So that's it for the election.

Alarti0001 · #1 10-19-2012, 11:43 AM

Quote:

Originally Posted by hatelore bloodlust [You must be logged in to view images. Log in or Register.]

I think I explained in my last post where you can go to get your facts good sir. I am on a "not so smart phone" and really don't want to go look it all up for you. Read for once. It can change your life.

You should prob stop reading, since you can't seem to distinguish between opinion and fact.

hatelore bloodlust · #2 10-19-2012, 11:50 AM

I have to stop reading anyways since i have a job to do. You know, to help pay for all of those good people on welfare! Woot! Suck it easy alarti [You must be logged in to view images. Log in or Register.] it was fun.

Orruar · #3 10-19-2012, 11:56 AM

Gold doesn't derive most of its value from its industrial uses. Platinum and silver do. Gold is valued and used as money for thousands of years because:

A) It is rare, which means you don't need 4 tons of it to buy a car (like if you were using iron as money)
B) It is difficult to counterfeit
C) It is easily divisible (which is why we don't use Rembrandt paintings as money)
D) It is durable
E) The total supply does not fluctuate wildly (increases about 1% per year)

Paper money fails 4 of these tests, which is why it only really works when backed by a commodity such as gold.

Alarti0001 · #4 10-19-2012, 12:03 PM

Quote:

Originally Posted by Orruar [You must be logged in to view images. Log in or Register.]

Gold doesn't derive most of its value from its industrial uses. Platinum and silver do. Gold is valued and used as money for thousands of years because:

A) It is rare, which means you don't need 4 tons of it to buy a car (like if you were using iron as money)
B) It is difficult to counterfeit
C) It is easily divisible (which is why we don't use Rembrandt paintings as money)
D) It is durable
E) The total supply does not fluctuate wildly (increases about 1% per year)

Paper money fails 4 of these tests, which is why it only really works when backed by a commodity such as gold.

We arent in the stone age anymore. The value of the dollar is just like any other good. Supply and Demand. If we went to a gold currency the supply would be minimal thereby increasing the value of 1 dollar. This would just change how many dollars you would get paid at work. Its all about what you can get with what you have. Gold would mean you could fill your tank with (bullshittin) 5$. However, this matter little if you are making .50C an hour.

Orruar · #5 10-19-2012, 12:59 PM

Quote:

Originally Posted by Alarti0001 [You must be logged in to view images. Log in or Register.]

We arent in the stone age anymore.

Yeah, instead we're just in the dark ages, when the Chinese were first learning the disaster of paper currency.

Quote:

The value of the dollar is just like any other good. Supply and Demand. If we went to a gold currency the supply would be minimal thereby increasing the value of 1 dollar. This would just change how many dollars you would get paid at work. Its all about what you can get with what you have. Gold would mean you could fill your tank with (bullshittin) 5$. However, this matter little if you are making .50C an hour.

Except the dollar is not like any other good. It fails 4 of the 5 criteria I listed as necessary for a currency. The core of it is that people must value whatever is being used as currency. The dollar has lasted longer than any paper currency before because people still trusted that it would maintain a relatively stable value. That trust is being rapidly eroded. Inflation is on the tongues of nearly every businessman these days. We've only been spared the worst thus far because the Europeans are doing a worse job of managing their paper currency than we are. We are able to export a lot of our inflation abroad, but this will not continue for very long.

Ahldagor · #6 10-19-2012, 01:27 PM

Doesn't the world trade oil in dollars?

http://www.guardian.co.uk/business/2...eat-to-america

Humerox · #7 10-19-2012, 02:02 PM

Quote:

Originally Posted by Ahldagor [You must be logged in to view images. Log in or Register.]

Doesn't the world trade oil in dollars?

http://www.guardian.co.uk/business/2...eat-to-america

The last time anyone threatened to start trading oil in currency other than US dollars was when *cough*saddamhussien*cough* was going to do it. hmmmm....

That was when the Euro really posed a threat to the dollar. Chinese currency based in gold on the other hand...

Alarti0001 · #8 10-19-2012, 02:12 PM

Quote:

Originally Posted by Orruar [You must be logged in to view images. Log in or Register.]

Yeah, instead we're just in the dark ages, when the Chinese were first learning the disaster of paper currency.

Except the dollar is not like any other good. It fails 4 of the 5 criteria I listed as necessary for a currency. The core of it is that people must value whatever is being used as currency. The dollar has lasted longer than any paper currency before because people still trusted that it would maintain a relatively stable value. That trust is being rapidly eroded. Inflation is on the tongues of nearly every businessman these days. We've only been spared the worst thus far because the Europeans are doing a worse job of managing their paper currency than we are. We are able to export a lot of our inflation abroad, but this will not continue for very long.

People do value the dollar? You seem confused

Orruar · #9 10-19-2012, 02:22 PM

Quote:

Originally Posted by Alarti0001 [You must be logged in to view images. Log in or Register.]

People do value the dollar? You seem confused

Yes, people do value the dollar. Things change. This is one thing we should hope doesn't change, as the global dollar standard for the past 40 years has been a huge benefit for people in the US. But if we keep on printing dollars like the Monopoly man on cocaine, we're in for a serious crash. First people outside of the US will dump the dollar, then massive inflation in the US will cause people here to dump it. Look at the history of pretty much any fiat currency to see the rest.

Ravager · #10 10-19-2012, 02:23 PM

Quote:

Originally Posted by Alarti0001 [You must be logged in to view images. Log in or Register.]

We arent in the stone age anymore. The value of the dollar is just like any other good. Supply and Demand. If we went to a gold currency the supply would be minimal thereby increasing the value of 1 dollar. This would just change how many dollars you would get paid at work. Its all about what you can get with what you have. Gold would mean you could fill your tank with (bullshittin) 5$. However, this matter little if you are making .50C an hour.

Supply and demand is at work with the US dollar. That's why there's inflation. It's value is being kept artificially "high" by the Federal Reserve. Fact is, they keep pumping more and more money into the system and pretty soon they won't be able to hold inflation down.

http://demonocracy.info/infographics...2012-2013.html

Unless the government stops borrowing printed money with artificially low interest, our dollar is going to do what the paper mark did in the Weimar Republic.