Bad money drives out good money
In West Bekasi, where I live, there is a mall called Bekasi Cyber Park where there are many shops selling PC-related equipment, such as ITC Manga Dua in Kota and Ambassador Mall in Kuningan.
The microphone inside my PC was not recognized, so I came to buy an external microphone and an earphone jack diverter, but I was almost forced to buy a defective product without a cap.
Among the inventory of goods, it is a reasonable economic activity to protect one's own asset value by keeping good goods of high real value as much as possible and letting go of defective goods of low real value first.
As a result, "Gresham's Law" kicked in, with the result that the good ones were eradicated from the distribution process, and this is the same reasoning behind wanting to use the old, dirty bills in your wallet (partly because your wallet gets dirty and you want to release them quickly).
Selling defective products first or later is the same in terms of revenue flow, but in addition to the fact that the product stock stored in the warehouse will be valued differently, there is also the risk of lost opportunity that a customer coming in tomorrow will leave without buying.
I also exported furniture and goods from Bali and ran a boutique on the island, so I understand how much he want to let go of the defective products as a businessman, and it's natural that the quality of service is higher for patronizing customers than for one-way customers like me.
Soaring Gold Prices
With the Chinese consulate in Houston closed on charges of espionage and intellectual property violations in the U.S., and China ordered the U.S. consulate in Chengdu closed in retaliation for this, the price of gold has risen in the midst of what is becoming a cold war between the U.S. and China.
This year, the global economic stagnation caused by the corona pandemic has driven "emergency gold buying," but the idea that gold is more trustworthy because it is a real asset with value in its own right, has been around for a long time, from the days of the Roman Empire to the post-war IMF system,.
The floating exchange rate system, in which the relative value of currencies such as the yen, the dollar and the rupiah is determined by market principles, is not trustworthy in times of emergency.
Since the price of gold has been moving at the level of 1 juta per gram of gold recently, the original meaning of "bad money drives out good money" is to describe the event that if 1 gram of gold coins were in circulation as money, only paper money would be available on the market as a result of the rupiah notes being used first, leaving gold coins on hand in the event of a corona pandemic.
In Japan, it is not customary to use gold to create wealth, but in China, Taiwan, Hong Kong and other Chinese countries, as well as Thailand and Indonesia, physical gold holdings are common, especially among Chinese Indonesians.
In Padang, Sumatra, where my business partner is from, he told me that the biggest risks in protecting property are thieves and fire, because the gold standard of living is still deeply rooted and gold is always kept in the house.