiscate citizens’ wealth with a one-time tax of up to 60 percent on bank deposits above 100,000 euros. Self-interested prime ministers blame continental monetary policies for instigating the currency wars that they themselves surreptitiously carry on.
Constitution.org provides an extensive and thoughtful Memorandum of Law by Larry Becraft, Esq., of Huntsville, Alabama, on Article I, Section 10, clause 1 of the US Constitution.
Sir William Blackstone courtesy of Wikipedia
One of many interesting matters the Memorandum treats is Blackstone's Commentaries, a book that was a fixture in the...
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