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[–] avgwhtguy1 ago 

You're assuming there is enough gold to pay a doctor more than a miner -- if all the gold is tied up in savings or other parts of the economy, you cant pay a doctor without mining more gold, and there may not be anymore gold to mine. When we run out of gold, the economy cant grow. It doesnt make any sense to back a currency exclusively by gold unless you're a gold baron, or can make gold.

I think its smart to peg a currency to gold, and other value stores simultaneously so supply chains are less manipulatable, more in tune with the whole economy as opposed to mining, and the currency has more utility than just gold exchange

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[–] EyeOfHorus ago 

Your assumption that economic growth is contingent on an ever increasing supply of currency or gold is incorrect. There is something drastically wrong with your understand of money supply. So much so that I can't possible teach you. Sorry.

You don't make sense "assuming there is enough gold to pay a doctor more than a miner." Its called supply and demand.

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[–] avgwhtguy1 ago  (edited ago)

I am an economist and I'm trying to teach you. The money supply has to grow with the economy, or deflation will occur to point where pennies have to be cut into fractions (or the dollar becomes useless).