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tastyfreeze 12 hours ago  [ - ]

Oh no! You have found the fatal flaw of using paper currency backed by anything. Before 1913 money was gold and silver. Not paper bills backed by those metals.

Many people doubt that returning to gold and silver coinage is possible. Going to gold backed currency is a step in the right direction.

A full reserve requirement might work for paper currency. But the only way the plebs that are stuck with paper can truly secure their wealth is to use metal the same as countries do.

PaulDavisThe1st 9 hours ago  [ - ]

Congrats on missing my point.

  1. old situation: currency backed by full (gold) reserve
  2. actual political decision: currency no longer backed by full reserve
  3. result: currency no longer backed by full reserve

  1. possible political decision: return to currency backed by full (gold) reserve
  2. possible political decision: currency no longer backed by full reserve
  3. result: currency no longer backed by full reserve
To whatever extent government could return a full-reserve backed currency, government can move away from that again. Thus, there's no builtin security for anyone in a return to a full reserve backed currency.

If no government in the history of the world had ever done this, then arguing for a full-reserve backed currency might have a bit more weight. But they have, and it really has done.