Originally posted by Bardock42
Actually I was referring to the Euro only being introduced in 1999.That's probably the ECU you are looking up.
Whoops. Same sort of concept. Kinda.
Anyway, for those that want to support the message of doom the USD has lost 97% of its value since 1850!
http://www.measuringworth.com/ppowerus/
Posted by Symmetric ChaosPretty much all of them.
The ones we use today in the Western are artificially stabilized which is why the dollar doesn't fluctuate noticeably in value month to month. On the other hand the price of gold is reset every day. Just for example, the price of gold spiked very suddenly when the financial crisis hit. The value of the dollar stayed much steadier.
The dollar used to be based on the gold standard - and for good reason. It gave our currency - in fact, every currency around the world - it's value. It was backed/based on something with intrinsic value. Today, the dollar is based on nothing - merely propped up by low interest rates (regulated by the Federal Reserve).
For the latter of your statement regarding the price of gold v. the value of the dollar, such is completely false. When gold prices increase - or any other price in precious metals - it's because the dollar has lost value (purchasing power). Since currencies are no longer based on precious metals, fiat money is created out of thin air and interest rates are manipulated to compete with precious metals. The same applies to other currencies. Basically, precious metals in international markers are saying to the dollar, "Who's your daddy?" Understand?
Originally posted by ushomefree
The dollar used to be based on the gold standard - and for good reason. It gave our currency - in fact, every currency around the world - it's value. It was backed/based on something with intrinsic value. Today, the dollar is based on nothing - merely propped up by low interest rates (regulated by the Federal Reserve).For the latter of your statement regarding the price of gold v. the value of the dollar, such is completely false. When gold prices increase - or any other price in precious metals - it's because the dollar has lost value (purchasing power). Since currencies are no longer based on precious metals, fiat money is created out of thin air and interest rates are manipulated to compete with precious metals. The same applies to other currencies. Basically, precious metals in international markers are saying to the dollar, "Who's your daddy?" Understand?
Originally posted by ushomefree
The dollar is no longer based on precious metals. I don't fully understand what you are saying. Could you elaborate, please?
the minute this was implemented, the value of metals would go up because of increased demand.
Originally posted by ushomefree
The dollar is no longer based on precious metals. I don't fully understand what you are saying. Could you elaborate, please?
so what happens to the nations where white people stole all their prescious metals because it made their currency more valuable they don't have precious metals?
also, doesn't this make gold a resourse now worthy of military intervention, like oil? Like, the same way the US interprets oil reserves in the Middle East as part of its strategic objectives, is the same now true of African gold mines?
maybe I don't get what you mean?
Originally posted by King KandyIf we decided that from now on, we'd base the dollar on metals (as you're advocating)...
the minute this was implemented, the value of metals would go up because of increased demand.
We don't even need to think that far ahead, I think. Supply and demand alone will increase the price of precious metals. All I'm saying is this: governments with a printing press to create fiat currency - a currency no longer based on precious metals - will fail over time. The bottom line is, precious metals give currency their value. Precious metals have always won, historically. Does that seem like an accurate statement?
Originally posted by ushomefree
We don't even need to think that far ahead, I think. Supply and demand alone will increase the price of precious metals. All I'm saying is this: governments with a printing press to create fiat currency - a currency no longer based on precious metals - will fail over time. The bottom line is, precious metals give currency their value. Precious metals have always won, historically. Does that seem like an accurate statement?
No, that seems like an incorrect statement
Originally posted by ushomefree
We don't even need to think that far ahead, I think. Supply and demand alone will increase the price of precious metals. All I'm saying is this: governments with a printing press to create fiat currency - a currency no longer based on precious metals - will fail over time. The bottom line is, precious metals give currency their value. Precious metals have always won, historically. Does that seem like an accurate statement?
Originally posted by King KandyNo, that's not true at all. You just admitted that the price of metals fluctuates; that is not "stability".
No... I'm saying that governments around the world manipulate the money supply and interest rates to compete with precious metals - not the other way around. Fiat currency is based on nothing; precious metals have intrinsic value and is far more stable than currency notes. That's all I'm saying. You disagree with that?