I dont fully understand gold

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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

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Anonymous 0 Comments

Diamonds aren’t all that rare. Prices are kept artificially high by a handful of corporations (i.e. DeBeers). You can grow Diamonds in a lab, and generally speaking, they’re actually higher quality than natural diamonds. You cannot grow gold in a lab. It’s theoretically possible, but the pressure and energies would require contained fusion technologies we don’t have.

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