People who advocate the return of gold standard, and people who advocate the current fiat monetary system argues about how important gold is. So, why not asked the question in reverse, what will happen if there is no more gold? How would the world react? Does that mean gold is important?
Quite a large portion of the human populace still value gold. This value came from a very long common cultural history between us and gold. They don’t attach themselves to this history of traditions out of sentiment only; they seek the wisdom of the old man that created the most simple and effective ways to live in harmony with the universe.
Other visionaries and futuristic part of the society tend to cut this old relation with gold and built new relations with other investments or even ideas. For instance, making a virtual parallel world and migrating the human conscious to this new world. Maybe they would think of choosing a new commodity that has similar qualities as gold, even if it is synthesized, to be the legacy of gold. The migrating to a new world might be a physical mass emigration to outer space or another dimension. So, the economy of the world would immigrate to depend on physical or virtual “new gold”.
Some people would stay in-between, neither supporting nor opposing both extremes. They would go with the flow and wait for whatever side wins, then and only then, after a clear victor is assured, they will go with the flow and annihilate the losers for quite period of time.
A clash between traditional views and futuristic views is inventible. As the human race has always resolved to competitions and fighting in resolving conflicts. Modern means of war are not the same as the old ones. Now, cultural, media and economic battles are the name of the game. Violence and annihilations are the last step to ensure the victory and demonstrate more power. Who knows how future wars would be battled especially if it’s a battle of ideas about gold and the economic system!
In the near future, People who value gold would go on a frenzy knowing there is no more supply of the precious metal. They might fight in cutthroat battles with all possible means, like money, raw power or crime to acquire gold. Synthetic gold research will be the headlines of the news for decades, making purer gold, or any other “new” gold that resemble the old yellow metal. Gold contracts and futures would me more furious and people will be demanding their physical gold delivered, with no or little compromising. At the end, a large slice of the human society will protect their gold with their life, literary.
Other gold bugs and in-betweens will deny their lust for gold, saying they never wanted it anyway. They were just advocating the stability of the monetary system and such things. Or they want to wait and see how these revolutionary ideas of a monetary system without gold would develop, and accepting it as a de facto decades and several years later.
New revolutionary idealistic will be as extreme as their resistance from traditional viewers in this near future. They would have their own zealots and fanatics to win over traditional gold viewers. They will face tremendous resistance, but they will fight back even more furiously. They might ban the word “gold” and its synonyms from every human language. Gold would be a taboo word and a dangerous idea.
Assuming that the futuristic revolutionaries won their war and the world abandoned gold for good. After a period of hypersensitivity to the concept and mass accusations, the economy of the world will settle down for a time. There will be abundance of resources, and everyone will be rich, right? The whole point was to depend on a more common and renewal resource other than the finite gold. But then again, is there any infinite resource? Starting from the atom level, to celestial bodies and galaxies, they are all finite. Even every energy type is finite! Stars fade and dies, minerals deplete, and energy consumed and transform into another form.
Gold is not just the precocious rare yellow metal. There are elements rarer than gold, and there are metals more abundant than gold. Even if people say that they will depend on solar energy, some will cry that the sun doesn’t shine the same amount as other parts in the world and it’s not fair!
If humanity decided to take another standard, it will always be the same as gold. The diversify assets and standards concept is good, but the world was more united during the gold standard more than it is today, at least economically.