04-19-2016, 09:23 PM
That Forbes article is slick. It goes from analyzing barter systems, tangible goods for tangible goods, to claiming paper money backed by gold is the same thing. False comparison since the prison cigarette trade wasn't based on an inmate handing another inmate a piece of paper representing a cigarette. He handed the other inmate an actual cigarette, not a "receipt" for a cigarette. Drugs for Tide, not drugs for a piece of paper representing Tide.
Can you direct me to an explanation of when, historically, gold and silver as direct forms of exchange were assigned a specific value by law? For example, in ancient Rome was a value directly assigned to gold by law and what was that value exactly? Or was it simply that everyone that used it as money determined, by free market principles, what gold would purchase?