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From: bojan78
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  • In modern capital markets a gold standard makes less then no sense.Reverting to the gold standard is not at all possible in this day and age and is not considered a viable option to improve our economy by any economist of note on either the Left or the Right. It's a fringe idea that is hurting his chances of getting the Republican nomination. Ron Paul = worldwide depression

  • @iancmcintyre not only that, but the global worth of gold is only 9 trillion, whereas the us economy is at 15 trillion. this means mass deflation will have to occur and lol if anyone wants that.Also, precious metal backed currency has the problem of when the metal is more desirable or valuable than the exchange rate between the backed currency and other currencies, that an outflow of the precious metal from the country occurs

  • I like ron paul but he's a freaking M.D. He does make a good point, and I've been reading on the subject. 1933 FDR put the us on the gold standard and nixxon took us off it on 1971. But it all is happening again the 1929 crash happened in 2008, 1930s wall street started to get investigated, 2010 and 2011 so far you have burney madoff, Mf global with john corzine former govenor losing 600M-1.2B (I forgot where"sorry"). Next to happen like in the New Deal is the credit crunch. I hope we make it...

  • Country 1 has more natural resources than any other country in the world, including oil reserves, natural gas, etc. This country also has the best agricultural industry in the world, and the highest functioning economy in the world. This country has NO GOLD.

    Country two has a shitty economy, no natural resources, and is plagued by famine; however, this country has a moderate supply of gold.

    The gold standard would say that the second country is richer. See a problem?

  • And the fact that these myths to the contrary can persist even in this day and age when anyone an internet connection can find any one of the many copies of the Constitution available for free online and use Ctrl+F to find instances of the words "gold," "silver," and "money," is simply baffling to me.

  • These are limitations on the powers of the STATES, not the federal government.

    With respect to the federal government, the Constitution simply says, in Article I, Section 8, Paragraph 5: "[The Congress shall have Power] To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures." The federal government has the power to issue and regulate the value of money, period. There is no restriction on what that money's value is based on.

  • Regardless of what you happen to think about the economic sensibility of returning to the gold standard, Ron Paul's claim about the Constitution is blatantly false. The only mention of gold or silver in the Constitution is in Article I, Section 10, Paragraph 1: "No State shall...coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts"

  • You go ron. The issue is that a country that the USA owned lots of money to called for repayment in gold and this was lawful so we game them most of the gold we had. So to keep this from happening again they took us off the gold standard and made it illegal to own and to turn your your gold in to the government. This was criminal ! ! !

  • this may be a dumb question but i am new to the whole gold standard arguments. how exactly is there going to be gold coins for change? like for a 1 cent gold coin, im guessing it would be mainly be nickel or some other substance and then very very lightly gold plated?

  • This whole idea of returning to the gold standard is completely ridiculous and impossible. There's only approximately 20 billion dollars worth of Gold in the possession of the US. That's like only enough to cover approximately 2/5s of Bill gates' wealth... Would not work in other words.

  • @zombiefitnezz

    Actually, more accurate way of phrasing gresham's law is "bad money drives out good money WHEN BAD MONEY IS OVERVALUED"

    If a gold-backed currency is introduced then people will naturally gravitate towards it & dump the toilet-paper-money because gold is a real asset whose value is contained in itself (unlike paper-money which is just confetti with nice govt ink) & its rare & thus it'll naturally have low inflation & thus retains its purchasing power more easily.

  • @zombiefitnezz

    Firstly, calling others dumbass doesn't make you smart, in fact, intelligent people never need to call anyone names to make a strong case. Anyways, as for boom-bust cycles before 1913, ever heard of fractional-reserve-banking? that's what causes it. It allows even regular banks (without the existence of a central bank) to create lots of cheap credit which drives the prices higher causing a boom eventually ending in a bust. Google "fractional reserve banking austrian economics"

  • Really enjoyed you video informative. When you have time come visit my channel!

  • who doesn't want gold?? dollars nowadays are worthless..

  • The reason "all" major economies dropped the gold standard in the 1930's was because in a depression people start buying up gold (for trust issues) and the governments of U.K., the US and Japan had to slow down this gold rush by increasing interest. But increasing interest makes it harder for businesses which drives the country into further depression. So they had to drop the gold standard and saved their economies!

