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To: RFEngineer
No, not the resources themselves, although a prime spot in the best hotel at the Grand Canyon would do ~ with electricity, of course.

But you can back your currency with pledges against ASSETS.

An asset can be gold, silver, copper, oil, land, uranium, forests, water, coal, ........

Then you pay your debts with that currency.

You can even run more than one type of currency at a time ~ like they did in the early days of the republic. Computer systems are so good you no longer need a separate Federal Reserve system with a single currency. Actually, even after the Federal Reserve system was established we ran with several different kinds of currencies pledged against various things.

Currently our currency is backed by what?

183 posted on 11/12/2012 3:19:57 PM PST by muawiyah
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To: muawiyah

“But you can back your currency with pledges against ASSETS.”

Oh, thank you very much for your helpful insight on financial matters, it really is quite interesting.

However, your point, if you were honest, is that you want to have the currency supported by whatever asset is required so that you continue to get your generous pension.

Right?

No, we save our assets for later. first we zero out all of our obligations, THEN we use the assets we have to collateralize a new currency. (This is what Greece is going to do) Perhaps they’ll let you sweep the floor of the best hotel at the Grand Canyon, in return for scavenging rights to the dumpsters.

That seems fair, no?


185 posted on 11/12/2012 3:26:37 PM PST by RFEngineer
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