Chapter 2: The High cost of Production: Specie as a Waste of Production - National Reserve Currency

2.11   The High cost of Production: Specie as a Waste of Production Gold Some influential economists produced estimates that the resource costs of gold (mining, refining, assaying, storing and guarding) could be up to 4% of GDP. As such it is a needless misallocation of resources if token...

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Chapter 2: Findings and Analysis- Growth Problem - National Reserve Currency

2.10   Growth Problem Gold Fiat supporters have always argued there is not enough Gold in the world to fund the global economy and international transactions. The total amount of gold that has ever been mined has been estimated at around 165,000 tonnes. Assuming a gold price of $1,500...

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Chapter 2: Findings and Analysis- Price Instability Problem - National Reserve Currency

2.9     Price Instability Problem Where open markets operate, the prices of goods and services are determined by changes in their respective demand and supply. Money or currency is used to denominate the prices of goods and services where the value of a currency is determined...

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Chapter 2: Findings and Analysis- Supply of Gold Problem - Fear of Deflation - National Reserve Currency

2.8     Supply of Gold Problem - Fear of Deflation Gold It is often stated that there is insufficient gold in circulation to account for all the trade around the world. Estimates of the value of gold are in the region of 6.5 trillion dollars and the world’s GDP, as far as...

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