Since the Koborg Bank is the Attland's official central bank (the government treasury does not engage in printing or coining most of the country's money), and the gold standard introduced in May 2007 means that the amount of money issued depends on the price of gold, one would think that the financial situation of the island nation would fluctuate with the ups and downs of gold.
On the contrary, however. The price of troy ounce hovers just about $1000, while elsewhere in the world it has dipped to $756.70 today.
The price disparity, discussed previously, depends more on how the gold price is set, and the procedure is by no means dependent on the spot market or the London fix.
The Queen holds a weekly, or if a world commodity situation requires, a daily meeting on the gold price wherein she and undisclosed experts examine the amount of gold having been brought into the island within the past 12 hours, the amount of gold purchased from the island gold mine industry, and the balance sheet of the Koborg Bank gold account with the retail banks and other institutions.
Since the amount of gold is always in deficit, supported by minimal credit debt incurred by institutions and the public, the price of gold naturally will be significantly higher than the world spot market. See chart.
On the contrary, however. The price of troy ounce hovers just about $1000, while elsewhere in the world it has dipped to $756.70 today.
The price disparity, discussed previously, depends more on how the gold price is set, and the procedure is by no means dependent on the spot market or the London fix.
The Queen holds a weekly, or if a world commodity situation requires, a daily meeting on the gold price wherein she and undisclosed experts examine the amount of gold having been brought into the island within the past 12 hours, the amount of gold purchased from the island gold mine industry, and the balance sheet of the Koborg Bank gold account with the retail banks and other institutions.
Since the amount of gold is always in deficit, supported by minimal credit debt incurred by institutions and the public, the price of gold naturally will be significantly higher than the world spot market. See chart.
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