US Return To The Gold Standard?

That doesn't hold true though once money has to be backed by metal. Theres a finite supply of metal. The biggest most powerful countries will take up as much as they can. Every country will want as much as possible. MANY countries will be left with little to no gold especially if they dont produce it. Which would mean the little gold they get their hands on would then make their currency worth millions to an ounce of gold.

Currencies from the start of the world wide switch would have massive swings depending on how much gold they could get. There isn't enough for everyone and some countries may be left with very little and their monies value will be directly based on how much gold they have to much money printed and nothing else




Having to strong of a currency is absolutely bad for trade when youre competiting against other countries.

The real fallacy is that any 2 countries situations can be compared to each other. Anything happening to the Swiss and their workforce is not relevant to here. We dont have their tax laws, were 100 times bigger and more diverse, and we dont even compete in the same industries. We literally couldnt be two different nations when it comes to size, need, and what types of products we export

People are saying the cost needs to come down because it needs to come down. A lot of our manufacturing directly competes with countries that make the exact same things as us for half the cost.

The swiss export high value items as their big exports, watches, medical machines, medicines, jewelry. Skilled labor things. They do less than 1/3 of the amount of exporting we do as well. The smaller you are the easier it is to find a niche and survive.

The US top exports arent skilled labor jobs. Its food and things of that nature. Things that can all be done cheaper by other countries which costs us buyers and we need to have massive amounts of exports to even break even.

A strong currency is good but being to strong makes your goods too expensive for other countries who can get it elsewhere cheaper.

I don't believe countries would necessarily rush to improve their gold holdings, as you illustrate. As you stated, some can't. For example, if the US dollar is backed by gold, then countries do not need to necessarily own physical gold. They can hold US dollars, which any country can purchase on the open global market at any time. In this way, the US dollar would become the common denominator against which all other currencies are exchanged.

Further, the gold-backed dollar exchange could be seen as a gold bond... reminiscent of the stabilization of hyperinflation and the rentenmark in Germany in 1923, where the currency was indexed according to gold bonds.

Being able to freely exchange currency in real-time as rates fluctuate, and the emergence of the global economy has created an economic environment where commodities are as liquid as they can get.

Well if you are comparing manufacturing in large or small economies do not forget that the US had a very strong manufacturing base in the past with a very good confidence in its currency relative to others. The distinction being that real wages in the US fell after the influx of cheap labour from other countries and the exporting of technology and thus experience and jobs to foreign locales. The US was sold out by faulty economic theory supported by malthusian ideology promoted by Havard business initiates and the like.

Strong currencies can be maintained in a healthy economy with moderate growth, not boom bust cycles which are meant to perpetuate strong inflation of assets and loss of savings through inflation. Canada has had a strong move in its currency and you do not see manufacturing falling because of it but the Global economic instability and lack of confidence has affected some loss of manufacturing. It is not from having a stronger currency that manufacturing has encountered a drop off. Canadian manufacturing has only diminished in certain sectors that are vulnerable to consumer demand not industrial demand.

US manufacturing costs are mainly energy driven. IF the .gov allowed all areas of energy to becomes less regulated the manufacturing and transportation costs of the materical would allow for suffiecient wages and taxes to be garnered for the extended future. Count the number of areas held by the US that are restricted to any kind of energy development. All parks military bases, this includes the weapons range off the west coast of Florida, which by the way is MASSIVE and we all know there is oil there. The entire west coast of California is prime for Oil and gas development, and from what I understand it is the sweet crude not the sour stuff.

Now I am off topic... crud....

Either way line your ducks up and have a place to hunker down until this mess is organized. Still standing by the No Gold Standard for the USA, for that to happen Sovereignty would have to be maintained and the Free trade deals being made repudiate the essence of Sovereignty.

If we were going to do the gold standard like that though, how would that be different than now or how the banks just swapped debt before it eventually caught up to them?

To me at least the only appeal is by having the physical metals you limit the ability to just print off money. I may have misunderstood your post but sounds like that could still be done in that system




Thats true, at the time though there wasnt the competition that there is today. Other countries has industrialized, namely China, that can undercut the US prices on exports.




That may be true for Canada. If you are speaking only of Canada fair enough. If you are using that as an example for the US however it just does not apply. Cananda is 1/10 the population of the United States. Smaller countries can find buyers for higher priced goods because they dont need to export as much. The US has to export at least 10 fold what Canada does to keep pace and the buyers just arent there at that bulk at the prices we need which is why you have seen a sharp decline in US manufacturing exports.

Labor unions havent helped with this either. In some places on construction jobs labor unions actually have rules people can only do their job assigned. If your building a structure and you need something done you have to wait for that person regardless of if you could do the job or not. Just really insane regulations that drive our costs up for no reason.




AMEN. Its not even funny the amount of untapped energy in the US but the exploration and drilling of it has been blocked at every turn by the current EPA and administration. Private land development is up but federal development is way down. Even the wells we have running most have to be heated now since all thats left is heavy oil. I think Alaskas production is at its lowest levels since 1940. Open up some of these untapped reverses and we could at the very least minimize some of the current problems. Blocking the pipeline with Canada was also a terrible decision. Sadly enough our leaders often are the best ones at getting in our own way

Didn't this happen in Australia or something? Cant remember where I heard it where they created a coin with a denomination less than the melt value of the coin. People obviously just hoarded the coin and it never properly circulated. Basically the same thing take your strong dollar and buy the silver of a weaker currency.

But then again , hes talking about world wide gold standard and that gold being measured in US dollars.

haha, wonder if I heard it from you. Hard to keep trck on which forum I get my intel from.

Haha, its like it was fate... you needed to learn that yesterday to confirm for me today!

Or they are too busy trying to stop the current system from crumbling from beneith them. I get that there is talk, and prototypes and ideas, I just think that there are so many factors to consider for the WORLD to truly make it work. Maybe it will one day, just dont think in my lifetime (Where it actually works)