Did you know that some people are literally crazy? OK, that’s not a medically precise term. But there’s a lot of profoundly unhappy people in the United States, especially NYC. And then there are people who are not only merely unhappy and lonely but also, have some sort of unresolved mental trauma. It’s somewhat taboo to talk about certifiable outright lunatics, however, here we are...
The history of fiat currency is more or less the same in each & every circumstance. The government prints too much, creates inflation or hyperinflation and the currency is rejected. Every fiat currency has failed because eventually fiat ceases to function as a store of value and a medium of exchange.
Paper money and base metal coinage are just government issued currencies, a form of debt.
On the other hand, gold, and to a lesser extent silver, fit the historical definition of money and have for thousands of years.
Ask yourself, why have gold and silver survived the test of time as a true form of money? And why have gold and silver been universally accepted as money throughout recorded time?
1. Gold and silver are LIQUID, meaning they are easily exchanged, traded, bartered with or sold for non-monetary government issued currencies.
2. Gold and silver are CONSISTENT. That refers to the fact that gold and silver are easily recognized, and their appearance and composition have never changed.
3. Gold and silver are DIVISIBLE. Smaller or larger units of precious metals are proportional in value. Most other tangible items of value are not.
4. Gold and silver are CONVENIENT, meaning even small units hold noteworthy value and are easy to carry and transport.
5. Gold and silver are DURABLE. That means, as with all precious metals, they are not biodegradable, nor can they evaporate and disappear without a trace. That is not the case with many forms of “so-called” money.
