I am bullish on silver and gold. But one of the major criticisms of fiat is that it can just be easily printed. If we went to a gold standard or silver standard, then you could just mine money. Not all of the silver/gold in the world is mined, so that would cause inflation too, wouldn't it?
Also, as more people are born, more stuff is produced, so wouldn't there eventually be very little precious metals compared to the amount of items out there?
For example lets say there are 10 people on the planet and 10 silver coins. The income is set at 1 coin per person
But if the amount of people double, theres too high a demand for silver money. Would prices just have to keep deflating as stuff was made more efficiently?
Not to mention it would be a pain to have to carry around so many coins with you...I hate change, I would much rather use my debit card.
Still bullish on metals, but a a less manipulated currency makes more sense to me than precious metals as currency. I think money should be printed, just not as much as is currently being printed. Anybody who knows the IS and LM curves should understand why money is not zero sum.