HIGH-GRADE NI-CU-PT-PD-ZN-CR-AU-V-TI DISCOVERIES IN THE "RING OF FIRE"

NI 43-101 Update (September 2012): 11.1 Mt @ 1.68% Ni, 0.87% Cu, 0.89 gpt Pt and 3.09 gpt Pd and 0.18 gpt Au (Proven & Probable Reserves) / 8.9 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inferred Resource)

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Message: All currency is fiat

All currency is fiat

posted on Mar 02, 2008 12:38PM

Whether dollar or euro or other.

The only fix if we experience a world wide currency meltdown, will be for all countries to reattach themselves to gold. The amount of gold each country has will determine how much each unit of currency is worth.

For the US:

This following was a gold-eagle article estimate and was made for the year 2000, so gold would be much higher today, but let's use it to make the  point:

'What if in 1980, the U.S. Government used a different rate? What rate? How about letting gold rise as fast as M3? This works out to a 6.7% annual increase from 1980 to 2000. This would be a different sort of fixed gold standard, because each dollar of M3 money creation would result in an increase in the official price of gold. Amazingly, we see that the price of gold could have been fixed at a certain rate, and it would have grown to over $3000 an ounce by 2000.'

http://www.gold-eagle.com/editorials_00/hommel062400.html

So - on the international market, for an exchange rate, each dollar will be worth 1/3000 th of an ounce of gold.

This would allow the world to continue trading, but would probably make the price of foreign goods to the US VERY expensive.... unless the other country had little gold per unit of currency.

This is just a thought...

BK

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