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Except Gold Certificates are fake money. Which might be why I said: but at least you get a clear signal when they get repudiated. When, not if. I think this

• dragontamer 11y ago
  http://news.gtp.gr/2015/07/28/greek-depositors-allowed-to-withdraw-weekly-e420-as-of-wednesday-july-29/ http://news.gtp.gr/2015/07/28/greek-depositors-allowed-to-wi... I don't see how a gold standard would change any of this. Should the banks have issues, they will legally prevent bank runs by making it impossible to withdraw money. Whether or not a bank is tied to the gold standard, this will occur. > When, not if. I think this may be better than how fiat money "works", but obviously opinions vary. No sarcastic "quotes" needed. We both know that both Gold Standard and Fiat Money works. The question is if anyone has actually studied the 1800s economy and honestly can tell me that it was better than the 1970s+ economy. Bank runs a plenty, private persons losing their entire savings as banks folded. Etc. etc...
  • hga 11y ago
    Bank runs a plenty, private persons losing their entire savings as banks folded. The fixes for those have only a limited bearing on a gold standard, which, BTW, I have no interest in debating, don't know much about them. It was institutions like the FDIC with its limited backstop of bank accounts, and during the recent crisis a backstop for non-interest bearing business transaction accounts (e.g. those used for payroll, accounts payable, etc.) that fixed those problems well enough. As far as I can see a gold standard would only be an issue if it would prevent the government from doing that, which is certainly possible, but would not be a direct or inevitable thing.