Is Ron Paul an idiot?
Is gold standard a meme?
Xavier Taylor
Daniel Gutierrez
Something maybe interesting about this; since gold was no longer backed a currency, income per capita would go up to match inflation and so. This chart just says that the countries left the gold standard and the amount earned went "up", even though there has to be more information like PPP and so compared against this.
To answer your question: in today's economies yes, because we left it. Too much money being flung around now anyways.
Owen Ward
dude fuck my english
What I tried to say is "gold dipped and so the incomes went up because there was more money available due to gold no longer backing the notes. More money could be printed with less blowback and the incomes went up to match that."
Nicholas Evans
The gold standard is a meme.
The only thing it does is prevent the government from printing too much money, but as an economy grows it makes sense for the money supply to grow as well.
Inflation also has the purpose of encouraging investment and spending, while deflation discourages both.
Jack Brooks
So what does RP mean when he goes on about it? IIRC he literally says we should get back to the GS.
>Too much money being flung around now anyways.
You seem knowledgeable, can you give me a brief rundown of what exactly backs the notes?
And would it be possible to perhaps move back to bimetallism with things like Au, Ag, copper, uranium, and whatever else?
Maybe it's just my naivete but from what I gather, the notes are practically backed by nothing since credit jewry has spun out of control.
youtube.com
>>>The painful experience of the runaway inflation and collapse of the Continental dollar prompted the delegates to the Constitutional Convention to include the gold and silver clause into the United States Constitution so that the individual states could not issue bills of credit or "make any Thing but gold and silver Coin a Tender in Payment of Debts."
Brayden Butler
Its backed by the power of the US military.
Leo Lopez
>Inflation also has the purpose of encouraging investment and spending, while deflation discourages both.
Can you explain this a little further?
Jacob Hill
military can't fight without money worth something.
Daniel Anderson
If saving is encouraged, wouldn't that open up capital for investment through loans? Assuming no money creation through fractional reserve banking
Private citizen save, company loans and invests into company.
More jobs, more efficiency, more wealth generated, more savings, etc...
Jason Ross
Who needs money when you have the best fighting force in the world? The US military is the biggest world bully. If they don't have money, they'll just invade your country and plunder it of any value
Dylan Perry
While the GS is a decent concept, the only way it would work would be if we basically reset the global economy and set a majority of currencies backed to being backed by -something- of value. The thing is it is incredibly difficult to transition from a fiat economy to a commodity-backed economy, especially when you have so many fiat economies all over the world.
Bimetallism? Personally that would definitely be something to consider, and would almost definitely be necessary for a modern economy if we somehow changed everything. That is my opinion though, but having more than gold is a good idea.
What backs the notes? I literally can walk down the street and buy a pop with my $1. That's all. Trust I can buy something the next day, which is backed by governments (which means that a government collapsing or weakening destroys a currency in theory). You are right when you say jewry has spun it out of control.
Also I know fuck all about legit economics and stuff like that, and honestly I've gathered most of this information from just reading stuff. I am not smurt at all.
Dylan Brown
Inflation means spend money on investments to make sure your money helps save it's value against the effects of inflation, spend it because it will be worth less later, while deflation makes people want to save and hold their money since less will be available later, making it worth more overall.
Jayden Price
>be 20something NEET
>really interested in world currency
>reddit thread HURR what if the fed did abc? just wondering teehee
fuck off. Go to college if you're so curious fag. Talk business. Not academic businessy fagotronics
Adrian Gomez
>bitching about discussion on a discussion board
Kys
Lucas Sanchez
You frustrated that you don't know these things?
Give me a brief rundown of what exactly backs the notes
Julian Clark
a collective herd follow belief that the US government is too big to fail.
Owen Carter
It's hard to grasp how people actually believe anything is tbtf.
Kevin Bell
>Give me a brief rundown of what exactly backs the notes
They are backed by the US government.
You have to pay your taxes in USD, so that gives value to USD for anyone living in the US. A lot of very important businessmen live in the US, and a lot of very important businesses pay taxes to the US government, so that gives the USD international value.
>gold and silver clause
I checked the text, it refers only to states and not to the federal government. Its purpose is to prevent states from printing their own currencies; this was allowed under the Articles of Confederation and it was a fucking disaster.
Libertarians treat the Constitution like Baptists treat the Bible; to them, it is infallible, immutable, and always in agreement with their opinions. But in reality it's none of these things. It's a living document and it does not forbid fiat currency or income tax.
Hudson Hughes
>They are backed by the US government.
Ok, yea I get that, you have a good standing in the world but what happens if say soon your standing declines and say Asia and the Chink Yuan or a partnership between Russia China and EU creates a competing currency.
Does anyone here know what else backs the dollar?
I'm sure you have some gold, and own debt from other nations maybe?
globalresearch.ca
>The US is able to maintain pressure on other currencies, currently the ruble, only as long as the petro dollar remains the major world reserve currency. This is the main reason why Washington gets away with a seven-fold indebted dollar (i.e. total outstanding and uncovered commitments are currently more than 7 times higher than the US GDP (US$ 17.6 trillion, 2014 est. – vs. US$ 128 trillion of unmet obligations); making the US worldwide the most indebted country – by far.I checked the text
here is the rest of that parag;
en.wikipedia.org
>This restriction of bills of credit was extended to the Federal government, as the power to "emit bills" from the Articles of Confederation was abolished, leaving Congress with the power "to borrow money on credit."
Robert Smith
No. Ron Paul is right as always. A gold standard would stop inflation, and in case of a disaster scenario like a second great depression, it would prevent the US from becoming a 3rd world country by preventing the fall of the US dollar.
>Inflation also has the purpose of encouraging investment and spending
This is retarded. Investment and spending isn't a good idea if you're investing into asset-price bubbles.
Tyler Sullivan
>A gold standard would stop inflation,
there's enough gold in the world for everyone to have about $900 worth.
inflation would immediately set in because we'd need to artificially inflate it thousands of times higher just to use it as currency.
at that point it's fiat currency just like the dollar. Unless you come up with something else to back the gold.
Jaxson Adams
Either way with interest rates remaining low, its time to jump on the Gold wagon. NUGT up 21% today and GDX up 7%. Ez returns and they will keep a constant up for the next week or two.
Grayson King
The gold standard is a scam. The only people you see advocating for it are idiots like Ron Paul and Peter Schiff.
Brandon Adams
Yes, the gold standard is known for not only basically eliminating the possibility of monetary policy, but also massive price swings in the short run. This applies to any commodity backed currency. Fiat money is the best system we have and will continue to be that way for the foreseeable future.
>The malinvestment meme
When will this Jewry autism stop
Daniel Gonzalez
*Jewry/Autism
Carson Mitchell
Fuck off the value of gold just dropped
Gabriel Lee
This. The gold standard is when things went wrong for America. Ron Paul is just telling people to rewind history to when things started getting bad.