We’re just going to have to agree to disagree. However, in a way, we’re arguing the same point – you from one end, me from the other.
Precious metals backed money (gold, silver) was just fine for 6,000 years. Paper money, backed by real gold and silver, limits the amount governments can spend, since you cannot spend any more than you have on hand. It is an automatic brake on deficit spending.
Remove the link between paper money and precious metals and you’re left with what? Fiat currency backed by hot air and nothing much else. Our current system – the result of our “temporary” separation from gold – is fueled by debt. If we actually paid off the debt, the system would collapse. What I don’t understand is why 2 or 3 percent inflation is permissible, but no inflation is off the table, in other words…
Moreover, not linking your paper money to precious metals – making it ‘currency’ in the process – means you can print and spend as much as you want, at will. Which has beget our current state of crony capitalism. Since most people don’t know the difference between true free market capitalism and crony capitalism, they see the abuses under our current system and assume that ALL capitalism is bad… which gives rise to such misguided groups as the Occutards and renewed support for Marxism and Communism’s retarded second cousin, Socialism…
Reverting back to a gold-based economy right now is impossible, I agree. Not because it’s a bad idea, but because the corrupt and thoroughly bankrupt system which has grown out of the “temporary” separation of the dollar from gold has made it impossible – egged on by Keynesian economists, the Fed, Bullion Banks (and the shell game they’re playing with gold – it’s outright fraud) and the US Government itself… if our current system were changed, the river of cash stops. The currency spigot is shut off.
You are familiar with the documentary “End of the Road – How Money Became Worthless” ? I would like you to watch that, if you haven’t already, and tell me why those guys are wrong.
The wicked flee when none pursueth..." - Proverbs 28:1