At 11/15/12 04:33 AM, leanlifter1 wrote:
Well for starters Gold is a Pure element and more importantly it is a rare Pure element and that's why it's price reflects these inherent properties.
Yeah, so, why not have a platinum based economy? Gold is basically a useless element. If you somehow found 3 million tons of gold somewhere and brought it back to earth, it would be a financial disaster for whoever did it. A large asteroid can have more gold than all the gold humans have mined in all of human history. It isn't fair to look at it from just an economic standpoint of the current price and use of gold, it fundamentally redefines humans relationship with gold. Many things are expensive because they are rare, it's tempting to look at everything as economic abstracts where every substance simply has a cost and an infinite abstract supply, but that isn't true, some things cost what they do because there isn't a lot on earth. There are rarer elements than gold that have similar inherent properties.
Gold is also PHYSICAL which is why it is valuable
In other words, gold is inherently valuable because it has physical properties which make it a good medium of exchange.
So does paper.
as paper FIAT currency represent a derivative of a Quasiified value set by criminals like Ben Bernanke in a computer system only made possible by GOLD contacts on the CPU, motherboard, HDDs and even Keyboard switches.
What the fuck? I....what? Just...what?
Even Copper in this context is intrinsically far more valuable than paper FIAT currency in a computer system LOL. People could place value on a piece of Human shit and the truth is it would realistically be intrinsically worth much more than the paper FIAT currency.
I absolutely love people like you and morefngdbs who capitalize certain key words, like FIAT or FED or DEBT, lmao. You guys are a riot.
The thing that people like you forget to mention when discussing specie money versus fiat money is that specie money is about as fictional as fiat money. Gold and silver are pretty, sure, and last a hell of a long time, but have almost no intrinsic value. You can't build with them, they make useless (and very heavy) clothes, and you can't eat them. Gold has some limited applications in electronics, and silver is used in photography and some other chemical processes like in catalysts, but their value is higher than other similar materials (like, say, copper or lead) purely because people go "ooh, shiny!" and have been doing so for about as long as there's been something recognizable as commerce. The trick to currency is that it has to be scarce. US Dollars are hard to counterfeit, and gold is hard to find, so they're both stable mediums. Basically, anything can be currency, it just has to be liquid, trusted, and scarce (to a certain extent, you need a large money supply for a large economy).
Other countries are starting to reject the American Dollar for instance China is after US Gold reserves as payment as China understand true value and worth and they don't want anymore debased FIAT currency backed only by a promise from the American Government and we all know how much that is worth LOL.
If you think China buying gold is a sign of them rejecting the American fucking dollar, you're beyond help. You know how much money they put into our bonds? But, then again, I already explained this to you, many many times, so there's no point in doing it again, especially if all you're going to do is ignore it and not respond to it.
Snake Oil is when you go to the bank to buy Gold and they try and sell you a paper FIAT Promissory note in lieu of Physical gold AKA a "Derivative" which is an ideal that has crashed the whole fucking system of commerce in America more than once so STOP THE MADNESS and LIES !
Snake oil is your literally insane posts.