Maintaining Gold Reserves

Discussion in 'Commodity Futures' started by DallasCowboysFan, Nov 30, 2016.

  1. During the hyperinflation of the 1920's and right after WW2, people were buying homes for .10 on the Deutsche Mark / Reichsmark throughout Germany. You could buy a home for literally pennies. I read a book about WW2 (After the Reich ....excellent book) and in Berlin they were trading unsmoked cigarette butts for window panes.

    If things got really desperate and you had to trade gold and silver for food etc...you are likely to get shot during the trade.
     
    #21     Dec 1, 2016
  2. java

    java

    Yeah, you don't want to be trading gold for firearms or ammunition. Maybe something to read if the person seems nice and shares similar interests.
     
    #22     Dec 1, 2016
  3. dealmaker

    dealmaker

    The book to read about that period and hyper inflation is "When Money Dies" by Adam Fergusson.
     
    #23     Dec 1, 2016
    DallasCowboysFan likes this.

  4. Thanks, I'll check it out. It seems to be highly rated.
     
    #24     Dec 1, 2016
    dealmaker likes this.
  5. dealmaker

    dealmaker

    "Gold is money, everything else is credit" - John Pierpont Morgan
     
    #25     Dec 4, 2016
    DallasCowboysFan likes this.
  6. dealmaker

    dealmaker

    In Zimbabwe they have One Hundred Trillion Dollar note...
     
    #26     Dec 6, 2016
  7. Sig

    Sig

    Had, they gave up on having their own currency in 2009 and finished demonetizing this spring.
     
    #27     Dec 6, 2016
    dealmaker likes this.
  8. Zimbabwe have not...they have recently printed new notes and their dollar has the same parity as US dollar i.e. their 1 zimbabwe dollar = 1 US dollar

    So I expect with strong US dollar coming, smart people in Zimbabwe are exchanging Zimbabwe dollar for US dollar while they can :) a phenomenon known as Graham's law - bad money drives out good money
     
    #28     Dec 11, 2016
  9. Sig

    Sig

    A number of currencies including the dollar are legal tender. Much like Bahama and Panama, they print their own currency which is used in small day to day transactions but anything major ends up in dollars and since the currency is backed by dollars there's no danger of hyperinflation. I believe it's just coins and small notes in Zimbabwe, makes sense given the logistics of getting U.S. coins to Zimbabwe.
     
    #29     Dec 11, 2016
  10. http://www.wsj.com/articles/cash-st...rs-for-dollarsat-fluctuating-rates-1480428000

    I think it's different in Zimbabwe.
    Looks like the corrupted govt is trying to print off more Zimbabwean notes in the future to replace US dollars since they are short of US dollars to pay bills to their employees.
    I think sooner or later, they will face the some super inflation again.
    They're kind of people who never learn
     
    #30     Dec 11, 2016