Sunday, November 25, 2012
Gold acting as a cerurncy not a commodity. Its been money for 5000 years and always will be. Al, what does this Rue Paul know about economics anyway? He/she is half right. Gold is acting as an alternative to weakening global economies. I still dont think gold is cerurncy, although many people continue to swear by that. Its just semantics i guess but in order for something to be a cerurncy, it has to be deemed a cerurncy by law and people who make the laws. If not, then its just a black market store of value. No different than a dime bag with a long shelf life in that regard. Ask yourself, what kind of cerurncy would gold make when the us govt pegs its value at 300/oz, illegalizes it and punishes anyone who hoardes more than $1,000 worth? Not a very good one. The real cerurncy for 5,000 years is WORK. Productive, meaningful, work. It can be creative art work, science, mathematical work, construction work, whatever. The US dollar is not failing because a lack of gold. Its falling because of us and our economy. We are losing our industry and productivity and edge to the 3rd world. That is why we are over-using debt as a crutch and the dollar is getting smacked. Fiat money works great when the underlying economy is productive and healthy. oh no. i hope this doesnt get everyone all worked up and throwing daggers at me. Whether its a cerurncy or not, i think its going to continue to rise in value under these worsening conditions.
