Dropping the Gold Standard

[baralleine]

Marco Polo (http://www.vivamalta.org/forum/showpost.php?p=10403&postcount=16) wrote this:

They turned against National Socialist Germany Because Germany opted out of the International Finance system by dropping the gold standard and bartering with their surplus instead (sort of like what IE would like to do with Europe's surplus food). The owners of International Finance (THEM) were thus unable to continue leeching off Germany's productivity.




Could you explain this further? Not the historical specifics, nor either what the Jews did, but rather why dropping the gold standard is a good thing. From my perspective, dropping the gold standard (it's what the whole world has done today) makes money a fictional resource, and gives the wrong impression, on which contemporary capitalism rests, that there exists unlimited growth potential. Dropping the gold standard means that the economy becomes more fluid and less stable, and more habitable for international finance. One of the ways forward, as I see it, is tying the economy down to the gold standard.

I'm eager for another perspective, as I'm aware my own could be flawed.

[Marco Polo]

http://video.google.com/videoplay?docid=-8753934454816686947

thats easier than explaining.

both sides have a valid argument. lets face it, todays problem is not so much as we are not tied to gold but that banks run the financial system instead of governments. if you dont have time to watch 3.5hrs of video try the ludwig von mises institute too.

fiat systems are not bad as such as shown in this system it is when the fiat system is in private hands that real problems exist.

i recommend the video as its a stress free way of understanding.

[baralleine]

Only problem is that I have a download limit, but thank you.

I still have a lot of ground to cover in order to understand economy in a critical manner.

[Marco Polo]

remind me if i dont reply and i will post some links. the video is easier to understand though.

download it after midnight and it shouldnt hit your limit. if u are with onvol that is the case at least. dl google video player and open the video with it.

[Marco Polo]

here are some links from mises. there are loads of other pieces regarding everything economical all over the net. i lean towards the earlier systems used by anglo american countries. it is them that put the west at the top of the world economically.

http://www.mises.org/

http://www.mises.org/studyguide.aspx?action=subject&Id=117

http://www.mises.org/studyguide.aspx

http://www.mises.org/articles.aspx

[Marco Polo]

an easier way of understanding may be researching how the federal reserve bank was created. there are threads here. its mainly myself and neverwinter who are interested in it.

its not really the dropping of the gold standard for some other method of exchange as germany did but the inflating of the money supply and manipulation of the economy by banks that makes the present system bad.

[Marco Polo]

salvador dali used to go to restaurants and doodle on the back of a cheque. he then paid with that cheque and the restaurant owners seeing they had a dali drawing on the back of the cheque did not cash it, but kept it as they thought its value would increase. in this way dali got to eat for free so long as the cheque was never cashed.

imagine the USA is Dali and his cheques are dollars. that is how the american economy is kept alive; all the dollars in circulation. international drug dealing BENEFITS the US economy as so many big dealers have billions of dollars but spend little of them and horde instead. if they are ever changed though.....hence why some nations switching to euros for trade is bad for america, very bad.

fractional reserve banking is the real problem from what i can see.