    Also paper money is controlled. Inflation is important for a growing economy.

  • Ron Paul supporters, we need your help now. Please go to FspNascar (dot) com and click 'vote'. Your vote could help put a libertarian/Free State Project themed car in a NASCAR race!

  • I know it says only gold and silver but why not throw in platnium to the pool.

  • @ORACLE063 It's regarded as a "semi precious" metal not "precious" metal. So it does have the same "irreplaceable" quality of gold or silver.

  • @jaguarclaw

    Did you see the video? I think it mentions that once gold-standard is established, irrespective of its amount, its prices will reach an equilibrium price to encompass ALL existing money so it's scarcity is irrelevant, in fact, it's its strength.

    Gold-standard will also mean that currency issued by banks will be tied to a TANGIBLE ASSET, so it'll solve the problem boom-bust cycles caused by banks' power to issue currency AT WILL, so more stable economy, an accountable currency.

  • @jaguarclaw

    That ByronDale guy says "how do I buy gold with gold?" or something, that's like saying "how do I buy dollars with dollars"; he also makes other stupid arguments, he doesn't know anything about how economy ACTUALLY works.

    Anyways, please watch >>> watch?v=ToEgZnMUuno Please take the time & watch it if you want sound money & don't want to be ripped off by gov & FED; it addresses all so called "problems" with gold standard. If you still've questions then I'll try to address them.

  • fundamentally there is no real difference between gold or paper money because ultimately it all boils down to trust. what good would gold be if the people did not accept it ? its value is agreed upon by the parties in transaction just like paper money is. only thing gold gives is a physical limit. and it reflects the physical limit to our natural resources. but, if we'd go to a gold standard , there would again be severe deflation, and there would not be enough money to go around for everyone

  • @mintoo2cool 1) You can't print more gold.

    2) It is about trust and gold has more. An ounce of gold will always be an ounce of gold. A dollar can, at any time, return to being a simple piece of paper because of stupid political decisions.

    3) Deflation means that if you hold onto money (saving), it will increase in buying power instead of decreasing. If you have $100 in your pocket you can buy $100 shoes. After deflation, you may only have $20, but now those shoes cost $15.

  • @galaktar A piece of gold can alaws return to being a meaningless piece of yellow metal

    .

  • Going back to the Gold standard would collapse our economy. Read up on our history why we went off the gold standard. Ron Paul is just another crack egg from Texas who doesn't know what he's talking about.

  • The future looks good. They must return to a gold standard because %90 of dollars are over seas. They would face a world war if people lost value from the dollar. Russia, China etc. You also have a trust account that you didn't know about that was subrogated at your birth. Check out Winston shrout. Also check my vid!

  • Don't fall for the gold standard nonsense. There is nothing wrong with a currency whose value is given to it by the government, independent of gold. Money should not have any intrinsic value, it is simple a medium of exchange.

    The problem is that our congress is running a huge budget deficit, which has been financed by the FED's "loose money" policy.

    The value of gold is derived by whoever holds the most gold and our nation sold its gold.

  • Gold is stable money, not because gold is magical, it is subject to supply and demand like any commodity. It is stable because one ounce of gold is absolute, it will always be one ounce of gold, just like one millimeter will always be one millimeter. Gold is also a commodity with an anchor, its supply and yearly production is relatively well known and cannot be easily manipulated by governments for the sake of short term gain and political expedience.

  • @stevenj13196 Gold standard nonsense? Tell that to the Germans who experienced inflation after WWI

  • @MiddletownDreamz

    The gold backed mark, or Rentenmark, was created by the Reichsbank because only on the bases of gold was the international exchange of goods possible.

    They did this because the traitorous "social democrats" agreed to insane reparation payments while running a huge budget deficit at home. Reparation payments and government spending was being funded by high interest foreign loans instead of a economic surplus.

    Germany had a poor credit standing, so gold was the last resort.

