[Hallicrafters] Inflation

[Duane Fischer, W8DBF]

Hi Ken,

President Richard Nixon ended the fixed price of gold at $35 per Troy ounce 
as a commodity on August 15, 1971. The original worldwide fixed price of $35 
per Troy ounce was enacted in 1946. The Gold Standard has "not" been used by 
any nation since the United States, the last nation to thaw the freeze, did 
so on August 15, 1971.

I just researched this with the main branch of the Flint Public Library Ken. 
So now we know the rest of that story.

Thanks!

Duane

----- Original Message ----- 
From: "Kenneth G. Gordon" <kgordon2006 at verizon.net>
To: <Hallicrafters at mailman.qth.net>
Sent: Friday, May 30, 2008 1:20 PM
Subject: Re: [Hallicrafters] Inflation


>> Duane Fischer, W8DBF wrote:
>> > I do not recall the exact value, but the USA was at about $44 per
>> > troy ounce for Gold and the rest of the world was double or triple!
>
> It was $35.00 an ounce. I remember it very clearly and
> exactly.
>
> What is interesting about this is that you could go into any
> car dealership in 1930 with 20 of those $20.00 gold pieces
> and buy a new car for $700.00. The last, 1928, Model "T"
> cost about $400.00. A standard Chevrolet cost $700.00 in
> 1930.
>
> You can take those same 20, $20.00 gold pieces to almost
> any car dealership today, and buy a new car...if they would
> accept them.
>
> With gold now being about $1000.00/ounce, that works out
> to a $20,000.00 car.
>
> To get a fairly accurate idea of how far the value of our
> dollar has dropped, there is an inflation calculator at this
> URL:
>
> http://www.westegg.com/inflation/
>
> It shows that the value of our dollar remained pretty much
> steady from 1800 through about 1913, when it started
> dropping at a fairly steady rate. 1913 was the year that the
> Federal Reserve was started, AND the Income Tax was
> instituted.
>
> Around 1960 or so, the drop in value steepened very very
> noticeably, until now it is at a 45 degree angle, or more,
> downward.
>
> As an example, I was making about $10,000.00/year in
> 1975 when I was single. In 2007, I would have to be
> making $41611.49/year to equal the buying power I had in
> 1975.
>
> If I had been able to buy one of those receivers I wanted in
> 1960 which cost $450.00 then, that same receiver, if it were
> newly manufactured in 2007, would cost me $3167.91.
>
> So, yes, the VALUE of our dollar has dropped signifcantly: I
> would say precipitously, and disastrously..
>
> Ken Gordon W7EKB
> ______________________________________________________________
>
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