Plan To Return America To the Gold Standard Set To Be Offered at Washington

Source

The next big step in the gold standard debate is going to be taken next month at Washington, when one of the original members of the Reagan-era United States Gold Commission offers a five-step plan to return America to sound money.

The architect of the plan, Lewis Lehrman, a businessman and scholar, will present his program in an address October 5 at a conference in Washington on the how to return to a stable dollar. He will outline a five-step program to return America to a gold-backed currency within five years.

What is significant about the event is its aim of shifting the discussion to practical steps that could be taken to rescue the American monetary system. It comes as the value of the United States dollar has collapsed to record lows, sinking at one point this month to less than an 1,800th of an ounce of gold.

Here are the five steps that he will propose in length:
• Announce unilateral resumption of gold monetary standard at a certain date.
• Begin minting by the Treasury and allow private mints of legal tender gold coins, free of taxes.
• Create an International Monetary Conference where terminate US Dollar as reserve currency and refunding of foreign dollar reserves.
• The Conference would establish gold as the sole means by which nations settle residual balance of payment deficits.
• Floating and pegged-undervalued exchange rates would go out of use creating stable exchange rates based on mutual convertibility to gold of major currencies.

Here are some more articles you may want to read:
Fiat Money: The Root Cause of Our Financial Disaster
Putting the Country Back on Gold
The Gold Standard: Myths and Lies


My opinion is that we must have a gradual return to the gold standard so as to not shock the currency markets. It is a delicate process but I believe it to be absolutely necessary for the sustainability of our economy and the elimination of the hidden taxes on working class Americans. When inflation surpasses your income growth then your standard of living falls back gradually. This is a noted phenomenon dating back to the 1970s and the ‘Nixon Shock’. Ultimately for us to have a stable economy, end the wars, and balance the budgets we need a solid currency.

This is a stroke of genius "if" we actually have the reserves to pull this off.
Otherwise we are wasting our time.

Originally posted by grey580
This is a stroke of genius "if" we actually have the reserves to pull this off.
Otherwise we are wasting our time.

There is the problem, there is more paper money than there is gold backing it, and even futher there are numbers that don't even have paper backing in the case of a "bank run" there is not enough paper money in the bank to issue out to all customers at once if a "bank run" was to happen. It's not like we weren't warned about this.....

I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs. - Thomas Jefferson

yep there is not enough gold in the world

to cover the 1 trillion dollars in fiat currency in circulation according to the federal website so yeah right

another problem was long as the barrel of oil is tied to the dollar

its never going to happen we should have never been taken off the gold standard

im just waiting for another repeat of history the us governments confiscation of the citizens gold.

I agree with the idea of your money being backed by something that is tangible, your dollar having gold behind it, but it's the transition to the gold standard from what exists today which is paper backed by nothing that makes the idea a bit far fetched. I would still like to see their plan but it's like a snowball going down hill for centuries getting bigger and bigger, how do you stop that without casualties.

reply to post by Misoir

Plan To Return America To the Gold Standard Set To Be Offered at Washington

Prolly a good idea in the short term

lets run with that governemt figure of 1 trillion in circulation

so that would mean we would need 625 million ounces of gold to back that 1 trillion at $1600 an ounce

fort knox only holds 147 million. if my math is right

Originally posted by neo96
lets run with that governemt figure of 1 trillion in circulation

so that would mean we would need 625 million ounces of gold to back that 1 trillion at $1600 an ounce

fort knox only holds 147 million. if my math is right

Answer: You lie. You say you have enough gold to back every dollar and then paint enough lead bars the right color to pass inspection... which in the case of this commodity, is not very up close for security reasons.

Originally posted by mileslong54

Originally posted by grey580
This is a stroke of genius "if" we actually have the reserves to pull this off.
Otherwise we are wasting our time.

There is the problem, there is more paper money than there is gold backing it

Just to clarify, the US Dollar (or more correctly, Federal Reserve Notes) are NOT backed by gold or any other precious metal. It is a fiat currency, and therefore, based on imagined "worth."

They are just green pieces of paper that you recognize as being worth something... and that's all.


ETA: Very interesting, and LONG, article from the DailyPaul website:

The Question of Gold Money: Is There Enough? (by Republicae)
Submitted by Republicae on Mon, 06/22/2009 - 19:27 in Daily Paul Liberty Forum

The most commonly held misconception is that the supply of gold, either globally or in U.S. reserve, is insufficient to serve as money. One of the common adages pertaining to gold is that there is not enough flexibility in the money supply to sustain the growing needs of either the U.S. or global economy, thus the only option is fiat.

Of course, the ones that hold such misconceptions are the very ones who support, most whole-heartedly, the fiat system and the power it allows both the government and central bankers of the world. Another claim, among many, is that a gold monetary system would make it difficult for a country to isolate itself from the economic woes of the rest of the world. Strange, but it appears that the fiat monetary system is much more problematic in such terms. Yet another claim is that a gold monetary system does not permit wide exchange rate changes and is resistant to government controls over both domestic and international trade and the payment of that trade. That of course, is true, but such restrictions on the ability of government to place such controls only allows for a freer market. All of such claims are usually found in those circles of people who are either centralists or globalists or both.

Factually of course, none of the criticisms about a free market gold monetary system are true, they are fabricated either intentionally or held out of a stance of complete ignorance of monetary mechanics. Gold cannot be easily regimented by governments or, for that matter banks and it does not lend itself therefore, very well to regimented economies.

Plenty more to read at the source: www.dailypaul.com...

