Back To The Gold Standard: What It Will Look Like

In this video I explore the topic of China's desire to return to a gold standard.
What I specifically cover is as follows:
- China's current standing in the world and their national strategy.
- What moving to a gold standard looks like (UK 1925 Case Study)
- The consequences to China of moving to a Gold Standard
- The realistic / likely scenario that China will pursue

Be sure to watch to the very end because it is full of useful information.
None of this advice - I am not a financial advisor - this is educational material!

Link to data sources:

UK’s Return to the Gold Standard

China Financial Data

Chinese Economy Graphics

Chinese Trade Data

Manufacturing Competition to China

#china #gold #goldstandard

[baldguymoneyofficial]

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[AllodialTitle]

BRICS plus and the ASEAN countries want a system without western influence. Note, most of the mines will be outside of the west, this could have huge implications.

[georgina]

My father warned me of this in 1976. Everyone thought he was crazy...he wasn't.

[kenderosa]

Excellent video BG. If the gold standard offers 10% coverage, all other currencies would have to follow otherwise their money will be not exchanged. I like the idea of the gold standard because it stops the politician money printers.and the taxpayer finally has some control

[sstrauss]

Your comments about buying graded coins were great. I am a longtime coin collector (over 60 yrs) and short time stacker (12 yrs.). I do both. I buy raw and graded coins for my collection and bullion class coins (sovereign mintage only). This could be pre-WWI gold coins or 90% junk silver. The gold coins, not that long ago could be acquired for premiums as low as 2-4%. Not lately, closer to 6-10%. So, when buying precious metals keep a close eye on premium as well as price.

[kevinw]

I am finding myself giving you "thumbs up" even before you even begin your report! You ask a great question about China. I can tell you how I feel. There are simply no "markets" there are only manipulations, with it becoming more and more difficult to find true value. Hence, I will continue stacking endlessly with gold and silver for the ultimate protection and hedge. Kewep up the good fight.

[wetzel]

A return to the gold standard is impossible in a democracy like the US, because it would require balanced government budgets and sharply reduced government (welfare) spending. This is why all democracies are doomed to fail as Alexander Tytler explained centuries ago. "All democracies are temporary."

[JonBGreen]

I've been asking a I about this and the suggestion it gives is that we have a gradual transition over fifteen years.
In the first 2 years, we would have 10% fact currency.
Within the first 8 years, we would increase it gradually accordingly.
After 15 years of gradualism, we would have a fully gold, backed currency.

We can't go back on a dime. We have to he's back into it, which might have been the mistake Churchill made.

[richardkut]

Michael Every, gets granular on this subject. Breaks down BRICS, gold standard, trade and many other topic. I'm in agreement with him mostly, I believe Peter Zeihan has a good take also. Thanks again.

[pnola]

Great Video! I live in Texas and have become aware that the State of Texas is attempting to vote in a gold-backed digital currency to go into effect on Sept 1, 2023. The Bill awaits a vote in the House of Representatives at this time. There are at least 6 states attempting to do the same. How would passing this Bill impact the rest of the US economy?

[sboegeman]

You are correct - many channels hawk fear as clickbait. The US dollar as the world's reserve currency is not going away anytime soon.

[MC-.-]

One point, in my opinion is, people using gold and silver will have greater buying power as opposed to CBDC

[johnrodriguezu]

Every informative video. Your analogy between collectible coins with bullion would make for an excellent video, giving actual examples. For example, a pre 1933 gold coin in the discussions vs. bullion. Much success in the future.

[mushihimesarna]

It's not to end the dollar, it's the only way out of this mess. Every currency based on debt leads to ruin.

[jimmyb]

Regarding the question about collectable coins... I was at a coin show earlier this year and ended up in a long conversation with an old timer that, after much discussion, was quite bright (he had a high level engineering background with NASA among others). He let me check out some of the high end stuff he was selling and at one point I was holding a pair of graded Morgan dollars that held a total value over 600K.
He said he had bought one of them in the 80s for 15K. He said it was pretty stable, across the board, that numismatics double in price every 7.5 years (with, like Bald Guy said, dips and spikes in cycles).

[jmfjmf]

Valid point I have not considered regarding China not going into a gold backed currency

[paulwilson]

I read an article years ago about a Brazilian millionaire who used to work for the World Bank. He claimed that when a country wanted to progress beyond victimhood and away from 3rd world status they commenced to industrialise & to manufacture. The reverse can be true too.
In the 1700s Britain commenced industrialisation followed by Europe & America. Germany in 1920/30s started infrastructure, civilian & military manufacture expansion, their failed economy improved. The US with its large population and the European Immigrants, all used to hard, long hour working conditions, all worked extremely hard with infrastructure products. The US had shown mass production was good for wealth production, standards of living, its military & defense. Later using that massive workforce & production line, they produced fighting equipment which fueled WW2 and the US bank account. Even though inflation rose after that war by the 1960s, The US was at its supreme military & financial power then. In the 1970s this started to wane, while in the 1980s Corporations commenced to move manufacturing abroard to make more money. Fairly quickly the designs & technology was sent to Asia
While back in the US & the West, people no longer had the skills, the factories, the desire for that type of job, to produce any manufactured goods.
China has been following the same template for many years. They have increasing power & finances just as the US had 70 years before.

[Jackson-lr]

The Philosopher's Stone. In 1980, gold was successfully made by a team of scientists at the Lawrence Berkeley National Laboratory in Berkeley, California.
Nuclear chemists Glenn T. Seaborg, David J.
Morrissey and Walter D. Loveland used a high energy nuclear particle accelerator known as the Bevalac which transformed the metal bismuth into gold. The process is known as
"Chrysopoeia".

[George-nnui]

High grade coins carry a large premium, the manipulated intrinsic value would be plenty to make a profit and at the very least a hedge against the inflation tax.

[sarge]

Bald Guy, nothing scary. They're hoarding Gold cause they know how the movie ends. Period.
This old adage applies today more than ever: "Do as they do. NOT as they say!"
Look up Exter's Pyramid. The tippy tip of the pyramid is Silver (in market value). Once one understands HOW the pyramid works, one will load up on Silver.
Cheers