  • @stevenj13196

    Bullshit, people always choose currencies that are more stable, they want to increase their wealth, and because gold is money and cannot just be printed, it facilitates exchange which could never be transacted with just Fiat money. THe inflation of political control over money's value breaks down international finance and development, this you would know if you had read even only the introduction of The Theory of Money and Credit which would remove your appalling ignorance.

  • sorry if I can't accurately theorize the entire economy in a youtube text box. I have an MA in economics and know the Austrian school quite well. I rejected this school because the false dichotomy between states and markets. That markets exist and are distorted by states. States create markets. There would be no labor market without an activist British state in expelling peasants from common land and enforcing private property. The US state is above all in charge of making global capitalism

  • In response to your notions of money, the development of the Euro-dollar markets made the gold standard untenable. The fed couldn't regulate the money supply because of so many American dollars in US banks in London. It was geographically out of the US' control. By the late 60s the US dollar stopped reflecting $35/ounce. Many states couldn't complain bc they undervalued their currency, like you said, to make exports more attractive.

  • In fact, you've gone from some awful Jean Jacques Rousseau to Stalin-and an ignorant one at that.

    The gold standard is not untenable, if money IS gold, then the exchange rate is not 'fixed' and irreflective of currencies' differing value: the currency IS gold therefore it's like trading in gold: if the gold notes are strictly legally enforced as gold notes and not fiduciary media. Of course if that doesn't work, if central banks enforce FRB, then people sell currency for gold.

  • In fact you're obviously lying about having an MA in economics because if you did you would know that Euros only came into being in 1999! And money supply is not to be regulated, it is not a policy tool, money is to come into being through market selection of the means of indirect exchange to facilitate broader, less intimate division of labour, to facilitate heterogeneity and thus harmony of interests. When you undervalue currency to help debtors you deter international finance and development.

  • If you don't have a gold standard, you open the door for the tyrannous mercantile imposition of Fractional Reserve Banking to expand credit so much that all the banks are ruined and society with it: this is how the business cycle works, fraud keeps the malinvestment and insolvency racking up until the market clearing comes and sustainable growth can reoccur. The destruction of monetary dictatorship is what causes the business cycle: the markets choose gold. So STFU and learn something.

  • Im not defending current practices of the federal reserve. Its a hugely undemocratic institution and is at the centre of most market crises. I also reject the gold standard as a more stable option above all because states, like the US, do not want to relinquish sovereignty over monetary autonomy.

  • There should be NO monetary autonomy, it should be left to the free-market, and it always is because state capitalism doesn't work, natural selection makes the more productive form of human enterprise win, that is why we are weaned towards a 'natural society' as Burke or Smith would have put it, free of those human impositions that retard our progress. That includes Fiat money.

    It is people with your belief in 'monetary autonomy' who are to blame for central banking and monetary madness.

  • You should tear up your MA.

    A state is a defined territory of jurisdiction. A market is the expression to the catallactic order of the division of labour created by man seeking profit. States do not create markets, civilisation creates markets, society does not come into existence by the pen of the legislator; in fact this is PRECISELY what economics teaches, the origin of the phenomena of cardinal values in pricing, the origin of private property: it is a social science, not a state creation.

  • There would be no labor market or wage work without the British state enacting the enclosure laws and creating and exodus of workers into London and Manchester. The same is happening in China. The chinese state deliberately enacts anti-agrarian laws so farmers close their farms and move into cities. This makes for an enlarging labor supply, keeps wages down, and keeps exports competitive

  • When the British state enacted enclosure laws they ALLOWED an exodus of workers into cities where they could produce goods which were of greater value than the food which they could buy with currency, which food was produced in sufficient quantity by British agriculture, and even moreso when the Corn Laws were repealed.

    You are conflating economic freedom with Chinese style mercantilism. British exports were competitive in free trade, there was no hoarding foreign currency to keep imports low.

  • As well as conflating freedom with tyranny, you are saying that the state directs people's economic activity: no. Profit-motive directs in market economies, command economies with no society, no individual agency, necessarily are directed by coercive power, not so where civilisation exists. Now leave me alone, you type such nonsense that I'm compelled to reply but frankly I'm going to have to ignore it because I'm busy and I don't want to discuss economic history with a Fiat-money advocate.

