How did the gold standard work, why did we stop using it, why was it better, and what were the consequences of moving to the current system? I often see this point brought up as one of the ways boomers destroyed this country, and that leaving it was terrible for the economy, but I know next to nothing about it. Would like to be thoroughly educated on the matter.>(((You know the answer)))Yes, but I'd like a bit more elaboration than the kikes.
>>533382196Number can't keep going up with a limited physical resourceMoney has to be fake and gay for the system to work
It greatly slowed the speed of commerce to require the transport of physical gold all the time.The new system allows bankers and their allies infinite money to allocate to, for example, mass producing missiles and data centers, or creating the arsenal of democracy in ww2. All great powers in ww1 and ww2 went far beyond their means via fiat currency, it is highly likely that if any of them stayed strictly to specie they would have had a tiny dwarf military which got crushed.
>>533382196Gold made fuckery with money supply by government difficult. Causing difficulty for grifting entities to ask for handouts from government.
>>533382196logistics for manifest destiny, i think a second try after the trail of tears, hauling gold is heavy; man.iran contra with ollie north was cocaine lighter but not as nice as art the stagnation of that world was litly abbreviate with the rothschild had a liquidation.
>>533382196Believe. Trust. And falsely assuming that shiny rocks have natural universal value that only goes line up with more people being born
>>533382196it attaches money to a physical object (gold) which means you can’t just print a fuckton of money and get away with it. unlike the modern dorra where the value is purely speculative and unregulated, prone to inflation. the gold standard keeps money in check and prevents the bankers/senators from having infinite wealthis my personal take on it
A few people can hoard gold and stop the economy. Saving money at scale can be bad for everyone
>>533382196>How did gold standard work?You could only have enough money in circulation that matched the value of physical gold you had in storage. So, if you had a million dollars in gold, you could only have a million dollars worth of currency distributed that bore your your backing. It put a hard limit on your physical cash in circulation but it ensured you could cover 100% of your debt at any given time.>Why did we stop?It limited growth of distributed funds. While it ensured every dollar was covered by physical gold worth, it also meant that funds were locked down. It protected against inflation but stifled growth. The reason shit is prohibitively expensive is dollars aren't worth shit because money printer went BRRRR when they didn't have to back that currency with a physical asset. The USA has a little over a trillion dollars worth of gold but almost forty trillion of debt, so it's pretty much impossible to go back to the gold standard now.
>>533382196im not gonna waste time writing the necessary information you ask when you could easily read a book and you are too dumb to process it anyway so the summary is we stopped using it because gold kept kike bankers as honest as can be expected for a kike. they hate that so naturally convinced you to let them print fake worthless paper for you while they keep the gold instead
>>533383403I'm here, retard.
>>533383314>So, if you had a million dollars in gold, you could only have a million dollars worth of currency distributed that bore your your backing. It put a hard limit on your physical cash in circulation but it ensured you could cover 100% of your debt at any given time.What if the price of Gold goes down? Does that mean the value of money also just goes up and down based on the market price of the gold? If so, why not raise the price of goods when gold value is down, or a s a consumer, why not just hoard money and make big purchases only when Gold's value is high? Meaning, doesn't the economy slow down or speed up based on what is the value of Gold at any given moment?
>>533382196It wasn't better, it was the OG for Jewish tricks.Bimetallic or silver was better.The most stable currency in history was the British tally stick.
>>533382196The USA had not enough Gold or money for gold to buy to back the dollars which were used around the world for trade.USA wanted to be the world trade master and world trade currency owners but there wasn't simply not enough Gold to back it up so they changed to a made up system based on debt of the American population.It's retarded.
Compound interest compounds infinitely. Gold does not.
>>533383550Gold is the price.One of the most fundamental principles of economics is simplicity.All money is based on understanding. You understand that this piece of green paper is valuable.When the money system becomes too complicated to understand, it breaks down. Because money is inherently a form of understanding. When the common people no longer understand it, the system disappears.Simplicity is key. A financially illiterate plumber needs to be able to understand money. Otherwise there is no incentive for him to work hard.You may have noticed the only incentive in the modern economy to work hard is in the financial sector. The idea that if you study finance hard enough you can unveil the mysteries of the system and unlock the cheat code to prosperity.The problem with that is that financial instruments do not support society. And all the people who are not in finance, the plumbers, policemen, construction workers, farmers, etc, are losing their motivation to pursue money, since it is becoming harder and harder for the average person to understand what it is worth.
>>533383194metal i can scatrch with something harder than my fingernail like any rock everywhere. i like shiny too, with trees being rare in the universe i wonder if gold is the equivalent to papyrus paper. nintnol creates heat when it transforms and can be heated to return, a personal white board with a small taser to wipe the lat clean,.
