Quote:
Originally Posted by tabs
The French were tired of supporting an over valued USD. That is the reason why Nixon in 72 decoupled the USD from Gold.
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Gold is finite in its availability and there are real costs associated with its extraction and refinement. On the other hand is fiat money, which can be created out of thin air at virtually no cost and that is is essentially and effectively infinite in its availability. Our government detested and couldn't/wouldn't abide the restraints gold placed on spending.
Work from there and you'll figure out the real reason behind the decoupling.
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