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To: Zeneta

Keep it simple. It’s not the value of gold that matters. Its more it’s permanence. Again all you’re doing is fixing a measurement standard, like the wight measurement on your bathroom scales. The measurement itself isn’t the point. It’s the fact it’s fixed and reliable, the way you always know that a pound is always sixteen ounces, so you can tell whether you’ve gained weight or lost weight - the scale has a higher reading because you actually gained weight, not because you fooled yourself by changing to measurement of a pound on the scale.

In the same way buyers and sellers can rely on prices being an accurate measure of the relative value goods and services, knowing that changes in prices is not because somebody has changed the measurement of the dollar - changing the measurement of the dollar doesn’t change the intrinsic value of the goods and services, it only fools you into thinking intrinsic value has changed.


95 posted on 06/28/2016 2:36:23 PM PDT by Jim W N
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To: Jim 0216

I understand that, but Gold in and of itself, is an arbitrary standard.

The only real indicator of economic activity is the consumption of energy.


97 posted on 06/28/2016 2:47:51 PM PDT by Zeneta
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