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Hey /biz/, /pol/ here, redpill me on this?
As far as I know, the pros and cons of Gold vs Fiat is that Gold offers better stability, so the highs are higher, but the lows are also lower because you can't print money, so instead of recessions you get depressions, while the pros of Fiat is exactly that, you can print more money when it's needed, to prevent a financial collapse, but the downside is that as the name implies, the money is based entirely on faith that that green piece of paper with Washington's face on it has an assigned value of 1, and if the faith in that worth disappears, the whole system can collapse anyway. Or something like that.
Ignoring all the hurdles to something like this ever actually happening, what's your take on this?
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>>1641477
there isn't enough gold to use it as money so it would instantly become fiat backed by a tiny percentage of gold.
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>>1641482
that's why you don't use only gold you retard.
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>>1641477
The US dollar is backed by oil and the military
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>>1641504
>gold standard
>backed by pork bellies, platinum, silver, salted haddock, rice, and corn syrup
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>>1641477
Where my bimetallists at?
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>>1641477
> As far as I know, the pros and cons of Gold vs Fiat is that Gold offers better stability, so the highs are higher, but the lows are also lower because you can't print money.
Holy shit I knew /pol/ was retarded but this is something else.
>Claims gold is more stable
>Immediately describes instability
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>>1641477
Gold has a completely undeserved reputation for stability.
In reality tying the currency value to gold merely prevents economic imbalances from self correcting. And the gold standard has been the main cause of most hyperinflation incidents.
Did you ever see the episode of The Simpsons where Lisa becomes president and has to deal with President Trump's legacy: the virtual bankruptcy of the country? The situation's impossible with a fiat currency, though it would be a real danger if America were on the gold standard.
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Kek. Like this is gonna happen.
Isn't this what JFK got assassinated for? Don't fuck with the jew's shekels
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>>1641726
>implying most gold in the world isn't owned by Jews
daily reminder that keysianism is the only modern economic theory that wasn't spawned by a jew
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>>1641781
*keynesianism
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>>1641559
Nice contribution
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>>1641477
it's never going to happen
so why bother
dollar is backed by oil
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>>1641781
must be why it doesn't work
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>>1641559
>I knew /pol/ was retarded but this is something else.
It's really kind of amazing the shit that gets posted over there. I just wish there were a way to monetize it effectively.
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>Fiat money is backed by anything you can buy with that currency
>Basically, by the country added value
If you can't wrap your head around the basic facts why analyze further?
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>>1641477
To get some real discussion, IF the US were to go back to the gold standard, how would they sort out the massive foreign USD reserves?
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>>1641482
such a stupid, ignoramus argument
the amount of gold is irrelevant, if there isn't enough physical gold, then the price of gold goes UP, and it takes more dollars to buy gold
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That's what a Gold standard is. No one's suggesting physically trading Gold for transactions. Of course, that means the price of Gold would have to rise in order to peg it to the Dollar which means $50,000, $100,000 or more per ounce. Which is why it's impossible to go back to. But that just shows how many Trillions we've printed since 1971.
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>>1641845
With gold my retarded friend
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>>1641866
I thought God was meant to be the magic friend of the US.
If they just switched to gold backing they'd be open to speculative attack.
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>>1641828
Stuff posted on /b/ /tv/ /v/ /g/ /biz/ are equally as shit as /pol/
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>>1641849
>the price of gold goes UP
Not if there is a gold standard.
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>>1641889
WTF am I reading? There has to be a conversion rate of Dollars into Gold. That's what a Gold standard is. It's simple supply and demand. WAY more Dollars in circulation than ounces of Gold, price of Gold goes up. Or what, you think a Gold Eagle will suddenly be worth $50?
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>>1641507
unless I can trade in my money to the federal govt for its worth in oil and a few soldiers, no it isn't. the economy is backed by that, not the currency. the currency is worthless, because oil and military are not solid values. oil fluctuates like crazy, (and is under threat with the rise of alternative energy) and how do you assign value to the military? by how many soldiers? by it's net worth?
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