  • Gold standard?LMFAO.Get real.None of you people understand economics.Let me break it down for you..

  • Economies run on goods & services.The more an economy can produce,the richer it is.Money is a certificate of a certain amount of contribution to the economy...

  • Prices are determined by supply & demand.Fiat is used as a portable,universal currency for trade..

  • How me much gold an economy has in its reserve,has no bearing on how much goods & services it produces...

  • Correction: "How much gold an..."

  • Lets say the economy was determined by how much gold we had.Say we have $50billion worth.Lets say Sudan was on the gold standard & had $50bil of gold too...

  • The value of both dollars would be the same.$100M in US dollars would be $100M in Sudan...

  • Heres the problem.Theres not $100M dollars worth of shit in Sudan.$100M of gold backed money or not you're not gonna be livin on easy street,cuz easy streets not there...

  • So you see,gold standard isnt a magic cure all.A country's wealth isnt determined by how much gold it has,but how much they can produce..

  • Having a bunch of gold in a bank somewhere isnt gonna magicly give Sudan the ability to build amusement parks,railroads,airplanes,etc.­..

  • Likewise,not having a bunch of gold doesnt magicly take away our ability to build/run a highly productive system.

  • Gold is valuable because it is ever recognised as means of exchange; it has always been so because of portability, malleability and scarcity. If Sudan has lots of gold, believe me they could import a LOT. If they have a lot of Fiat Sudanese dollars or whatever, they won't be rich.

    Gold facilitates exchange: currencies can become one, if connected to gold, kept in banks to make portability of certificates easier. Non-backed certificates become worthless due to FRB. You are a simpleton, STFU.

  • You might not have gold standard, but u can atleast have gold and silver currencies as legal tender, so they can compete directly with other currencies. What do u think?

  • Actually the more are your exports, the more money you will be receiving, so say if world currency was based on gold, then the country having more exports will earn more! Nowadays the richest persons are the bankers, and I'm sorry to say their worth is not even of 10 cents! All they do is to earn by doing absolutely nothing and feeding on other people's money!

  • HAHA.I dont think you get it man.Gold is just one of a bunch commodities.Just another natural resource.And its not even a very needed or sought after commodity.

  • Look at Africa.They have plenty of gold,but its still 3rd world?Why?Because of comparitive advantage..

  • Africa needs foreign food,medicine,etc,far more than anyone needs jewelry.

  • A $100 gold watch'll get ya $20 tops at a pawn shop.$100 dollar bill will get ya 5 $20s everytime.See what I'm gettin at?

  • "Creating money out of thin air is indeed a very hard thing to do?" HAHAHAHA.You really dont get it do you?

  • Well lets have a gold currency as a legal tender, then we will see which currency wins, The dollar or the gold one. I bet the gold, will kick dollar's ass. Dollar is about to crash anyway. Did you hear about Amero?

  • You're just not gettin it are you?The price of goods (including gold) & services constantly fluxuate.The size of our constantly economy fluxuates...

  • So if we had gold to back each dollar,the value of the dollar & gold fluxuate just like the amount of dollars we have does now..

  • So if we're just gonna constantly adjust the value & number of dollars to match numbers in our heads - Whats the point of having sellable gold sittin in a bank collectin dust?

  • What's the point of attributing cardinal value to anything? Gold is valuable and if paper certificates are truly linked to it, they will have greater value as a means of exchange.

    You should be ashamed of yourself, you are a disgrace to economics if you really have an MA. From what university did you get it?

  • I got my MA from York University.

    you're obviously pretty passionate about the gold standard. Even if you are right and the returned gold standard is the slution, installing a gold standard is a revolutionary political intervention. It will take a massive political movement to counteract wall st. bankers who will be hugely resistant (and have the resource to prevent it from happening). Plus the SU state would be forced to repay its bal-of-payments deficit in gold. The US state can't affordit

  • It will not take a massive political movement and people following self-interest and profiting from voluntary disposition of the money of others i.e. in the market and not from tax money pissed away by mercantilist tyrants, will have no problem in abandoning fiat money.

    It is already happening.

