this post was submitted on 09 Jul 2023
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[–] [email protected] 5 points 1 year ago (3 children)

So what happened in the 1970s?

[–] [email protected] 2 points 1 year ago (2 children)

I'm going guess it had something to do with the US dollar becoming a fiat currency:

On 15 August 1971, the United States terminated convertibility of the US dollar to gold, effectively bringing the Bretton Woods system to an end and rendering the dollar a fiat currency. Shortly thereafter, many fixed currencies (such as the pound sterling) also became free-floating, and the subsequent era has been characterized by floating exchange rates. The end of Bretton Woods was formally ratified by the Jamaica Accords in 1976.

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[–] [email protected] 1 points 1 year ago (1 children)

I swear to God monetarists are so fucking boring let them speak for 5 minutes and they'll explain to you how the end of the gold standard caused the Black Plague or the sinking of the Titanic. I just hate that people will see an enormously complex and subtle subject and reduce it to an edgy hot take then use that take to explain every little phenomenon.

[–] [email protected] 1 points 1 year ago (1 children)

Not saying we'd be better on the gold standard, but fiat currency is literally worthless meaningless paper that has no tangible value.

I wish we could go back to barter n trade, to before currency was invented tbh.

[–] [email protected] 1 points 1 year ago (1 children)

Thing is, fiat currency is exactly as worthless as gold or Bitcoin or pebbles. It's just a unit of measurement so of course it has no tangible value. There's no going back to barter because it is so impractical that any attempt to make it work will be the first step to inventing currency.

[–] [email protected] 2 points 1 year ago (1 children)

Well, Gold actually has uses in industry and is an actual tangible thing that people like- but I understand your point.

and yes, I know going back to a barter economy is basically impossible without something like an apocalyptic crash of society & civilization in general.

[–] [email protected] 1 points 1 year ago (1 children)

I think the issue is that gold is way overhyped. Its actual value is pretty low, even aluminium is more industry-critical than gold...

[–] [email protected] 1 points 1 year ago (1 children)

An issue with things in general these days is them being super over-hyped, lol.

[–] [email protected] 2 points 1 year ago

Gold was overhyped before it was cool though, which makes it the most hipster of metals 😎

[–] [email protected] 0 points 1 year ago

Yeah, that checks out.