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Member Notice: COVID-19 Is Going to Affect Our Upcoming Season! – April 2020

New 49'er Newsletter

SECOND QUARTER, APRIL 2020                              VOLUME 34, NUMBER 2

Dave McCracken


Newsletter By Dave McCracken General Manager

Everyone is aware of how the spread of COVID-19 is affecting America and the rest of the world. This is only about how the ongoing pandemic will affect our upcoming 2020 season. Please allow me to explain it with some bullet points: 

In closing, I am just as shocked as anyone about how quickly this “pandemic” has shut down America’s booming economy, not to mention the rest of the world. I could voice some opinions (there are plenty going around); but I am not truly knowledgeable about “the whole story,” and my opinions don’t really matter here. Some things are just so large, we have to adjust to the realities.  But we should be prepared to object if the politics go sideways on us!

I will voice one opinion: With the help and support of many friends, I have worked for myself and created my own prosperity through a lifetime of pain and gain since departing the military. So I have learned a few important things. Real freedom is achieved in a society by allowing people to use their ingenuity and skills to generate services and goods, using their human energy to exchange with others to create more than they consume (profits) which allow them to climb the ladder of personal success. Under normal circumstances, government takes a portion of profits to pay for the public services which they provide.  But this all is based upon the foundation that wealth must be created (not printed) by personal effort outside of government in the first place.

America’s founding principles make government employees our servants; not our rulers. A lot of this has been forgotten over the years, especially by government employees.

The present situation is completely backwards. We now have the government supporting nearly all of the private sector – which effectively turns the government into our boss. Sorry; I don’t know what type of government this is; because perhaps it is the first time in history things have been this way?

But hear me out:  The government does not create any wealth or tangible substance. So where will the substance come from? Answer: It will all have to be paid for through past and future private business! The substance that our country, and the world, is consuming right now, and for the foreseeable future, must be created by someone. There comes a point where the cost becomes too much. This is why socialism does not work. End of story!

There are only a few meaningful sources of income to the government: taxes on private sector profits (which have all but dried up because the government has shut down most of the economy); tariffs or duties on imports (which have slowed to a crawl because other governments have also shut down their economies); borrowing (who is buying U.S. government bonds right now, China?); or printing money. Printing vast amounts of money causes inflation; because it creates a greater number of dollars chasing, in this case, a shrinking number of products and services. The only saving grace is that the U.S. Dollar is the world’s reserve currency. But It will not be for long if our government continues to abuse the status. There is always a consequence.

Perhaps this pandemic leaves no other choices. I really am not in a position to know. I am glad I am not the one who has to make perhaps the most important decisions our country has ever faced!

On the subject of how the economy will be opened back up, if our civil liberties and America’s constitutional fundamentals are important to us, we must object strenuously to left leaning aggressive intentions to force socialism upon us. Here is a short YouTube link which presents the concern better than I can. Please watch it with an open mind! In my view, this concern is substantially larger than the COVID 19 pandemic in the first place!

When I joined the military during the Viet Nam war, I swore an oath to defend America’s founding principles. Those did not include socialism!  There is a very wise fundamental that we should all review: “If you don’t stand for something, you will fall for anything!”

America hangs in the important balance right now.

Note that if I have learned nothing else in more than 10 years of litigation at a cost of around a million dollars in California (thanks to your support), there is no doubt that the State has been completely taken over by the left. We will not find any justice in the California Courts, especially in the California Supreme Court. So we will need to be prepared to appeal to the federal government at the highest levels (many parts of the mid and lower levels remain manned by leftists). We can thank Mr. trump for a conservative-leaning U.S. Supreme Court! Without that, our country would be lost.

I’m just saying that the longer term consequences of shutting down the free market economy and printing money to try and keep the entire private sector afloat is certain to have staggering impacts to the wellbeing of America for a long time to come. It is just a matter of time before the price of gold will reflect this.  If a person only had some extra money, now would be a good time to buy gold or silver (not paper metals), if you can find it!

It is possible that we will see the day when it will be possible to support ourselves with a gold pan and sluice! Perhaps by that time, we will have the freedom to use modern methods again.

We will get through this. But the world will never be the same as it was. It actually might be better. But this will be up to us.

Thank you very much for your kind support, and I hope to cross paths with you out on the river again.

Dave McCracken, General Manager

New 49’er Gold Prospecting Association
27 Davis Road P.O. Box 47, Happy Camp, California 96039 (530) 493-2012