Quote:
Originally posted by Javan
Gerl how? You can't undo deficit spending 
And why do you support fiat currencies when they have all failed eventually in the same way  |
Yeah, they can.
Besides gold as currency being stupid and barbaric in the first place (I mean, they basically used gold because it was shiny, it has no real value. Even copper and iron has more intrinsic value), there simply isn't enough gold in the world to support our economy.
If everyone decided to withdraw their deposits on a Gold Standard we'd fall into a great depression almost as easily as we did before, the banks would have no money and following the standard (in the strictest sense) the Government would be unable to create it. People will starve under the gold standard, and people will die. I support the Fiat Currency because, we can almost generate money out of thin air when needed, and inject it into the economy to support growth.
The recent re-emergence of the gold standard's advantages were strictly because of it being able to prevent the current economic "problems" and shouldn't be taken literally, It can't happen now. Too much money is moving all day, every day. And Maiko has no gold rainy day stash either, so he'd starve
Back to what I said though, why place restrictions on something that really doesn't exist anyway. All "money" is fiat money at the end of the day. The only thing better is bartering and trading your services and products with no money at all. But that's an idea of a Utopian society.
