Gold As Monetery Exchange - Price History

Gold has been widely used around the world as a vehicle for monetary exchange, either by issuance and recognition of gold coins or the amount of empty iron, gold or via conversion of paper instruments by establishing gold standards in which the total value of issued money is represented in a store of gold proposal.

Gold Standard Bar

The first gold coins of the Greek age hit in Lydia in 700 BC when approached for years. Talents of gold coins that are used during the period of Greek history prior to and during the life of Homer weighed between 8.42 and 8.75 grams. From previous preference in the use of silver, the European economy back erect minting gold as currency for centuries of the thirteenth and fourteenth centuries.

However, production has not grown in relation to the world economy. Today, gold mining output declined. With the sharp growth in the 20th century, and increasing foreign exchange, the world gold trade market recommendations and they have become a small part of the whole market and currency exchange rate fixed to gold is no longer maintained.

At the beginning of World War I fighting countries move to fractional gold standard, inflate their currencies to finance the war effort. After World War II gold replaced by a system of currency conversions follow the Bretton Woods system. Konvertibilitas gold standard and direct from the currency to gold have been abandoned by world governments, replaced by fiat currency to replace them. Switzerland was the last country to tie the money currency with gold, but supported 40% of its value until the Swiss joined the International Monetary Fund in 1999.

Pure gold is too soft for day-to-day monetary use and is usually hardened by alloy with copper, silver or other base metals. Resultant gold rate measured in carats (k). Shown as 24k gold. English gold coins intended for circulation from 1526 into the 1930's which is usually a standard 22k alloy called crown gold, for hardness (American gold coins for circulation after 1837 contain slightly lower amount of 0.900 fine gold, or 21.6 kt).

Although the price of some platinum group metals can be much higher, gold has long been considered the most desirable of precious metals, and its value has been used as the standard for many currencies (known as the gold standard) in history. Gold has been used as a symbol for purity, value, royalty, and particularly roles that combine these properties. Gold as a sign of wealth and prestige ridiculed by Thomas More in Utopia brochure. In the imaginary island, gold is so abundant that it is used to make chains for slaves, tableware and lavatory-seats. When ambassadors from other countries arrive, wearing a flashy gold jewelry and badges, the Utopian their offense to gross servers, paying homage instead to the most modest dress of their party.

Source: Wikipedia