Sturdy central bank gold buying since 2009 and a rising gold price has grown the precious metal’s share of global international reserves to the detriment of fiat currencies. By the end of 2023 gold surpassed the euro and the next fiat currency to be challenged is the US dollar.
These graphics beg the question: what happened to gold in the 1970s, 1980s, and 1990s? It was rejected emphatically in favor of fiat currencies. The question is this: do most countries feel they have benefited from this change, or do they regret the move?
I would say that the governments of these countries completely understand they benefitted, as otherwise, they would not have been able to expand the money supply and nominal growth without the fiat explosion. as they don't care about real values, they believe all is right with the world
I think we're in the midst of a tectonic shift away from dollar dominance. Political changes in the US could slow, or even reverse the trend. The current crowd is hoovering up as much of the world's wealth as they can, jockeying for position before the next world war rearranges the board.
These graphics beg the question: what happened to gold in the 1970s, 1980s, and 1990s? It was rejected emphatically in favor of fiat currencies. The question is this: do most countries feel they have benefited from this change, or do they regret the move?
More on that here https://www.gainesvillecoins.com/blog/gold-wars-us-vs-europe-during-demise-bretton-woods
I would say that the governments of these countries completely understand they benefitted, as otherwise, they would not have been able to expand the money supply and nominal growth without the fiat explosion. as they don't care about real values, they believe all is right with the world
I think we're in the midst of a tectonic shift away from dollar dominance. Political changes in the US could slow, or even reverse the trend. The current crowd is hoovering up as much of the world's wealth as they can, jockeying for position before the next world war rearranges the board.