Dear Editor
Last week there was an article in the Dispatch explaining
inflation. It was a bit superficial in explaining a very
complicated subject. It is best described as
”
silent theft by government.
”
In a quiet, subtle manner our life insurance policies, our
savings accounts, and our pension plans are gradually reduced in
value by loss of the value of the dollar.
A brief lesson on inflation
Dear Editor
Last week there was an article in the Dispatch explaining inflation. It was a bit superficial in explaining a very complicated subject. It is best described as “silent theft by government.” In a quiet, subtle manner our life insurance policies, our savings accounts, and our pension plans are gradually reduced in value by loss of the value of the dollar.
What causes this devaluation of the dollar? This value loss is due to two major factors. One is Congress’ excessive spending of our tax dollars, over and above income, creating a deficit. Repeated deficits have given rise to a national debt of over ten trillion dollars. A second major cause of inflation is the policy of the Federal Reserve, a private central bank. The Fed is not federal, nor is there any reserve, and it is unconstitutional.
The constitution states that Congress, and Congress alone, shall have power to issue currency and to coin money. Coins must be noble metal, gold or silver. Look at your copper and nickel coins; no gold, no silver. Such coins are unconstitutional.
In 1913, the Senate created the Federal Reserve, giving control of United States coins and currency to the private banking cartel.
Why is this control of our money by the Federal Reserve, if unconstitutional, allowed by Congress? This is so because the Federal Reserve is a cash cow for Congress, to be milked daily.
If congressional spending is in excess, and Congress needs more money, it goes to the U.S. Treasury for needed funds. The treasury issues treasury bonds to raise the needed money for Congress. These treasury bonds are offered to the public at auction; the bonds pay 5 percent interest. If only 50 percent of bonds offered are bought by the public, the unsold bonds are then bought by the Federal Reserve with money off the printing press. This is fiat currency; no intrinsic value – no gold or silver backing. This fiat currency, when introduced into the economy, dilutes the value of the existing money in circulation. This decrease in the value of the dollar is inflation.
On March 7, the Federal Reserve pumped 200 billion dollars into the economy. Then, March 28, they pumped another 100 billion dollars into circulation to stimulate the sluggish economy. These monies were loaned to the banking and mortgage industry. The result is further debasement of our currency. This loss of dollar value is slow to be recognized by us citizens. Nations of the world soon recognize the dollars loss of value and raise the prices of their products to compensate for the dollar’s loss.
The price of a barrel of oil jumped up to $120 per barrel, raising gasoline prices to over $4. The Euro, coin of the European Union, rises to $1.60, up from the original price of $1. Coffee in Europe rises to $5 per cup. It’s the same coffee as before. The dollar has simply lost its value.
What can be done? Fundamentality, little can be done until we have men of integrity in Congress who understand and support our constitution. Don’t hold your breath, expecting that to happen. You do not look good in blue.
Joseph G. McCormack, Gilroy
It’s time for GUSD to listen
Dear Editor,
I was compelled to write to let you know I am in the Northwest quad of the Gilroy High School attendance area and also have a daughter slated to attend South Valley Middle School. I was very vocal about the problems with eliminating in city bus service while drawing that line on Mantelli as opposed to First Street due to “capacity” issues. Let me point out all GUSD schools are at or over capacity already. We happen to live across from Rod Kelley and my daughter will have to soon traverse the entire city of Gilroy, passing Brownell to get to South Valley. When she attends high school, what path is she to walk to GHS? She will have to cross several dangerous and busy streets to get there. The new boundary makes little sense and does not embody, for us, the neighborhood school boundary system. 
 My concern is that GUSD changed the middle school boundaries and did not keep in the “neighborhood” mentality of the elementary schools which is mostly true to its name. High schools are supposedly also neighborhood schools, though we live further from GHS than CHS. It seems that the boundary system they use varies from neighborhood to socioeconomic and learning levels standards depending on which method is most convenient when they are making these choices. There was a 17-person committee chosen in no Democratic manner which made the high school boundary choice with no community input, no survey and a lot of secrecy. A school board member should not have to come to the “unveiling” to know what the thinking behind the line is going to be. GUSD needs to start thinking like a parent, like a neighborhood. We need to allow our kids to go to school with most of the same children in our communities that we touch daily. Working with other busy parents to network and carpool and working together is the only way to embody a true sense of community. Our children deserve the right to go to school with some or most of the same kids that they grow up playing with.
Dividing up communities and only serving those with special interests is a sure fire way to push the best parents into private schooling.
I wish GUSD would listen to the 10 to 20 percent of parents who are involved, who donate their time and resources, who truly care about what is going on and stop only listening to consultants who get paid no matter what the outcome ends up being.
I have sent an e-mail to every GUSD board member and the superintendent. I have had responses and they know how I feel. We will just see if they intend to use this information to better GUSD in the future. My hope is that they will listen.
Melonie Gonzalez, Gilroy