    Wall street bankers should have no resistance to removing a mercantile intervention, after all it destroyed them in 2008-if they hadn't been bailed out by GOVT they wouldn't be mercantile agents.

  • If bankers want to earn money then they will have to support a gold standard because assuming you are against bailouts, the Fiat money regime tendentiously leads to boom and bust, because once malinvestment starts the Fed will paper over everyone's insolvency with FURTHER credit expansion, thus sustaining the unsustainable boom until everyone's capitals are poorly invested.

    Banks making money from holding deposits would adhere to banking that increased loanable funds faster than consumption.

  • I don't defend the bailouts but I understand their logic. ppl's lives have become SO financialized that letting the banks fail (and the auto sector) would have been horrendous. Workers put their pay in banks, rely on credit for consumption, their hosues and cars are financed through banks. If the US had any resembling dfemocracy in this regard they could have reformed the banking system in a far mroe democratic manner. Doing nothign, I think, would have been not only tragic but irresponsible.

  • but again reconstituting the system as it was was not what I wanted or defend.  Personally, I don't share you faith in markets as the most rational or natural organization of society or a high regard for the Austrian school or Hayek. I would have nationalized the auto-sector and the parts companies, converted them into mass producing solar panels and public transit, and democratized finance. Good talking to you, sir.

  • Doing nothing would have been allowing the people to keep their money in banks if they wanted. If they didn't so want, banks would have failed, credit would have evaporated, and sustainable growth would have quickly come about because of the tyranny of the consumer. The tyranny of mercantilism has now allied corporate interests to government disposition of taxpayer money, that's called mercantilism, or fascism, and is quasi-socialism; it's simply Statism. The market is people in society, letitbe

  • Creating money out of thin air is what capitilism is!! Its called PROFIT!!

  • Ya buy a gold bar for $1000.Melt it into 5 $1000 watches & sell em,you just made money out of thin air.That extra $4000 of gold doesnt exist.

  • Hey - that $4000 didn't come "out of thin air"! The watch didn't HAPPEN into existence - NO - someone had to make it with a capital investment of knowledge (trade school tuition), machinery, a workshop, money to buy gold on the market, and time (labor). So, I REJECT this notion that capitalism is "creating things out of thin air". Political fiat currency that is printed at whim is DANGEROUS to a free society! History shows that all great empires rose and CRASHED on fiat money.

  • Yes.Capitalism is creating money out of thin air.If a product takes $5 amount of dollars to make and you sell it for $10,where does that extra $5 come from?

  • That is not Capitalism, that is Mercantilism. Mercantilism is based on unequal exchange, buying cheap and selling dear. It is pre-capitalist. Capitalism is about making profit and reinvesting into production not to 'screw' someone with unequal exchange but to be more productive and undersell competitors. Where the actual profit comes from is a hugely politcal and controversial question. the history of economics is based on it. Marx says that the added value is labor that is unpaid for.

  • @JP2times2007

    Mercantilism exists today, it has never died. It is government intervention in the economy, originally devised to increase exports and increase the wealth of the royal coffers at the expense of allowing free and full development of wealth, using crony businessmen paid with royal tax revenue: now it is supposedly for the public 'good,' it is basically quasi-socialism and it uses people's profit motive to fulfil mercantile schemes that reduce the wealth of most.

  • @JP2times2007

    But not only does mercantilism wipe itself out by the warfare it induces by its very nationalist nature, it cannot compete with free traders and non-interventionist small-state nations, in terms of prosperity, so mercantilism will always lose by natural selection: unless the state is so powerful as to prevent the people from exerting selection, which is why we are so slow to move from unprofitable, destructive mercantilism, because of the power of the state aided by ideology.

  • Because Gold although it seems highly valued is still massively undervalued by the Fed. At one point in history gold was 800$ an ounce after the Bretton-Woods agreement failed and before the economic collapse of 2007. If gold were to become a currency again the value would increase if market tendencies were deregulated and capitalism would alter the profit one would have in investing in gold.

  • So that 100$ gold watch would be less valued for its unimportant purposes, but if pushed to a pawn shop the amount would be much much higher than what you bought it for considering the pawners aspirations

  • Fair trade has a big impact on their economy.

