Steve Forbes: "The US Will Likely Have A Gold Standard Within The Next Five Years"

by Tyler Durden

"A return to the gold standard by the United States within the next five years now seems likely, because that move would help the nation solve a variety of economic, fiscal, and monetary ills. “What seems astonishing today could become conventional wisdom in a short period of time,” Forbes said.

Such a move would help to stabilize the value of the dollar, restore confidence among foreign investors in U.S. government bonds, and discourage reckless federal spending.

The United States used gold as the basis for valuing the U.S. dollar successfully for roughly 180 years before President Richard Nixon embarked upon an experiment to end the practice in the 1970s that has contributed to a number of woes that the country is suffering from now.

" Of course, for this to happen the US would first need to allow a full public audit of its gold 8,000+ ton reserves held at Fort Knox and elsewhere. And that may be problematic. "

By restoring the gold standard, the United States would shift away from “less responsible policies” and toward a stronger dollar and a stronger America, he said. “If the dollar was as good as gold, other countries would want to buy it.”

Notable Comment from the article:

Tethering our currency (otherwise known as our debt) to a gold standard would keep the coupon on that debt alive forever.

It would be a sham/e to see ~$14T in debt get stamped with the triple AAA of gold this late in the game, so that it pays the plutocrats forever. If the Fed is our largest creditor, it would keep the Fed and the entire plutocratic circle jerk alive forever.

Now THAT would be the ultimate scam! Wouldn't it?

And

Kick the US off the gold standard. Fleece the Treasury for multi-trillions over several decades. Money from the Treasury (American laborer) finds its way into the pockets of the plutocrats and their friends. When all meat has been chewed from the bone, return the Treasury to the gold standard so our hollowed out country does not collapse under the castles of our plutocrats. And the American laborer gets stuck with the gold-stamped debt.

With advise like that, Steve Forbes is far more dangerous than any caveman in Afghanistan.
- by Texas Gunslinger

http://www.zerohedge.com/article/steve-forbes-us-will-likely-have-gold-standard-within-next-five-years