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One current presidential hopeful has a policy position of undoing that, by having the dollar become a stable unit of measurement against real commodities. It's
by gottorf 3y ago
One current presidential hopeful has a policy position of undoing that, by having the dollar become a stable unit of measurement against real commodities. It's an interesting idea, and perhaps one more realistic than going back to the gold standard.
- somenameforme 3y agoI don't entirely understand the difference? As the USD has no inherent value, if you stabilize it against a measurement of various commodities you end up with the same thing where 1 'unit' of commodity groups = $x USD. Perhaps it's that the volume of commodities expands more regularly, so eases expansion of the monetary base more than e.g. gold where there is limited supply expansion? [1] - https://fred.stlouisfed.org/series/A091RC1Q027SBEA https://fred.stlouisfed.org/series/A091RC1Q027SBEA