Syndicate
Foreign Dollar Debt VS Gold Money
The Foreign Held Dollar Debt: Something that is occurring due to the structural trade deficit is that foreign financial benefit is holding the Greenback. These types of benefits can work against the Greenback if they were just to sell off their holdings of bonds. This is obviously something that places us in an unstable place and makes gold something essentially important for those that are aware of the dangers this all could bring about.
Gold as Money: History has showed us on many occasions how gold has been used by humans as a store of value and a means of exchange. If you were to imagine using gold as money in this day and age, it would seem somewhat outrageous as the world is going towards eliminating currency since everybody uses debit and credit cards. However there are many investors that know about the dangers of an economic crash and have decided to put gold away as a means of being able to use it as money just in case.
In most cases, people that own gold would sell their gold for the currency that is being used at the time by going through the services of a gold exchange. This would then allow them to use the currency they have to purchase what they need or want. There are people though that are under the belief that in an economic breakdown with out any dependable currency at disposition, that people would have to hand to hand barter transactions between individuals in which gold would be used as currency.