>>533382196>How did the gold standard workGold to Dollar ratio, you had as much gold in the bank as you could pay out in money.>why did we stop using itOil is a much more valuable resource but it gets consumed and turned into bad air. There no real way to hoard it it's not reusable unlike gold. >why was it betterBecause it was something the entire global economy couldn't live without turning into stone age or going for coal that makes everyone sick and everything brown and gray. So in essence you secured your global hegemony by this one move, and you had the military to back it up.> what were the consequences of moving to the current system? Well at first when you were a major oil exporter and had every oil nation under your control it was miraculous, you GDP didn't stop growing and you were global hegemony for nearly 70 years since the system was invented.Well then you did sort of the opposite, instead of using the oil yourself to make other products the world desired made by your own people to secure the wealth in your hands, your elites wanted the money but didn't want to share it with the population. And so the overseas production was born mostly in ChinaWhat then happen is that turns out people want Chinese goods and parts even more then oil, the world also decided CO2=Bad because it increases temperature so a lot of people shifted to fossil fuel alternatives.
>>533383988So now you have sort of a encroachment on the American empire from all sides. You have a President thats determined to both ruin the Petro dollar by killing the global oil economy and determined to ruin the post WW2 Alliance structure the US built so it could exploit it's allies via Weapon and Service selling. It's no coincidence most of the world uses Windows or Mac, Android or Apple, Visa or Mastercard, X or Meta or Google and so on. This will all crumble as the NATO/Pacific alliances crumble with the vanishing of the Petro dollar. The Petro dollar had all these service economies up, with it gone so will the benefits of using your services. EU is already looking to move away from US software and Fintech. China has already moved away. Japan/Korea had the Fintech infrastructure up to move away but hasn't used it.There also a technological reason the petro dollar is going away, electric vehicles of all kinds are simply becoming more viable. Why put your entire economy at risk because some dessert nigggers decided to chip out about some holy war. More and more of the world is looking at that saying yep, it might be expensive now but it's getting cheaper by the day. If you look at China it could have aggressively pursued air travel as it's means of transport but it decided to sink unseen ammounts of money into high speed rail. It did so on the assumption that if war ever breaks out with the US the first thing to go would be Oil. As the Petro dollar is the one big weapons the US can use. China secured it's long distance travel options. So evne if they get cut of from Oil their economy isn't going to absolutely freefall. They're very consciously over investing and over subsidizing Electric vehicles too.
>>533383943>Gold is the priceSo every single store has to check the price of gold like four times a day and adjust it for the price?So if a kilo of gold now costs $155,000, that means that a dollar is worth 0,006451th of a kilo. So if a loaf of bread costs one dollar, or that 0,006451ths of a kilo of gold today, and tomorrow gold prices increase ever so slightly, to the point it'd be a match for 1.1 dollars, will the person selling it have to calculate a new monetary cost for it? Every single day? "The spot price of gold is updated almost continuously, usually every 10 to 15 seconds during active trading hours"Like why would anyone deal in cash at all knowing that the price may have dropped 10 seconds earlier and you didn't know, and now you made a stupid monetary decision and wasted your money/product?
>>533382196>How did the gold standard workIt didn't.
Jews hate gold for economics because it puts a limit on their jew practices
>>533382196Economy used to keep crashing every 20 years with massive deflation because there wasn't enough currency due to the artificial limitation of the gold standard, and that was before gold had industrial uses.
>>533382196Gold is a good inflation hedge but a crummy credit-restrictive currency. Bad for the farming sector.Something like minute-coins issued individually for every passing minute would be more flexible yet non-inflationary. Crypto things.
>>533384332If a truly digitized modern economy existed that was pure capitalist yes. You'd have some sort of simplification of the gold price and the prices in stores would literally update by the second everyone would use central servers and digital price tags.You're from Finland half your stores already do this, I know half the Croatian stores do too.
>>533384332You're making it too complicated. Do you assume everyone checks the value of the dollar before every purchase they make?
>>533382196>boomers destroyed this countryoh look another D&C shill
>>533383550Gold price is extremely stable, probably the most stable commodity of all. Be cautious though, to understand that you need at least 100 IQ
>>533384604You don't know what fucking stable means your retarded bober kuwarGold hasn't been stable since 2011.
>>533384754>gold price>in USDThank you for proving the point you retard.
>>533384843You're so fucking retarded it's ridicilous. Here every major fucking currency on earth I forgot the pound it looks exactly the same.Currency values can be measured in Inflation. Bread doesn't magically cost 4 times as much today as it did in 1 base unit of (2018) Dollar,Euro,Yen,Renby,Swiss Frank, Pound, whatever is not 4 Dollars today no matter how you spin it.Gold has absolutely skyrocketed and has outpaced all inflation values in all countries. This means GOLD is not STABLE.
>>533385135lmao
I don't think fiat is inherently bad. I think the problem is fractional reserve banking + usury.
>>533385135You are so fucking retarded you can't put the dollar as a global reserve currency together with the price of gold flying upward as global money supply does.Let's see the graph for the hundreds of years leading up to 2005
>>533385349It's not Lmao. The same thing applies to stocks of apple in all these currencies. It doesn't make Apple stock stable. It just means it's equaly valued everywhere all currencies. Stability means something doesn't panic inflate when bad times hit. And gold is doing just that. That fantastic if you own gold. But if our economy was right now based in gold we're be facing 400% inflation.
