The True Gold Standard (Second Edition)
Some things don’t change. For centuries, for example, people have been painting still life – flowers, fruit, some food on a platter with a dead rabbit on the side. Even Picasso tried his hand at it. “Still lifes,” however, are often a metaphor for stagnation.
But just maybe, life is stirring abroad.
A restaurant at Walt Disney World has begun to serve alcoholic beverages. What is Mickey Mouse thinking? The Russian army has decided to let its soldiers wear socks instead of the centuries-old “portayanki” that they wrapped around their feet for centuries. And the Cuban government has decided to discontinue exit visas for its citizens.
What is the world coming to?
The world does not move quickly, however – even when the danger is clear. Psychologically, much less economically, doing something different is scarey. It is more comforting to do more of the same even if it isn’t working than do something different that might work better.
Too often, politics trumps policy. When politics confront policy – as it did in a 1971 when Nixon closed the gold window– is it any wonder that policy will suffer? We desperately need economic policies that embrace both change and choice.
William Jennings Bryan, famously not a fan of the gold standard, once said: “Destiny is not a matter of chance, it is a matter of choice; it is not a thing to be waited for, it is a thing to be achieved.”
It’s time for a gold standard comeback.
Dec 06, 2013
Venezuelan President Nicolás Maduro rules by degree. His own puppet legislature is apparently not sufficient reliable. His latest decree lowered the prices of electronic appliances to populist-appealing levels. Under Maduronomics, food producers have been driven out of business, and basic necessities have been driven off the store shelves. The Los Angeles...
Dec 05, 2013
This cartoon cleverly presents the tension between the proponents of the classical gold standard and the prairie populists demanding "the free coinage of silver." Image courtesy of authentichistory.com via BigThink.com In the mouth of the "silver dog with the golden tail" is a bone, labeled Election. The 1896 election, which the gold standard...
Kathleen M. Packard, Publisher
The Gold Standard Now
Board of Advisors:
Sean Fieler, James Grant,
Senior European Advisor