Powell assails gold standard supported by Trump Fed nominee | Metals Mine

  • Powell assails gold standard supported by Trump Fed nominee

    From reuters.com

    Federal Reserve Chairman Jerome Powell on Wednesday rejected the idea of returning the United States to the gold standard even as he asserted that his remarks should not be seen as criticism of a proposed presidential nominee to the Fed Board. “I want to make sure this isn’t interpreted” as criticism of Judy Shelton, Powell prefaced his response to a question about whether the U.S. should return to the gold standard from Jennifer Wexton, a Democrat. Then, he continued. “I don’t think that would be a good idea.” Shelton, the U.S. director of the European Bank for Reconstruction and Development, is ... (full story)

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EF5
Jul 10, 2019 3:19pm
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Historically the gold standard didn't work too well. You don't really want mining production to influence the money supply and therefore the economy as a whole. Gold and silver were at least partially to blame for the recessions of 1873, 1893, and 1896.
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SurfsUp
Jul 10, 2019 3:54pm
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Agreed Ef5. Why? Some people seem to be striving for long lost glory - a return to a past where all was good and right in the world..................But, when we look back, there are normally good reasons we made a change. Given US isn't biggest producer of gold in world, wouldn't we just give up some of our leverage by going back?
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