30 Jan 12
Originally posted by SleepyguyDidn't the last Persian who tried to trade oil in a currency other than $US find himself hiding in a cave?
So, shouldn't this be bigger news? Isn't the US dollar's status as "reserve currency" largely due to the fact that oil trades have been denominated in dollars since the 1970's?
Doesn't this monopoly result in an inflated demand for our dollar that translates into our ability to continue borrowing 40 cents out of every dollar we spend year after year?
Seems like this should be a bigger news.
31 Jan 12
Originally posted by no1marauder"That the government says something is "legal tender" says nothing about its value."
That the government says something is "legal tender" says nothing about its value.
Gold's so-called (by you) "intrinsic values" are insignificant and play virtaully no role in determining its price. Paper with writing on it has "intrinsic value" by your definition - I can decorate my den with it, or clean the kitchen counter with it or do ...[text shortened]... y the most "obtuse" would argue that makes it have "intrinsic value". Same with gold.
It says that if I owe you, you must accept payment in these notes. Therefore it has value, based exclusively on its status as legal tender.
You can poo poo the uses of gold, but for thousands of years people have sought it if they could afford it, for a variety of ornamental uses. It's value is based on mostly its relative scarcity.
You can be silly and claim that you can wallpaper your room with Federal Reserve notes, and if you like the decor it may well be quite inexpensive wallpaper someday soon. It is lousy as paper towels, or toilet paper, and isn't the best kindling either. There is no intrinsic value in paper money, only the dictates of government that it be accepted as legal tender, and repeatedly governments inflate paper currency to the point where it can be used as wall paper. Nobody is doing wallpaper in gold.
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31 Jan 12
Originally posted by normbenignGold makes lousy toilet tissue also and it sticks in your teeth. (Some people are just maroons!)
"That the government says something is "legal tender" says nothing about its value."
It says that if I owe you, you must accept payment in these notes. Therefore it has value, based exclusively on its status as legal tender.
You can poo poo the uses of gold, but for thousands of years people have sought it if they could afford it, for a variety of ...[text shortened]... rency to the point where it can be used as wall paper. Nobody is doing wallpaper in gold.
02 Feb 12
Originally posted by normbenignGo buy a dictionary with some of your gold and look up the word "intrinsic". If you do, you'll stop insisting that gold has "intrinsic value". Gold has whatever value people place on it; no more, no less. The same holds true for paper money. In fact, both are traded at the same time in many of the same markets.
"That the government says something is "legal tender" says nothing about its value."
It says that if I owe you, you must accept payment in these notes. Therefore it has value, based exclusively on its status as legal tender.
You can poo poo the uses of gold, but for thousands of years people have sought it if they could afford it, for a variety of ...[text shortened]... rency to the point where it can be used as wall paper. Nobody is doing wallpaper in gold.
Yes, if you owe me a $100, I must accept $100 in payment. Those are the conditions of the debt. That says you accept that you got something worth $100 and agree to return the same value for it. We have agreed on the value of the thing you received. That the government made a bill "legal tender" is quite irrelevant; if you had chosen, we could have agreed that you pay me back in something else that we both accepted as of the same value. This is Contracts 101.
02 Feb 12
Originally posted by no1marauderDoesn't the money say that it MUST be taken for all debts public and private?
Go buy a dictionary with some of your gold and look up the word "intrinsic". If you do, you'll stop insisting that gold has "intrinsic value". Gold has whatever value people place on it; no more, no less. The same holds true for paper money. In fact, both are traded at the same time in many of the same markets.
Yes, if you owe me a $100, ...[text shortened]... back in something else that we both accepted as of the same value. This is Contracts 101.
02 Feb 12
Originally posted by AThousandYoungThere is, however, no Federal statute mandating that a private business, a person or an organization must accept currency or coins as for payment for goods and/or services. Private businesses are free to develop their own policies on whether or not to accept cash unless there is a State law which says otherwise. For example, a bus line may prohibit payment of fares in pennies or dollar bills. In addition, movie theaters, convenience stores and gas stations may refuse to accept large denomination currency (usually notes above $20) as a matter of policy.
Doesn't the money say that it MUST be taken for all debts public and private?
http://www.treasury.gov/resource-center/faqs/Currency/Pages/legal-tender.aspx
02 Feb 12
Originally posted by no1marauderCan a bus or movie theater demand payment in gold?
There is, however, no Federal statute mandating that a private business, a person or an organization must accept currency or coins as for payment for goods and/or services. Private businesses are free to develop their own policies on whether or not to accept cash unless there is a State law which says otherwise. For example, a bus line may prohibit payme ...[text shortened]... tter of policy.
http://www.treasury.gov/resource-center/faqs/Currency/Pages/legal-tender.aspx
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04 Feb 12
Originally posted by Metal BrainFor the Chinese. Who also seem to be hoarding every other commodity. (I always make my life choices based on whatever the Central Committee of the Communist Party favors.)
Gold is the new currency alternative.
http://www.forbes.com/sites/robertlenzner/2012/01/28/gold-is-the-hottest-currency-in-the-world/?partner=dailycrux