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It does not follow from the post- gold-standard instability of gold that the prior stability was due to market manipulation; the nature of the asset changed fun
by dTal 6y ago
It does not follow from the post- gold-standard instability of gold that the prior stability was due to market manipulation; the nature of the asset changed fundamentally. You might say the gold was "backed by" the financial system, whereas now it's a speculative asset no better than BTC.
- SpicyLemonZest 6y agoThe point is that there was no underlying law of nature attaching gold to the financial system. The only thing "backed by" meant was, the government promised to trade gold and regulate the gold market as required to maintain their declared peg. Maybe it's a bit of a "hot take" to call that manipulation, but I don't think it's untrue or unfair - in some countries (although not the UK) governments went as far as simply prohibiting private speculation in gold.