I dont fully understand gold

940 viewsEconomicsOther

Ive never been able to understand the concept of gold. Why is it so valuable? How do countries know that the amount of gold being held by other countries? Who audits these gold reserves to make sure the gold isn’t fake? In the event of a major war would you trade food for gold? feel like people would trade goods for different goods in such a dramatic event. I have potatoes and trade them for fruit type stuff. Is gold the same scam as diamonds? Or how is gold any different than Bitcoin?

In: Economics

30 Answers

Anonymous 0 Comments

It’s easy to tell how pure gold is- you put it over a flame. Pure metals how very high melting points and the purer they are, the higher the melting point. Pure gold melts at over 1000C, but gold mixed with silver and copper, although it looks like gold, melts at much lower temperatures.
It’s also seriously dense, so weighing it is a good way of checking if it’s the real deal.

You are viewing 1 out of 30 answers, click here to view all answers.