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For the first 6000 years we lived in agrarian societies. Production of goods never significantly out paced the production of gold. Additionally the size of the population was
Limited and the need for additional currency wasn’t nessecary.

Now there are more people then the volume of gold can represent and because of the industrial, mechanical, electrical and computer revolutions there are more goods then the value of the existing gold can represent. Gold has no real intrinsic value, no more than any other element or material. It has an assigned value that is abstract. We could assign the same value to aluminum. Gold has value because historically people wanted it and would trade for it no more then that.