This is an archive for The Basic Liberty Letter, a newsletter written by me some time ago.
27 September 2011
New York’s Diamond District
“There you go, 50 Pamp Swiss gold bars. Have a nice day.”
“Thank you, you too.”
The above is an exchange I witnessed with a precious metals dealer and a woman in the diamond district of New York City. While I can only wish it was me able to afford those 50 ounces of gold, this kind of volume being exchanged is commonplace in this part of Manhattan. That’s exactly why I go there to buy gold and silver.
People from all around the world interested in creating, selling, trading, and buying jewelry somehow congregate in this 5 square-block radius and do business. As a result, prices are very competitive. If the dealer doesn’t have something on hand, he will have it on hand at a moment’s notice, literally. Just be aware – if you are are walking through this area with your significant other, prepare to be accosted by salespeople trying to push their rings and necklaces on you. These guys can spot a couple in love from a mile away.
The diamond district is exactly where I was today. Thanks to margin hikes and market fears, precious metals are on sale. While there’s no telling if we’ll see another large price drop like the one we just witnessed since last week (gold down 10%, silver down about 25%), it’s too good of a buying opportunity to take the chance that it won’t drop again.
Wall Street is Occupied
After my exchange in the diamond district, I rode my bicycle downtown to briefly observe the “Occupy Wall Street” protests for the first time. Between the signs saying “A JOB IS A RIGHT,” and “CAPITALISM IS EVIL,” it was difficult for me to walk away without a bad taste in my mouth. I’d really like to say that that we should all band together – capitalist, communists, and socialists – to protest a common cause (preferably, in my eyes, the evils of government), but it’s disappointingly unclear what that cause is. If I were to take a guess, the protest is overall anti free market.
If you don’t know me well enough by now, I’m for a free market in everything, from roads to schools to police to justice. I am, however, vehemently opposed to the corporate state as it is today, not because of greed, but because of government protectionism. So if you haven’t already been able to tell, I really, really wanted to like this protest. I would love to see people yelling in the streets for change – as long as that change is better than what we have today. Sadly, though, what seems to be lacking among the majority of protesters is a fundamental opposition to violence in all forms. It’s wonderful for someone to oppose the violence of war (as many people at the protest were vocal about), but perplexing when that same person then says that violence should be used against rich people to feed the poor, and educate the young, as if violence were necessary to achieve those ends.
I will, however, say something good about the protests. What I was most impressed with was the spontaneous organization that arose within the “camp,” of liberty square, which is actually a fairly small area. I saw an enclosed area within the square run by volunteers that were accepting donations of money, food and water and storing and distributing it. I saw another enclosed area where volunteers were running diesel generators, where they were accepting and watching over the cell phones and laptop computers of anyone who needed a charge. Living spaces, largely composed of mattresses and backpacks, were largely unguarded as their owners roamed freely around the square. There was a station of cardboard, paint, and markers that people had donated that allowed protesters to create their own signs. There was even a stage (a bed sheet duct taped to the floor) where people took turns performing songs and reciting poetry.
Simply observing the peaceful society that emerged from within the protest camp without coercion or central planning, it could be argued that the protesters are closer to understanding capitalism and anarchism than they realize.
I may return to the protest to make a couple video interviews of participants and volunteers. Despite the anti-industrial sentiment, I’m not ready to give up on a phenomenon this interesting.
Thanks and peace,
Nick Foley
The Basic Liberty Letter