[Clubber]

One of the main reasons we got off the gold standard is in fact the scarcity of it was a shackle. Imagine if, say China decided to hoard gold, how much of an influence that artificial scarcity would have on all the other economies that could only value things in gold?

The US has 75% of all the world's reserves.

http://www.usfunds.com/investor-library/frank-talk/top-10-co...

Also, there is finite value in the total amount of gold available, so at a point, there is no room for growth. If there is say 1 billion worth of gold on Earth, the value per weight of gold would go through the roof. buying everyday items would be valued in specs of gold (or 18ths of specs). It's probably really easy to lose a spec of gold.

Finally, without inflation, it doesn't make financial sense to buy anything. Why buy a truck for 1oz of gold today when I could buy two for the same amount next year?

[primrose]

> Why buy a truck for 1oz of gold today when I could buy two for the same amount next year?

Because someone needs a truck now. Deflation makes people more fiscally responsible, not less.

[Clubber]

Right, but in economies, that's a bad thing. (less spending, less demand, fewer jobs, repeat, downward spiral, economic collapse).

[noncoml]

You are both saying the same thing. You only buy a truck today if you absolutely need it.