Still reading it myself... and looking for any other argument against the idea that there isn't enough gold. (educating myself in the process! )


ETA2: Found another one:

One last claim against gold is that there just is not enough gold to reestablish the U.S. dollar's redeemability. It is true that the number of paper and credit dollars created has been so vast that there is not enough gold to redeem dollars at the original rate of $20 to the ounce. But, we can recognize reality and reestablish the dollar at an appropriate rate of approximately $2000 to the ounce. Murray N. Rothbard has proposed just such a program in The Mystery of Banking:

That the dollar be defined as 1/1696 gold ounce.

That the Fed take the gold out of Fort Knox and the other Treasury depositories, and that the gold then be used (a) to redeem outright all Federal Reserve Notes, and (b) to be given to the commercial banks, liquidating in return all their deposit accounts at the Fed...I propose that the most convenient definition is one that will enable us, at one and the same time as returning to a gold standard, to denationalize gold and to abolish the Federal Reserve System.

Source: www.conciseguidetoeconomics.com...

reply to post by DamaSan


Correct, but to transition from our standard paper currency to a gold would there be enough gold to hand out in exchange for paper currency?

reply to post by mileslong54

I'm still in the process of Denying my own Ignorance on this topic... but looks like the idea is that you would NOT exchange gold for dollars at the same rate as the original $20 an ounce, but something more like $2000 an ounce. There was something about that in the last quote I posted... seeing similar stuff in other books/articles/journals as well.

The one thing that seems to be said a lot from some of these economists is that We The People are just to ignorant of monetary policy, economics, and market dynamics to understand how a transition to a gold backed currency could be possible.

It would be impossible for America to return to a gold standard due to limited supplies. However there could very easily be a Sterling Silver standard like Britain used to have. But that won't happen either because most money doesn't exist as currency, but as ones and zeros in a data bank; Easily manipulated, manufactured and controlled by the Counsel of Nine.

imo

There's no way this would ever happen tbh, just think of how much "currency" is out there in the USD form. Think of how QE1 and 2 flooded the world with freshly printed USD... if the USD were to jump onto the gold standard again would that not just cause gold to skyrocket to lucrative prices of like $10-20,000 an ounce due to the hyper inflation caused by printing so many USD? That would make gold virtually unattainable to the every day citizens (peasant) of future generations... but then again what is gold really and why has it been cherished for so many millenia?

Originally posted by whaaa
that won't happen either because most money doesn't exist as currency, but as ones and zeros in a data bank;

Exactly, and it's just unrealistic to see prices of gold priced that high unless this truly is a "shift of paradigms/consciousness" type of thing on the horizon. There is so much currency out there yet virtually everybody is in debt in some form or another... Interesting times to come indeed

A gold standard such as this will not fix anything as long as we have the same crooks in place with central control over the monetary system and willing to not adhere to the standard. This would cause a sever depression as prices adjust to the smaller quantity in gold currency as opposed to the trillions of inflated dollars. The simplest way would be to repeal the federal reserves monopoly on the currency and allow competing currencies and see what shakes out as the standard...

Not to worry this will never be accepted anyway... The sad part is we will crash anyway as the politicians do not have a clue what they are doing and continue to do what they are told by central banksters

man ron paul should be just utterly flattered lately. it seems more and more politicians and crooks are picking up on his idea's, calling them their own and trying to run with it. but i dont believe them, they have a catch that i believe ron paul does not. i dont know what their catch is exactly but i promise it wont be good for the working man.

Originally posted by letscit
man ron paul should be just utterly flattered lately. it seems more and more politicians and crooks are picking up on his idea's, calling them their own and trying to run with it. but i dont believe them, they have a catch that i believe ron paul does not. i dont know what their catch is exactly but i promise it wont be good for the working man.

Their catch is they are simply liars and will not do what they say.

This is a very interesting idea and there is definitely enough gold around to be used as money.
Maybe not in US possession and I dont know how this would help to overcome the US-debt (the US would still owe China a #load of gold instead of USD), neither would a gold currency create economic growth all of a sudden, but there is definitely enough gold around to be used as a currency.
Gold as opposed to fiat currencies cant be printed out of thin air, so this eliminates the possibility of further currency devaluation

Well, one thing they could do is let the guy who owns the gold mine in Yellowstone MINE it! He could sell some of it to the govt and therefore put more gold into circulation. Currently, some environmental group has caused his mine to remain closed. It is time for this idiotic stuff to change.

Here is one mine that Clinton stopped due to lobbying from environmentalists who say toxic waste would ruin the environment.

www.uswaternews.com...

oops may be the same one
patagonia-under-siege.blogspot.com...

It just makes me wonder why gold mines have been so under attack....is it to keep gold from entering the money supply and making the whole world wealthier and therefore keeping the whole world under the control of the coming NWO?

Originally posted by neo96
yep there is not enough gold in the world

to cover the 1 trillion dollars in fiat currency in circulation according to the federal website so yeah right

another problem was long as the barrel of oil is tied to the dollar

its never going to happen we should have never been taken off the gold standard

im just waiting for another repeat of history the us governments confiscation of the citizens gold.

edit on 28-9-2011 by neo96 because: (no reason given)

There is enough Gold.

It just means a much higher price of gold for every dollar in circulation. Right now we have a system that holds less than 5% of the electronic currency in cash. If we had a 25% backing of the currency with Gold, then the price of Gold in dollars would probably have to be around 10,000 per ounce. It is feasible and the only way to stop the crooks from prinitng more money and destroying the middle class with inflation.

A gold standard is coming regardless of how it comes about. It would be better if those in control do this in an orderly fashion rather than through a complete collapse.

www.roadtoroota.com...