  • You mean a banker who lends you money that he does not even own, and then charge interest on it is doing a very productive job? ya right! Creating money out of thin air is indeed a very hard thing to do, LOL!

  • Do you want to bet that none of the advocates of gold money understand economics?

    Let me break it down very, very, aptly, simply for you:

    Fiat money does not work unless it is enforced: markets always choose means of exchange that are LESS afflicted by political control and central bank arbitration. The system of fiat money and coerced FRB is to blame for systemic financial failure and the overconsumption of the business cycle, in the fraudulent 'boom' section that must come to bust.

  • DISCUSS GOLD HERE

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  • This Republican know for a fact that the majority of Gold in the world is now controlled by the elite banking institutions and he is just a promotional pawn advertising a new world order on networks that are also owned by the same people. Gold is no longer evenly distributed and by the way. We are already on a gold standard. We cant allow ourselves to continue to suffer from lack of knowledge. Come on people. See the light.

  • how on earth do you think we are on a gold standard?

  • I hate to take the bait on this post, but geez - talk about a sheer lack of knowledge and historical fact. Here are some actual facts -

    1) Richard Nixon took the US off a gold standard officially in 1971. The currency that is printed now has no real wealth or asset value backing it.

    2) The government actually holds the majority of gold within its vaults in the United States.

    3) Calling Ron Paul a pawn for elite banking institutions is illogical when he voted against their bailout.

  • @PhilW66

    of course the dollar has asset value, there is the human factor, and in this case, the human factor is the real value of the dollar is the confidence that one has in the dollar. its the perception of value that is driving all economies. tell me, what good is gold? you can't build with it, eat it, or do anything worth while with it. it is the perception of value that makes things valuable.

  • what the hell are you talking about?

  • haha...see you in 6 months, american idiot

  • I want to have a dollar bill that I know is worth X amount of weight in gold. I don't want my dollar bill to have a bunch of stockbrokers on wallstreet deciding how much it's worth.

    It's simple: divide the amount of dollars in circulation by the amount of gold in the US treasury and you get the value of a dollar!

  • even then, the fed would still have the right to deflate the dollar by printing more bills.

    your "simple" solution is kind of in existence, except you buy gold if you want it from a private gold seller, as opposed to converting it at a federal or private bank.

  • all you need to do is create a new currency which is backed by gold to compete with our fiat dollar. Its pretty obvious who will win out because has a LOT more confidence in it. Gold backed currency will always defeat fiat paper money.

    Constitution states that ONLY GOLD AND SILVER IS LEGAL TENDER. The Founding Fathers knew the destruction a floating paper money can cause (aint worth a Continental).

  • There has only been enough gold extracted to fill less than two olympic sized swimming pools. It is extremely toxic and environmentally unfriendly to extract gold. Often times mercury is used in the process and it is used in places with little to no regulations. I agree that we need to deal with inflation but going back to a gold standard is not viable. Not in a world economy as large as it is now. No easy answers folks.

  • Gold not being able to support a modern econ is a myth. Gold backed currency is just a fixed money supply. Fixed amount of money chasing an increasing supply of goods = lower prices. Our salaries might be "lower" in number, but the price of goods will be even lower, thus our purchasing power is greater. Plus we wont have these bubbles that a fiat money causes. 1800-1900s in America was our best growth because of safe gold backed money. Growth was 4% a year like clockwork with no bubbles.

  • You forgot to address the main issues of my comment (Please read full comment). I wish economics were as simple as parroting others but it is not.

  • i Pay gold with paper^^

  • this makes me really suspicious of the whole 'cash for gold' thing going on right now 'PAPER! PAPER! TRADE YOUR GOLD FOR PAPER!' that old unwanted jewelry might just feed your family one day! or you can turn it in so you can buy a gps for your car! wait, dont all new cars already have gps...oh yeah just not in a way thats useful to you.

  • this never work.

  • You're absolutely correct. Check out the Can We go to the gold standard video I filmed of Byron Dale.

    -Tommy

  • I guess grammar school didn't work either.

  • Read "Web of Debt," by Ellen Brown. I just finished it and could not put it down. Also, I just watched the "Money Masters" for free on the internet. Real solutions are presented.

