Re:Europe Announces Bailout For Cyprus — Bank Depositors Get...
by dmiladinov on Saturday March 16, 2013 @09:28PM
(#5387566)
The only way for gold to inflate is for someone to dig up more gold, thereby increasing its supply.
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Re:Europe Announces Bailout For Cyprus — Bank Depositors Get...
by jpollock on Saturday March 16, 2013 @10:06PM
(#5387688)
Gold can be inflated the same way as any other currency. Since people don't typically trade in physical gold, but in certificates used to represent the gold, it is possible to print more certificates than you have gold. While this is a fraud, it is an increase in the money supply.
Re:Europe Announces Bailout For Cyprus — Bank Depositors Get...
by fnordfnordfnord on Saturday March 16, 2013 @10:33PM
(#5387788)
Yes, paper gold isn't gold. Or at least it won't be when you need it to be.