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<p>[QUOTE="Alegandron, post: 26632615, member: 51347"]I grew up with understanding gold/silver ratio as those metals represented real money. However, since we decoupled silver/gold from money in the US during the early 60’s and 70’s, it is a waste of thinking on the gold/silver ratio.</p><p><br /></p><p>Now the metal commodities are not used as Money, but represents real value decoupled from Money.</p><p><br /></p><p>Gold is the historical, psychological confidence in the value of wealth.</p><p><br /></p><p>Silver is partially that, but has an industrial value also.</p><p><br /></p><p>Relative Gold and Silver are decoupling from each other as a ratio relevance.</p><p><br /></p><p>Today’s money is pure Fiat, and is only paper with a value written on it. Since the inception of the Fed in early 1900’s, Fiat Paper represents perhaps 1%? of that original stated monetary value on that paper.</p><p><br /></p><p>Ergo, I think we should look at the <b><span style="color: #b30000">REAL Fiat Money Ratio of TOILET PAPER to FIAT PAPER Money</span></b>…</p><p><br /></p><p>perhaps that is a better Ratio as you are trading time-devaluating Fiat for a useful commodity! (Unless you are an avid user of bidets).</p><p><br /></p><p>Just a thought… <img src="styles/default/xenforo/clear.png" class="mceSmilieSprite mceSmilie1" alt=":)" unselectable="on" unselectable="on" />[/QUOTE]</p><p><br /></p>
[QUOTE="Alegandron, post: 26632615, member: 51347"]I grew up with understanding gold/silver ratio as those metals represented real money. However, since we decoupled silver/gold from money in the US during the early 60’s and 70’s, it is a waste of thinking on the gold/silver ratio. Now the metal commodities are not used as Money, but represents real value decoupled from Money. Gold is the historical, psychological confidence in the value of wealth. Silver is partially that, but has an industrial value also. Relative Gold and Silver are decoupling from each other as a ratio relevance. Today’s money is pure Fiat, and is only paper with a value written on it. Since the inception of the Fed in early 1900’s, Fiat Paper represents perhaps 1%? of that original stated monetary value on that paper. Ergo, I think we should look at the [B][COLOR=#b30000]REAL Fiat Money Ratio of TOILET PAPER to FIAT PAPER Money[/COLOR][/B]… perhaps that is a better Ratio as you are trading time-devaluating Fiat for a useful commodity! (Unless you are an avid user of bidets). Just a thought… :)[/QUOTE]
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