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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 413.19+1.1%4:00 PM EST
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To: Haim R. Branisteanu who wrote (62398)4/1/2010 5:21:34 PM
From: RJA_   of 219040
 
Population will either decrease in controlled sane way... or in insane uncontrolled way.

Which is preferable?

Unfortunately, we see many examples of insanity.

The world has a finite carrying capacity... and as population increases, quality of life generally decreases. At some point population density decreases quality of life, never mind use of resources to extinction.

Re economies based on relatively finite supply of precious metals:

If economy expands, world will be in constant state of deflation. Money will grow in value over time. Not so bad for savers. Investments to be viable will have to return more than the increase in money value from merely holding same. This can be done as world was on a gold standard from roughly 1820 to 1914... and this was during a period of rapid industrialization. Of course, lots of gold and silver were being located during this time also.

Credit would be used less... perhaps barter would be used more... and people would save.

Not so bad actually, and it might work.

It is possible that you could have a two tiered system: Precious metals used for savings (maintaining and increasing value) and fiat money used for transactions as medium of exchange.
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