is gold money ?, page-25

Woolworth's has taken gold as payment. In the era of the gold standard every unit of currency running around in the economy was backed by gold. In other words the paper note was just a practical medium representing a certain amount of gold. The actual hardware(paper note) was worth nothing, the worth was in what the note was representing. Now paper notes are backed by nothing. More notes or digital money is flooding in thus debasing the currency further. Thats the basis of why gold is moving up. Smart money moving out of a fiat currency and moving into something tangible. Relative to the greater market the gold buyers are very small. That and the continue creating money out of thin air is the reason why gold has got long term legs and the nominal figure we are seeing today will viewed as very cheap in the future. Proud to be part of that market nearly 10 years ago.

Woolworth's wouldn't accept gold for 2 reasons. The impractically of it and lack of understanding what money really is. Very few people in society understand what money is. Gold knockers usually don't.

But we'll continue to look at this from a one dimension perspective shall we!