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Old 07-16-2011, 04:55 PM  
u-Bob
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Quote:
Originally Posted by Houdini View Post
What's funny is Bernanke is right. Gold, at least in the U.S. and most places around the world, is NOT money, it's an asset. Of course it has been used as money in the past, but it's not right now. If you don't believe me, go to the grocery store and pay with gold coins and see what happens.
I understand what you are trying to say, but I think you're mixing money, currency and legal tender all together.

Gold is a form of money. The USD is a currency. The USD is a form of money. The USD is legal tender.

Meaning: while gold is still a form of money, its use is being restricted not because it would somehow no longer be a form of money but because the government restricts the use of gold and forces people to use the USD through legal tender laws.
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