  • Good idea.

  • To all the Libertarians and Ron Paul supporters I say that if you really that believe hyperinflation is imminent you already would have converted most of your life savings into gold, as its price will inevitably multiply as the dollar collapses.

  • some of us already did

  • lol thats the right answer. I'm glad at least one Ron Paul supporter actually believes what he says.

  • I got some silver to, its seriously undervalued

  • LIke I said in the barter system you can still use gold... so whats the problem?

  • You need to study economic history to understand why it is that people use gold. It's easier to convert ALL of your tobacco, hemp, corn, chickens, etc. into something that everybody accepts (gold). If we used a barter system, there is no garauntee that everybody will trade with me. For example, if I want to trade my tobacco for your corn, but you don't want tobbaco, I'm screwed, but if I can convert my tobacco to gold and in turn offer to pay you gold then everything is okay.

  • Easier than lumps of gold is 'electrons' in computers, which is what we use nowadays.

    Gold has lots of problems and was no used as a standard for very long.

    AFAIK the USA spent a lot of time trying to make a bi-metallic standard.

    Libertarian9000 YOU need to study economic history

  • Yes, when you speak of these "electrons" you're talking about credit, which is just the same as paper money in value. If we don't hold credit to a standard of some fixed value (gold), the economy will experience massive inflation.

    *I'm not saying the barter system should be prohibited, I'm just saying that we use the gold standard more now because it is much more efficient.

  • people used the barter system not countries

  • @ sgsfdgfsdfsdfsddf

    Although I agree with you about gold the fact is countries have used and do use barter

  • Americans used barter alot in like 1800's but still had money.

    The rich always had money

  • every country has a reserve of gold, why? to keep the price high as fuck

  • What a raving nut.

    Gold would destroy the USA and world economy in a moment.

  • You wanna know what's really going to destroy the economy? Pumping trillions of dollars of debt into circulation without backing it with gold, that's what's really going to bring us into a depression.

  • gold is metal that we do nothing with... what if the price went down

  • We do NOTHING with gold??? Gold is used by so many industries because it is one of the most maluable elements known to man. It's price will most likely not go down because the demand for it is so persistent. Also, in a 100% reserve banking system like Ron Paul is talking about, gold would keep its value because people wouldn't be defrauded into thinking that their paper is worth more than it actually is.

  • It is use primarily for people to look good, it is worthless mostly used to make people look good, and I dont want my money based on something that is used almost always to make people look good.

    Why have the gold standard? why not the barter system... if you want to use gold use it. if you want to use something that is worth something use an apple.

    Does have worth in science but again mostly to make people look good, and you can eat it

  • Ummmm, I don't think you understand economics, gold is like "the" currency. It doesn't matter whether people are using it to look good the fact is, it is a universally accepted form of currency. Do you see what I mean? We did use a barter system at one point in history, but overtime all forms of currency were replaced with gold (because everybody accepted it). I mean, why trade tobbacco for corn when you can sell all of your crops for gold and then use the gold to buy whatever you want.

  • why not use the tobacco for money or chickens because they are worth more... CAN YOU SMOKE GOLD? EAT GOLD?

    WHAT DO YOU USE GOLD FOR?

    I dont think you understand that gold has no use so using for money is laughable

    The rich stopped teh barter system

  • You seem to be missing the point. The amount of gold is somewhat fixed, and thus, cannot be artificially increased by governments or private sector.

    Barter is not illegal either. Barter transactions are not taxable since no government owned money is involved.

  • I cant pay taxxes in gold, diamonds, silver

    chickens

  • As a matter of fact, right now in France mutual funds are holding equity in cattle, as its an extremely stable investment that only grows. The concept isn't new, in medieval times it was so common that our word for Capital comes from the French word for Livestock, which makes sense because at the time it was on of the main forms of currency.

  • gold standard is a way for rich to keep power

    Barter system... You can still use gold or whatever. You can use oil

    What is gold worth? nothing

  • YOU FUCKING IDIOT! Do you even understand economics? The reason gold is our standard currency is because it has a much wider, more universal spectrum of use. Right now we have an inflationary, fiat currency system. THAT is what keeps the rich in power because they have the power to print all the money they want and get loans from the federal government and the middle class has to pay off the debt.

