Of the questions you pose... the only relevant answer is that gold was valued in that time...
The reason gold is held in vaults is that it has value... as a metal. I didn't say it has no value. I said it has no bering on the value of currency. Governments keep strategic reserves of crude oil as well. Because there is economic value in having it as well as strategic value. As far as how much gasoline you can buy with an ounce of silver... I'll say it again... it has to do with the appreciation or stability in the commodity price of silver. None of these commodities have pegged monetary values. Their price is set daily on futures markets... and the price is based solely on what traders perceive to be the supply and demand of those items. Again, not the actual demand... the perceived demand.
People often sit here and complain about the price of gas rising while the price of crude has been steadily falling... and nobody seems to be able to explain why. The answer is really quite simple. There's more perception of demand for gasoline at that particular time because that's the game someone is playing today. I sit here and watch the market somewhat, at a distance... and I don't play... because I have no desire to lose money at it. It's nothing more than organized, legalized gambling in my mind. For every winner there is a loser somewhere else.... and the odds are stacked in favor of the ones who have enough weight to shift the market.... or who at least quickly realize the trend and get out before it tanks. Reality in this game is that the market has to cycle up and down for the players to make money... and if you're not one of them you're probably not the one making the money.
You can go on buying gold or silver or whatever you like... but reality is this. If/when the crap hits the fan, the government of the day will find a way to get your gold the same way the government of Greece has raided bank accounts in that country so they can write down some bad debt... so don't think you'll be immune.
I tend to think that if there is a widespread collapse your gold won't really be worth a whole lot. If someone is starving they'll have more need for food than gold... or oil... or tools to grow food. Gold wouldn't be high on my priority list.
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Today's Featured Article - Third Brush Generators - by Chris Pratt. While I love straightening sheet metal, cleaning, and painting old tractors, I use every excuse to avoid working on the on the electrics. I find the whole process sheer mystery. I have picked up and attempted to read every auto and farm electrics book with no improvement in the situation. They all seem to start with a chapter entitled "Theory of Electricity". After a few paragraphs I usually close the book and go back to banging out dents. A good friend and I were recently discussing our tractor electrical systems when he stated "I figure it all comes back to applying Ohms Law". At this point
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