How is a country having too much money a problem(gold)?

gold has few uses - can't eat it, instance, , it's terrible building material because pure gold soft (that old western trope of biting piece of gold based on fact actual gold soft enough bend human effort). today, gold can used industrially jewelry, dentistry (gold can used in tooth fillings), , electronics (it's pretty conductor of electricity, , softness makes relatively easy bend how like); note 16th-century spain 2 latter uses don't apply.

makes gold , other precious metals such silver valuable recognizable , not degrade on time, extremely useful constant stores of value. makes them excellent medium of exchange (i.e., currency) - instead of bartering (waiting long time find give 2 sacks of wheat trade pig), can use gold/silver/whatever speed along trade (even things such sea shells, cows, , stone wheels weighing ton have been used purpose - gold widespread because easy carry , had value people across cultures agreed on). note need not gold - aluminum more expensive gold because hard find naturally in pure form (the top of washington monument plated aluminum because expensive metal known @ time) until late 19th century, when technology made extracting aluminum ore easier , made supply of metal skyrocket, causing price crash , making can buy roll @ local supermarket.

spain during 16th , 17th centuries able plunder great deal of gold, exploits in new world. thing is, gold after , not other possible exports, domestic price of things food shot dramatically (if had twice money else stayed same, prices become twice high well). in addition, age of mercantilism, age when trade between different countries highly discouraged , outright banned political , nationalistic reasons, sudden influx of gold caused unrest , hardship when ordinary spanish people couldn't access new gold had hard time buying things needed live.

newfound gold encouraged expensive military adventures spanish crown, further hurt spain's finances when easily-acquired gold no longer attained - spain ran out of money 5 or 6 times 1700, getting around kicking out banks had been financing crown , asking money back. spain's colonies, meanwhile, lot less profitable spanish had focused more on getting , sending gold , less on trying develop lands had conquered.

i remember 1 of econ teachers saying @ 1 time spain had gold somethign , bad thing
how?
guess around time when colonized , world on gold standard whatever is?

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