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It's not even technically attainable for USD. If China places huge market orders for a basket of commodities with USD, USD would lose purchasing power wrt the b

by zodiac 9y ago

It's not even technically attainable for USD. If China places huge market orders for a basket of commodities with USD, USD would lose purchasing power wrt the basket for a short amount of time (I think a few seconds is possible).

justincormack 9y ago
The USD is not pegged to commodity prices.
- zodiac 9y ago
  You're right - what would you say it is pegged to?
  - splintercell 9y ago
    Literally nothing.
    - zodiac 9y ago
      Then what does the feds 2% interest rate target? Nothing?
      - splintercell 9y ago
        The fear of Inflation. But USD is not pegged to anything.
        zodiac 9y ago
        Inflation measures USD purchasing power- how do you think that's measured?
        splintercell 9y ago
        So your claim is "USD is backed by X", it's just that I can't see the X, so tell me, what is USD backed by, without mounting an assault on the term "backed by". Backing means, some concrete promise or claim. USD has no concrete claim or promise behind it.