GOLD RESERVES AND THE GLOBAL FINANCIAL CRISIS

ELENA STAVROVA

 

Abstract

The dynamic transactions between investors in gold-seekers of their money in a volatile market and depreciating currencies caused fever in international markets and led to a further increase in gold prices to new heights missed. Driving in the past, held up as one of the factors responsible for the opening of the American continent, now investors monitor changing market quotations of gold.
This inevitably raises the question whether we are witnessing another price bubble as unstable level (whether positive or negative) of an asset, currency or commodity to its true value.
The question produced its dominant sound in the background of huge government debt of countries with substantial gold reserves, jeopardized economic growth and stability of the euro area and global finance as a whole.
Get historical place of gold as an object of exchange, factors affecting demand and increased its importance as an investment tool for central banks and governments is the purpose of this paper.

 

Key words

gold reserves, gold standard, government debts, reserves convertibility.

 

References

Stanford Encyclopedia Of Philosophy, Aristotle, First published Thu Sept. 25, 2008
Farchy, J. (2011), Soros sharpens gold bubble debate, Financial Times, 20 of May 2011.

Мишкин, Фр., (2003), Теория на парите, банковото дело и финансовите пазари, Отворено общество, С., 106-109.

www.imf.org

 

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