The world gets a new monetary system every 30 or 40 years, and it's past time for a change.Financial educator and precious metals expert Michael Maloney has made this observation, based on his extensive study of economic cycles, for years. We had the classical gold standard from 1871 until World War I, the gold exchange standard between the two world wars, the Bretton Woods international monetary system from 1944 until 1971, and since 1971, the entire world has been on the dollar standard.
"So we are already overdue for a new worldwide monetary system," Mike says, "and this is a normal thing. It will be this way as long as governments don't allow the free markets to work."
The Federal Reserve fiat currency system causes wealth concentration, loss of purchasing power, rising prices, and only rising income for a small percentage. Study the Federal Reserve and you will find out how wealth is concentrated in our fiat debt based currency monetary system. Yes, people will have to own precious metals to benefit from the transfer of wealth. This is not investment advice.
They probably first will try a basket of currencies like the SDR, and backed by a small amount of gold. This will not last long, because they can still manipulate the currencies, and the market will force the world to go back to a precious metal standard. All precious metals would have to be on the table, because theirs a massive amount of currency to cover, or gold and silver get revalued at 5,000 and 500 respectively to start the precious metals standard. 1st county = world reserve currency everything ultimately boils down to a barter system. gold and silver retain value because people want them. i don't think they would work as a currency though, because supply is too limited to provide liquidity and allow growth.
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