This is an interesting perspective! If we game theory out however, if the economy goes to shit then the assumption is gold would then be the medium of exchange. However there would be no agreement on what the value of the medium is.. today we value gold against the USD (a pair).
You’re now in the barter economy. I much rather we trade things of usable value like food, water, necessities. Will this happen to the America? I highly doubt it, it could be bad but not Venezuela bad. As we believe in the Q program… so we’re assured it won’t get to that point.
So now we’re left with our personal situation and financial decisions. What are you doing with your fiat dollars, knowing that it will lose purchasing power month over month, year over year? This is about wealth transfer …. We must protect what we earn, and grow it … even if it belongs to Caesar ;)
Joe the carpenter has neither but needs both but has gold. Neither Mike nor John need furniture or carpentry services.
Joe and John can work out a solution among them that they believe is fair. There doesn't have to be a market pair to determine value. Individuals can do this themselves as was done for thousands of years before the market speculators, rent seekers, got in the way
John tells Joe “you don’t have anything I need to trade, see you next time”
Joe looks for someone who is in need of his services, trades it for meat.
Joe now has something John needs/wants.
Gold is only useful if what you want to trade is encumbered. So you transfer the ‘value’ into a gold rock … but you could’ve just as easily use shells, or peppercorns, or merchant notes, or fiat. But first you do need an agreement between parties on the proper value of gold, so you need a comparison, and it needs to be backed by some form of trust.
If the value is relative than gold ceases to be ‘money’, it’s just another pretty thing to barter with.
That isn't true because all of those things break down or diminish over time. Gold doesn't. Gold being what it is has intrinsic value itself like the vegetables, or the furniture. Or the most valuable thing of all, your time.
You are arguing that currency is money and it isn't. Those things you list may be usable as a currency, but they are NOT money.
Everything has intrinsic value, that is true. The crux is that the specific intrinsic value is recognize by everyone and is agreed upon as a stable form of money, of exchange.
I’m saying what you deem your 5 bundles of beet root is worth, is not the same for me or anyone else. Same with gold if we’re thrown into a barter economy.
As of today, the value of gold is based off the USD pair. So now we have a floor frame of reference around the world.
If economy goes to shit, and we’re thrown back to the barter economy, gold is only worth what each party agrees it is.
The worth of the USD today is based on barrels of oil, aka the ‘petro-dollar’.
This is an interesting perspective! If we game theory out however, if the economy goes to shit then the assumption is gold would then be the medium of exchange. However there would be no agreement on what the value of the medium is.. today we value gold against the USD (a pair).
You’re now in the barter economy. I much rather we trade things of usable value like food, water, necessities. Will this happen to the America? I highly doubt it, it could be bad but not Venezuela bad. As we believe in the Q program… so we’re assured it won’t get to that point.
So now we’re left with our personal situation and financial decisions. What are you doing with your fiat dollars, knowing that it will lose purchasing power month over month, year over year? This is about wealth transfer …. We must protect what we earn, and grow it … even if it belongs to Caesar ;)
Mike has a cow, meat and milk.
John has vegetables and grains.
Joe the carpenter has neither but needs both but has gold. Neither Mike nor John need furniture or carpentry services.
Joe and John can work out a solution among them that they believe is fair. There doesn't have to be a market pair to determine value. Individuals can do this themselves as was done for thousands of years before the market speculators, rent seekers, got in the way
John tells Joe “you don’t have anything I need to trade, see you next time”
Joe looks for someone who is in need of his services, trades it for meat.
Joe now has something John needs/wants.
Gold is only useful if what you want to trade is encumbered. So you transfer the ‘value’ into a gold rock … but you could’ve just as easily use shells, or peppercorns, or merchant notes, or fiat. But first you do need an agreement between parties on the proper value of gold, so you need a comparison, and it needs to be backed by some form of trust.
If the value is relative than gold ceases to be ‘money’, it’s just another pretty thing to barter with.
That isn't true because all of those things break down or diminish over time. Gold doesn't. Gold being what it is has intrinsic value itself like the vegetables, or the furniture. Or the most valuable thing of all, your time.
You are arguing that currency is money and it isn't. Those things you list may be usable as a currency, but they are NOT money.
Everything has intrinsic value, that is true. The crux is that the specific intrinsic value is recognize by everyone and is agreed upon as a stable form of money, of exchange.
I’m saying what you deem your 5 bundles of beet root is worth, is not the same for me or anyone else. Same with gold if we’re thrown into a barter economy.
As of today, the value of gold is based off the USD pair. So now we have a floor frame of reference around the world.
If economy goes to shit, and we’re thrown back to the barter economy, gold is only worth what each party agrees it is.
The worth of the USD today is based on barrels of oil, aka the ‘petro-dollar’.