Gold backed global currency On what planet is there going to be a single global currency? Look what is happening in Europe. At what price would you peg gold for this incredible development?
Gold pegged too high and everybody with a pick and shovel will be digging up gold. peg gold too low and it would close down most of the mines. What about the volatility? What about China that is the largest gold producer? Is the U.S. going to be at the mercy of Chinese monetary whims? This is a dream of gold backers that was once used when gold was pegged because the U.S. could do it. We can't do it any more and to get hundreds of countries to agree to it is just not possible.