Lots to unpack here and I’m not looking to tackle all of it, but going back to any metal standard is a terrible idea. The value of a Fiat currency is based on the shared belief in it’s value, whereas a metal standard currency has its value in the shared belief in the value of the metal. No gain, but pushing the problem one step down the chain.
The substantial downside of metal standard currency is that it causes a scarcity in the metal compared to the amount needed for currency, leading to deflation. Suddenly you have a currency which encourages people not to spend as the currency is expected to be worth more in the future; the currency fails at it’s only job: facilitating trade.
Lots to unpack here and I’m not looking to tackle all of it, but going back to any metal standard is a terrible idea. The value of a Fiat currency is based on the shared belief in it’s value, whereas a metal standard currency has its value in the shared belief in the value of the metal. No gain, but pushing the problem one step down the chain.
The substantial downside of metal standard currency is that it causes a scarcity in the metal compared to the amount needed for currency, leading to deflation. Suddenly you have a currency which encourages people not to spend as the currency is expected to be worth more in the future; the currency fails at it’s only job: facilitating trade.