  • You cant trade with gold in the barter system... get the government out of trade...

    I dont want to support greed like you do, inflate the price of gold and make the poor poorer...

  • YES, DUMP the FED and GO back to GOLD standard. NOW is the TIME>> > > > Thank you RON PAUL...

  • rare kudos to FOX for running this

  • he's 100% correct abe linocolns violation of the constitution in the institution of baselass paper money is one of the worst things to ever happen to this country.

  • Lincoln did that, and it was bad. However he was not the first. Research teh history of the Bank of the US. Our current problems our lessons we failed to learn long, long ago.

  • why is gold worth more than paper? It shines

    Greed governments own gold so its worth more when people sell it.

    Greed is the problem lets not help it

  • RON PAUL 2012.... BEST MAN FOR THE JOB HANDS DOWN. IT'S BULLSHIT HE DIDN'T GET THE PRIMARY IN 08 AND ITS BULLSHIT THAT THE MEDIA IS SO NEGATIVE TOWARDS HIM...... EVER WONDER WHY???... YEA YOU PEOPLE NEED TO WAKE THE HELL UP. HOW MUCH MORE IS IT GOING TO TAKE TO OPEN THE AMERICAN PEOPLE'S EYES?? I am a 23 yr old student of business and marketing and I support this man whole heartedly. DO YOUR HOMEWORK PEOPLE IT IS AT THE MOMENT STILL OUR COUNTRY.... BUT ANY MORE PROCRASTINATION AND IT WON'T BE

  • I am straight man and I love you!! :D

  • Whatever

  • Ron Paul 2012?

    How about Ron Paul NOW!!!!

    The sytem is corrupted beyond imagination, elections are a sad joke. Instead, Lets Support Texas current effort to succede from the union and place ron paul as their leader!!! Once this is acomplished you can move to the Republic of Texas and live the life of freedom you always dreamed off!!! LETS MAKE THIS HAPPEN!!!!

  • i live in Texas and i would love to see us break away from the union and become the most freed country.lol with ron paul as the Tx Pres. lol

  • That sucks!

  • how does that suck? That would be awesome!

  • man how cool would that be . i grew up in amarillo texas but got married and moved to illinois but if that happened i would be in texas so fast my wifes head would spin ..yeah that was a great comment

  • yes i would also love to see the US break from the united nations. We are their bitch, and Im sick to see them using us to make thier new world order and global empire.

    We are the most powerful country in the world what do WE need the UN for?

    POWER TO THE STATES!

  • Gold always will have value dont matter who manipulates it. Gold has many uses besides currency and jewelry. If cannabis was legal i can see it being more or just as valuable because its not just a drug or or an herb it has many uses, clothing, paper, biofuel, nutrition(Omega 3's), etc... beauty of the free market is that anything can have value as long as there is a demand for it. Ron Paul Is most smart.

  • The Knights of Columbus financed and backed Joe McCarthy..

    McCarthyism.. helped to create a skew in society that helped the rich rape the poor. And advance the power of pedophile.

  • Please read "The Constitution And Paper Money" at tenthamendmentcenter(dot)com/2­009/01/02/the-constitution-and­-paper-money/ Please also review the "Money" discussion at the time of the Constitutional Convention: angelfire(dot)com/ut2/lrtopham­/convention.html

    The distuction of paper debt or "bills of credit" has well known; long and distructive (international) history. When all else fails, read the instructions & include historical intent. Screw the Supreme Courty - it lacks legal authority!!

  • ron's da man. he knows his stuff well.

  • I think this guy is pretty smart...

  • Wow! Ron Knows his Stuff.

  • ha.. gold standard! yeah, the same private central bankers that issue the supposed worthless paper currency own control and manipulate the worlds gold reserves right now. The Parasites are going to give all the misinformed gold bugs exactly what they want, the new international gold standard effective January 2010. And nothing will change because the true cause of the Money Problem is usury(debt on non-existent interest) and fractional reserve lending not paper versus gold(the NEXT bubble!!).