No, you won’t get the world spot price for your gold, but you will get a decent price.
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Depends. Old dollars will be worthless for trade with other nations and as a medium of exchange within the US because the government cannot redeem them in anything of value. Nada, not even tulip bulbs. The government doesn’t have anything of value to redeem them with. There is no gold left in Fort Knox.
So, the government has no choice but to “buy” your gold with a new “dollar” so that commerce can continue. They will force you to “turn in” your gold under penalty of law like they did under FDR. This is the only way. For the new dollar to be worth anything, it must be backed by gold.
Once you have the new dollars in hand, you will be able to buy and sell goods and services revalued at the new prices.
And other nations will accept and hold the new dollars because they can be redeemed in gold. But you can’t redeem your dollars in gold because you cannot hold gold. See the trap.
You can refuse the government’s offer and sell your gold to a middleman, but for what? Other metals, old dollars which are worthless, tulip bulbs, guns, ammo, etc. Eventually everything of value gets pegged to the new gold backed dollar and commerce begins with the new dollar as the accepted medium of exchange. And then we are back to where we started with the old dollar.
My point is middlemen have to make a profit, so I doubt they can compete with the government’s offer since the government is free to offer you the highest dollar for your gold. They are not going to pay you more for gold than it is worth in a free market.
Once the new dollar is accepted, the government will raise the debt limit and “print” and release a few more dollars into the economy to be backed by the gold reserves in Fort Knox, thereby diluting the value of new dollars. And now we are full circle.
Forgive me if I am incorrect in my assessment, but that’s how I see it.
That succeeded only by pressuring banks. There are a lot better ways to get gold across the country and onto a ship than there were in 1933.
My point is middlemen have to make a profit, so I doubt they can compete with the government's offer since the government is free to offer you the highest dollar for your gold. They are not going to pay you more for gold than it is worth in a free market.
Your point is that the government can devalue after they "buy" your gold. Meet 1933. Yet people still held their gold and sold it after 1933 for decent profit although not the $35 price since those sales were illegal.