So that's it for the election.

[Orruar]

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]

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

and these good people are stating the facts for me. Go read up on those links. You may learn something today!

Poor kid never learned how to cite sources ;(

[Alarti0001]

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.

[Lucky]

There's a reason an oz. gold went up $1500 in the past 10 years. Because every fiat currency has destroyed itself, you are witnessing the effects of hyperinflation.

[Alarti0001]

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

There's a reason an oz. gold went up $1500 in the past 10 years. Because every fiat currency has destroyed itself, you are witnessing the effects of hyperinflation.

All the world market would have to do is decide new values for their currency. Not a difficult concept.

[hatelore bloodlust]

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

All the world market would have to do is decide new values for their currency. Not a difficult concept.

lol alarti you are funny! And so right! Lets just decide that the dollar is worth more then what it is and it will have to be that way! Infact, to hell with the fungi tunic being only worth 45k , lets male it worth 500k. Your sense of arguing is stupid at best.

[hatelore bloodlust]

You really need to re-read what you type alarti. You are making yourself look stupid , for someone that has been to 57 countries lol. Which I also highly doubt.

[hatelore bloodlust]

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

Poor kid never learned how to cite sources ;(

and poor kid my ass! I am a young doctor!

[Orruar]

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.

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]

Doesn't the world trade oil in dollars?

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