The True Gold Standard (Second Edition)
The true gold standard skews neither left nor right. It offers a benevolent fairness, derived from its integrity.
Perceptive humanitarian populists of the left, as well as those of the right, have recognized this.
George Bernard Shaw, the great literary critic, playwright, and essayist who won the 1925 Nobel Prize for literature, co-founder of the London School of Economics, an ardent and eloquent socialist, had this to say about the gold standard in his 1928 The Intelligent Women's Guide to Socialism and Capitalism, chapter 55, p. 263:
“You have to choose between trusting to the natural stability of gold and the natural stability of the honesty and intelligence of the members of the government. And, with due respect to these gentlemen, I advise you, as long as the capitalist system lasts, to vote for gold.”
History decisively demonstrates that neither gold nor human nature are subject to change. By relying on what Shaw termed "the natural stability of gold" -- rather than "the honesty and intelligence of the members of the government" -- whichever party happens to be in charge -- the economy demonstrably has a greater propensity to thrive and create a climate that creates jobs and opportunity. Gold skews neither left nor right. It is a fundamental instrument of any humanitarian economic policy.
Oct 20, 2014
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Key Monetary Writings
In October, the Royal Swedish Academy of Sciences awarded the Nobel Prize in Economics to Robert A. Mundell.
Why the Gold Standard?