Re: Why Its Pointless To Argue With Global Warming Believers

ZnU wrote:

In article <euCdndwFq8u6WgXZnZ2dnUVZ_sKdnZ2d@xxxxxxxxxxx>,
GreyCloud <mist@xxxxxxxxxxx> wrote:


ZnU wrote:


A gold-backed dollar would also float in value.


You can say this, but you have no proof of this.


I have already demonstrated that the price of gold fluctuates relative to the price of other goods. IOW, that the price floats.


The price floats because the USD is the so-called legal tender now, not gold. The price didn't vary much when there were gold certificate and silver certificate notes in circulation.


Take a look at http://minerals.usgs.gov/ds/2005/140/gold.pdf

Particularly, the 98$/t column. This column is in inflation-adjusted 1998 dollars. Inflation adjustments are made based on the consumer price index, which means that the value in this column directly represents a quantity of CPI goods and services. IOW, all of the 'float' in the USD itself has been removed, and what you're seeing what quantity of consumer goods you can buy with a ton of gold.

You may note that this number changes quite a lot, even prior to the adoption of the paper USD.


The limiting factor was that they could not loan anymore than was on hand. Now, it the skys the limit.


Actually, specific limits are set by the Federal Reserve.


But not by much. Bank can loan out 10x of what the bank has.
Some limit, seeing what fractional reserve is.


But when gold coins were in use... everything stayed stable.


The last time gold coins were in widespread use, nothing like a modern economy existed, making comparisons pointless. I've shown that inflation and deflation existed with gold-backed currency.


If you want to call unwanton greed and corruption a modern economy.


I was thinking more along the lines of an economy where most people don't work on farms.


But you need farms. Without them what will you eat?
All modern civilizations have as a base farming.


And yes you have shown this, but only during the reign of the Federal Reserve. Before that inflation and deflation really was non existent.


Actually, I showed it prior to the establishment of the Federal Reserve as well.


Not much if you ask me... very little.


Look, I'm really done here. I've made detailed arguments, posted lots of data... and it's becoming increasingly clear that you simply don't comprehend some of the basic issues involved here. There's no point in continuing this discussion.


I'm just pointing out that people are so deeply used to or familiar with a system that is slowly sinking that the majority can't even see the edge of the waterfall up ahead.


I have demonstrated that the system is not "slowly sinking", as wage growth outpaces inflation.


Those figures do not show a sinking system tho. The fact that the USD floats is a cause in not knowing when the ship is starting to sink.


You have not made a coherent argument as to why the paper USD will cause the system to sink.


Because of the USDs slow devaluation over time, which affects our standard of living, along with inflation. Living near big cities tends to hide this from the working class. But even the working class is feeling the pinch. That's why there are two breadwinners in a family instead of one, like it used to be.
It is only a matter of time.



--
Where are we going?
And why am I in this handbasket?
.

Relevant Pages

  • Re: OT: RADIO LIBERTY newsletter, July 2007
    ... Why was the price of English products stable for 700 years? ... The concept of mass production was invented by Eli Terry of Connecticut in about 1808, who demonstrated the ability to make on a repeatable basis identical wooden parts for clocks. ... The gold standard had nothing to do with the developments, but, as capital expanded, failed to provide a basis for the continuing economic changes. ... Inflation refers to period of time over which prices for goods, services and factors of production rise. ...
    (rec.arts.mystery)
  • Re: Why Its Pointless To Argue With Global Warming Believers
    ... I have already demonstrated that the price of gold fluctuates ... The price floats because the USD is the so-called legal tender now, ... inflation pressures are far steeper than the past by a great deal. ... But no country ever moved from hunter-gatherer to a modern economy. ...
    (comp.sys.mac.advocacy)
  • Re: Why Its Pointless To Argue With Global Warming Believers
    ... GreyCloud wrote: ... but I can afford a new iMac because the price has dropped since the 70s. ... it has to do with the USD decline over time. ... First, you can't meaningfully compare with gold prices prior 1971, because the price of gold was effectively set by government fiat prior to that. ...
    (comp.sys.mac.advocacy)
  • Re: Why Its Pointless To Argue With Global Warming Believers
    ... I have already demonstrated that the price of gold fluctuates relative to the price of other goods. ... Inflation adjustments are made based on the consumer price index, which means that the value in this column directly represents a quantity of CPI goods and services. ... IOW, all of the 'float' in the USD itself has been removed, and what you're seeing what quantity of consumer goods you can buy with a ton of gold. ...
    (comp.sys.mac.advocacy)
  • Re: Why Its Pointless To Argue With Global Warming Believers
    ... GreyCloud wrote: ... new iMac because the price has dropped since the 70s. ... it has to do with the USD decline over time. ... compare with gold prices prior 1971, because the price of gold was ...
    (comp.sys.mac.advocacy)