Since the beginning of recorded history, values and the concept of money have played a large part in people's lives. Naturally, wealthy people have chosen to hold gold because of its scarcity, appearance and performance.

The gold standard sets the financial and monetary guidelines for economies and governments. A free banking system based on gold prevents banks from lending more gold than is actually held in their vaults. Due to this aspect, economies became more stable as the risk of collapse (sudden dips in value) was reduced and as they became more predictable. Because the system was forced to discipline itself from the over-issuance of monetary substitutes, a restrictive degree of freedom emerged. Less pleasantly, there is now less and less gold left in the Canadian vaults. So how will the purchasing power of the Canadian dollar be maintained as time goes on?

With a gold standard, then physical assets are included in the process, while the continuous cycle of borrowing will not be eternal. By bringing the excess imbalance system back into balance, there must be a shift away from the previous too casual gold borrowing and lending. Due to the balanced purchasing power of real assets, there will be no deficit spending in the presence of a gold standard. The mechanism of deficit spending - the cinching of money - is also not possible because of the opposite trend of money and gold. While this seems qualified and can be off-putting to governments, the ultimate effect is to set the rules. Gold also helps individuals protect their wealth. With a gold standard, there is then a way to protect your savings from inflation. Not only is inflation unlikely to happen, but if it does, then the physical assets will remain untouched in value.

Since you can't rely on the government to return to a gold standard when it does, why not create your own "personalized gold standard"? In the future you will be assured that the purchasing power of your hard earned salary and savings will not be affected.