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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Mark Bartlett who wrote (29911)	3/13/1999 10:03:00 AM
From: Hawkmoon	Respond to of 116760

Mark, Unless people can be assured of access to the gold underlying that electronic trading of gold certificates and futures, a gold backed system is just a susceptible to complete financial chaos as Fiat. They're just pieces of paper, or bytes of electronic data, unless can trust that the powers that be will let you exchange your paper/electronic assets for gold. For example if the US got in to a war. the US's status as the holder of the world's reserve currency could potentially be greatly undermined. That could have devastating effects on the other 95% of the world. And despite all of the crap you hear to the contrary, IMO the world is much more unstable now, than we are lead to believe Well I certainly agree with you in that assessment since wars are inevitably inflationary if prolonged. But then again I could hedge my dollar denominated assets in oil, or purchase stock or bonds in a defense manufacturer. But in times of war, I concur that gold or other precious metals do fairly well. But Mark, let's not delude ourselves into believing that gold backed money is immune from so many of the threats you claim Fiat is vulnerable to. Both still rely on that Rule of Law being obeyed and banks honoring our claims. That is, unless you hold physical gold and can hide it from those who want to steal or confiscate it. Regards, Ron