>>533382196It ensured the money supply was kept stable and prevented predatory debt-lending practices. I'm sure you can extrapolate the rest from therehttps://www.usdebtclock.org/
>>533385751Is reading hard for you Americans half of these graphs are go to 2005 going back 20-25 years to 1980
>>533385376fractional reserve banking is a myth. In reality banks use double-entry bookkeeping to create money when they issue loans.>https://www.bankofengland.co.uk/-/media/boe/files/working-paper/2015/banks-are-not-intermediaries-of-loanable-funds-and-why-this-matters.pdf
>>533385135Dipshit, gold IS stable, it is the price that has exploded due to inflation of the currency. It became an asset rather than a financial instrument. 4 gold coins will buy you today exactly what 4 gold coins bought you 100 years ago. Gold doesn't change in value, only the currency when measured against it. A graph of gold price skyrocketing is ACTUALLY a graph showing currency value disappearing.
>>533385852>1980Woah man, you mean the gold price in dollars explodes after the gold standard is removed allowing unfettered dollar printing? Say it ain't so, this only makes complete sense.
>>533385811It’s inflation dumbass. The reason you think it isn’t inflation is because you’re using the wrong numbers or applying them incorrectly. Bread is not an appropriate example to use for calculating inflation of gold because it’s in the cpi and government’s and banks collide to keep the items in the cpi artificially low. The do this because the entire point of extracting wealth from the public through inflation is rendered moot if the public knows the real rate of inflation. Real inflation (as evidenced by securities and real estate and other asset classes) averages about 12% inflation per year for the last 50 years. If the public thinks inflation is low like what government tells them, say 2-4%, then they won’t protect their wealth adequately and the difference between real and expected inflation goes into the pockets of governments and bankers as a silent wealth tax. That’s the real mechanism by which the middle class has been impoverished and the financial parasite class has risen. So no, gold is not inflationary it’s merely finding it’s true value in an environment where high inflation has been hidden for decades.
>>533385978That's not very different.
>>533382196>>533382641A gold standard means the paper currency is allegedly backed by gold, as in you can go to the bank and ask them to give you physical gold coins for the paper currency you hand them, no question asked.The digits on the paper are always supposed to be exchanged for the same amount of weight in gold over long periods of time.$20 in paper being worth 30 grams of gold is a fixed ratio, this rate is supposed to be valid both today, next year, in 10 years, as long as the gold standard is active.They wanted to get rid of gold because if the government wants to spend more money, either have to tax the population more or have to mine more gold.Taxing the population too much might lead to violence.You need lots of work, fuel, skill, time to mine huge quantities of gold.So they decided to stop backing the paper with gold, so they can print more paper, without having to tax you or having to mine that physical gold to back it with.Using physical precious metals as money (like gold and silver) forces both parties to perform useful work to obtain goods and services to perform an exchange.A paper currency doesn't need hard work to obtain, it can be easily printed with a printing press, so it removes the hard work needed by one of the party (the one printing it).Whoever controls the printing press is then able to give away that paper currency.There are retards out there who believe the paper currency is valuable, for some reason, when in fact it isn't, it can be easily printed and multiplied, that's what inflation is.That's why you have gorillions of retarded wagies wasting all their lives working 24 hours a day against their very own interest, because they believe that paper is valuable, when in fact it isn't.The kikes who can print the paper currency just print it with NO EFFORT and they ask the wagie to do exactly what they want and the retarded wagie puts in TONS OF EFFORT to obtain that paper currency.
>>533386573You see what is the scam that is happening?This scam works as long as there are wagies believing the paper is valuable.Or as long as the wagies still believe they're gonna have some kind of pension given by the printing press.Or as long as people believe it's backed by something (like gold, or the labor of the people like how some other retards claim backed by the printing press shills).
>>533385811If you think about it harder then you'll find that it's actually the value of fiat currency rapidly deteriorating, and that during these bad times the money supply inflates most drastically. Suggestion of 400% inflation is interesting, hopefuly you are aware that United States had less 4% inflation rate over... whole XIX century
youve been scammed, hahahbut dammit so have igold is moneyyour paper is meaningless and losing value by the second
>>533384332Gold had a set price tied to the dollar. The US Treasury still technically values it's gold at $42.2222 per troy ounce of gold. That price didn't fluctuate rapidly.
Bump
>>533386573Slight correction, they don't avoid taxing you by printing money but they turn the currency itself into the tax mechanism. Obfuscate it behind one layer and the normiecattle can't see it
>>533382196Dollar pegged to finite resource, goldTheorhetically the Fed reserve couldnt print lots of money because gold price would shoot upVietnam War and great Society (LBJ) meant big money printingEveryone smart noticed and pulls out of dollar even though fed denied itUS (NIxon) has to set up the petrodollar to make dollar valuable againTLDR Gold std lost because US loves spending on (((MIC))) and Nogs
