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 Replies: 51 / Views: 4,713 |
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Pillar of the Community
614 Posts |
I was brainstorming today. Do you all remember the time when money was worth, well money. Do you remember when we had acctuall proof that our money stood for something except for a "Legendary" gold cache in some military base? Before 1964, you did not need proof in America. You had it in your pocket change. The Silver that the coin stood for, was in the coin itself. I have an idea. I understand that silver is an extremly volital material right now and that its prices are virtually un-predictable. So I have following Idea. The United States government should introduce the following coins. We should have a $5 silver coin, which would contain only 1/10 of an ounce of silver. This way, the coin acctually represents something, without the material costing more than the coin. Also, we should have a $10 silver coin. Which would have 1/5 of an ounce of silver in it. Now I know what you all think. People are going to hoard them. That is true, for the beggining. At first, people are going to hoard them. Soon after though, they will go on the internet and find out the ammount of silver in them and the cost. The people will realize that its not worth holding on to, and release them into circulation. This method, if it works, will give a flooding amount of money into the treasury as the coins will gradually replace 5 and 10 dollar bills, saving tons of money wasted on the printing of bills. If America does this successfully, many nations will soon follow. This would cause the return of the silver standard, and who knows, maybe even the gold will reappear in $100 coins!  Sorry for my rant, just wanted to say this for a loooong time.   |
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Valued Member
United States
76 Posts |
How in the heck are we going to finance all these wars and military adventures all over the world if we do that? We need to be able to print more and more money for the prison-industrial complex and the "war on drugs" and all that cool stuff. You should know that! ;)
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Pillar of the Community
 614 Posts |
Well maybe we should take a small brake from our adventures and let the benefits of having silver in money flow in. :) Also, it will be harder to transport money for drug cartels because they will need to use coins! This makes their cars slower and easier to catch. Now that, is called killing two birds with one stone! :D
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Pillar of the Community
United States
2130 Posts |
I understand exactly what you are saying. But, I don't like carrying $1 dollar coins in my pocket. Imagine $5 & $10 coins in your pocket. If they do something like this, then I will buy stock in the belt & suspender market.  |
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Pillar of the Community
Canada
3692 Posts |
That weight won't slow their 4x4 trucks and myriad of other sneaky ways of smuggling, nor will it deter holdups and heists.
Fiat money allows for expansion of economy, but right now I think it's reached its peak and we should return to sound money temporarily just to stabalize and sustain the good things we have going.
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Bedrock of the Community
13014 Posts |
Its not a bad idea but before there would ever be a chance of it we would need to get rid of the penny and the dollar bill.
For what its worth its basically impossible for us to have enough gold for the amount of money we have out there. Its basically worth what it is for not other reason then because we say so
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Pillar of the Community
614 Posts |
I completely agree with the fact that the penny and $1 bill have to go. I think the Nickel could be added to that list as well. I also think that the $2 bill should leave as well and a $2 coin be introduced in its place.
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Bedrock of the Community
13014 Posts |
Tzarmarko I agree the nickel should go too, if were going by purchasing power really the dime go go too. I just dont think that theres any chance of anything but the penny and or the 1 dollar bill going anytime soon and at least the penny should have gone about a decade ago or more.
It would be nice to see some silver back in coins as the heavy feel is so much better than the lighter cheaper metals theyre trying to go for now.
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Valued Member
United States
73 Posts |
We definitely need a congressman member to introduce our ideas into a bill however I don't it would ever get off the printer before going to the shredder. I like these ideas. maybe we should overthrow banks and replace them with depositories for Americas new money  Cape diem Coupe d'etat Edited by 1inamillion15
06/14/2012 7:12 pm
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Bedrock of the Community
13014 Posts |
Someone needs to pass around a bunch of old morgans or something so people can feel what real dollar coins should feel like.
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Pillar of the Community
United States
3294 Posts |
This will never happen because that would not allow the government to just print money to pay off debts it has accrued. They would have to go and find silver. Besides, what your plan neglects is what would happen if silver went to $50/oz or higher? Those $5 and $10 coins would be in the same boat that pennies are right now, and while the government can justify losing a few million on pennies, they would have a harder time when each $5 coin costs $6 or more to make.
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Valued Member
United States
73 Posts |
maybee a lesser alloy mix?
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Bedrock of the Community
Australia
21786 Posts |
The U.S. was never on a silver standard, and came off the gold standard in 1933, to adopt a fiat money system. The rarity of the '33 Double Eagle is involved in this. All of the World's currencies are fiat currencies now. Silver certificate currency was withdrawn at about that time also. Can't remember the exact year.
Silver was withdrawn from the circulating coinage ststem in 1964. No country in the World now issues silver in it's circulating coinage.
If the U.S. were to 'go it alone' and re issue silver in circulating coinage, Gresham's Law would apply with a vengeance. The circulating silver coinage would either hoarded by U.S. Citizens or smuggled out of the as quickly as it was isssued. That is why you NEVER see silver coins in circulation, although they are perfectly legal to use.
Everyone would just take the silver coins out of circulation, to re sell them at their bullion value or export them illegally, for a huge profit.
The cost of completely replacing all of the coinage with silver would cost the U.S. taxpayer much more than they would be prepared to pay.
Mexico tried this experiment in the 1990's with a silver cored 10 and 20 Peso, and those coins did not stay in circulation. They were all hoarded, the same as in the U.S. with all pre '64 silver.
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Pillar of the Community
614 Posts |
Thats what I said. If people will hoard, eventually they will realise that its just not worth it because the metal isn't worth that much. I agree that the alloy should be just made less and less if the price goes higher. If it goes lower, the alloy of silver should increase. This way, it easily fluctuates without changing the coin.
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Pillar of the Community
United States
4897 Posts |
Quote:
the alloy should be just made less and less if the price goes higher. If it goes lower, the alloy of silver should increase. This way, it easily fluctuates without changing the coin.
 really? Think about that a bit more... Edited by amida17
06/14/2012 7:51 pm
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Bedrock of the Community
13014 Posts |
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If it goes lower, the alloy of silver should increase. The problem with that is once it goes higher again all those coins would disappear every time. It seems that once the silver content is lowered its never raised again. Its really not an idea that could happen but it is fun to think about. I like the heavier weight of the older coins and really hate some of the new lightweight metal type coins I've come across from other countries |
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Replies: 51 / Views: 4,713 |
Posted 06/14/2012 5:47 pm
