Uno or Geo?

[kmccune]

8)Would a universal currency based on the World GDP work-Kevin

[CanNerd]

The governments seem to think so. The question is how often are the governments doing the right thing.

[Buck]

The danger in a "world currency" is the leveling effect it would have
on value and buying power. That and currency traders would go broke.

[kmccune]

Well maybe I should rephrase,could a hyperflation currency,that is honored everywhere exist?-Kevin

[Captain_Sternn]

Well maybe I should rephrase,could a hyperflation currency,that is honored everywhere exist?-Kevin

Not to be rude but do you even know what you are talking about? A world currency based on something concrete, even if it is a basket of statistics, wouldn't hyperinflate. A hyperinflating currency would be based on nothing more than promises of beaurocrats and the speed of their printing presses. So the question is, which are you talking about, a currency based on the production of the nations of the world or the promices of the UN?

[kmccune]

;DNot really,I made this post to find out a little info.Could there be a universal currency that was worth the same in Egypt or the US or anywhere else for that matter?I never claimed to know what I was talking about-but I do know "that whoever has the gold makes the rules"-I suppose what I really want to know is can a mans labor or productivity be the same world round(worth the same and not based on some worthless paper printed to bulk up the supply)they can keep track of everything else why cant productivity be averaged on a daily basis? I love barter and know its hard to digest linen stock when SHTF-Kevin

[idris]

Only if it were based on something real and readily accepted by all buyers and sellers. Historical examples: Copper, Silver, Gold, Cocoa Beans, Pemmican, Salt; Salted Herring; Labor, whether free or not; Bolts of Cloth; Livestock; Skills; other useful stuff; Promissory Notes for the like. You get the picture. If the p. note has a use-by date, it prevents hoarding.
Inflation, I guess, is a result of Demand exceeding Supply to the point of imbalance. I also reckon that charging interest plays a big part. If lenders acted as underwriters instead of usurers, things ought to be more stable than a system that accepts unnecessary risk, & the SHTF with a wider spray than a mere bad investment!
Also GDP, or Gross Domestic Product, is but a tally of every cash exchange, whether the some $50 changed hands 100 times, or $50,000 changed hands once. Never could get what that tells us. ::) Five rich folk had a *party; fifty dolts ate out; five hundred other folk got by.

[kmccune]

Thanks Idris,good points-all I really want is a currency that would be good or recognizible from Estonia to New Zealand-Kevin

[idris]

Thanks Idris,good points-all I really want is a currency that would be good or recognizible from Estonia to New Zealand-Kevin

There was a time, not so long ago,that the answer was Gold.Silver, & Bronze or Copper coinage.

[kmccune]

Any chance of that happening now?I know nontraditional noble and precious metals are still a pretty fair investment.-Kevin

[idris]

The theory is that the value to mass ratio would become lower when in general use, tho, looking at how rich the rich were in those times, compared to the rest, I wonder what it would be like. Also, there were, and still are, several ways of comparing silver to gold coins: so many coins of such-and-such a weight to whatever number of whatever weight. Then one would have to assay and weigh , to detect that the face value tallied with what one had in hand. The Riyal was the Real, the Dinar, the Denarius, it is a system that lasted long, but was not free from flux in its buying power, tho that would be due to flux in supply and demand. I must your question thru the web. Tis a matter for research, as I find it of great interest. Found this:

http://www.gocurrency.com/articles/universal-currency.htm

http://blogs.wsj.com/chinajournal/2009/03/24/zhous-february-speech-hinted-at-call-for-a-universal-reserve-currency/ (http://LINKADDRESS)

[kmccune]

Good job Idris, some of of this smacks of NWO-I think its coming(left or right, doesnt matter-both poles will attract steel).But the point was made that a trillion (dollars) would be saved and could be used for charity{ unlikely in my opinion}.Thanks for the interest and info, Idris-Kevin

[Michael32170]

The danger in a "world currency" is the leveling effect it would have
on value and buying power. That and currency traders would go broke.


Exactly...Historically, these things have been defined at a disadvantage to the US.

[Michael32170]

*A world currency based on something concrete, even if it is a basket of statistics, wouldn't hyperinflate.

You mean like oil didn't hyper inflate? Supply and demand will drive hyperinflation when ever a country starts going broke, then the demand for the commodity will drive inflation.

[Michael32170]

You mean like oil didn't hyper inflate? Supply and demand will drive hyperinflation when ever a country starts going broke, then the demand for the commodity will drive inflation.


You mean like the tulips didn't inflate?

[idris]

So: supply & demand: the perceived value of any goods or services can have more force in the market than their actual value. The Medium is the Massage; a Fool & his Money are soon parted; Need is never proportionate to Usefulness.