View Single Post
Old 03-08-2011, 02:33 PM   #14
Hi, how are you?
Lebowsky's Avatar
Join Date: Aug 2007
Posts: 5,012
Default Re: What America was built on, Vs what it's been replaced with.

Originally Posted by joe
What makes you say the price of gold is erratic? Gold is one of the most stable commodities in the whole world. There's a finite amount of it and everyone accepts it as money. As a stock, it doesn't seem at all erratic to me. It's rising steadily as we steadily decrease the value of the dollar..

As for the rest of your feelings about my feelings on the gold standard.. I need to do more research on the gold standard before I get into any long winded discussions about it, admittedly. However from what I know of it, I don't believe it'd be very hard to implement or as restraining as you and others suggest. And besides, it's not like we're tossing out the Mona Lisa to adopt some crappy fingerpaint a 3rd grader did. Our current system is in shambles. What "potential" does our current economy have that a gold standard would restrain? The potential to rob people of their wealth by over inflating? The potential to allow politicians to continuously create new federal programs that the people would never pay for via taxes?

The price of gold can be as erratic any good subject to international speculation. It is indeed rising steadily, but most economists agree that it is due to a growing bubble that's likely to burst in the short/middle term. Imagine the consequences that would have in your economy if the gold standard were active. There are lots of other strong reasons against the gold standard, while the handfun of arguments in its favour were probably valid in the past, when national economies were small compared to the present ones, the financial system wasn't the huge, multi-headed beast it is nowadays, capitals weren't as mobile as they are today and the world wasn't as gobalized.

We could argue who and how robs people of their wealth, but I won't get into that.
Lebowsky is offline   Reply With Quote