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https://economictimes.indiatimes.com/mf/analysis/gold-the-new-currency/articleshow/76523296.cms

Gold: The new currency?

Last Updated: Jun 23, 2020, 11.08 AM

By Chirag Mehta

Last Sunday, I was sitting next to my 82 year old grandfather as he read the Sunday edition of a newspaper. It has been his Sunday morning routine for the last 25 years since he retired from a public sector bank. He came across an article on the current pandemic soon morphing into a financial crisis, and how the central bankers are trying to combat the crisis.

After reading the news he asked me, “Do you know about these bailouts and stimulus packages coming out of the U.S.?”
I replied: "Yes."
Grandfather: "Trillions of dollars, right?"
I: "That's right."
Grandfather: "They don't really have the money, though, do they?"
I: "No, they don't."
Grandfather: "And so they are just going to print it, aren't they?"
I: "Yes, the central bank would print the currency and allow the government to borrow money."
Grandfather: "Out of nothing? Is there any real backing, like Gold in earlier days?"
I: "NO."
Grandfather: "But that's not right, is it?"

Article continues. Well worth a read in it's entirety.