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by wintersFright
4895 days ago
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there is no intrinsic value, but if one produces more than one consumes then one must save their excess production by some means. One could hoard potatoes but thereby deprive some people of eating. plus they have a shelf life. so potatoes are not a good choice. Gold's value is it's uselessness! It's value is derived from the network effect of other producers willing to trade their services/goods in the future for the gold you have stored. Currency is for earning and spending. there is no bound to how much currency can be conjured to claim on goods from the real world. When the currency system fails under the weight of debt incurred in that currency - then those holding physical tangible goods will do well against those whose wealth is denominated in an arrangement of 1's and 0's. |
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