Returning to a gold standard-type format would restore the faith of foreign and U.S. investors, as well as put a cap on spending because we would only be able to print as much money as the gold we have in our vaults.
Fort Worth (PRWEB) June 11, 2014
A June 6 Fox Business article outlined the strategy billionaire investor and media mogul Steve Forbes would use to shore up the U.S. dollar’s solvency, and Certified Gold Exchange spokesperson Janet Jones has gone on the record to say she believes Forbes’ goal is lofty but may not be enough to save a currency that has declined steadily in value in recent years. Jones believes a return to physical gold or a gold standard could restore the world’s faith in U.S. economic policy, but she also said, “his idea is brilliant and bold, but backing the U.S. dollar with gold may be a case of ‘too little, too late’ at this point in the inflationary cycle.”
“Since President Nixon removed the United States from the Gold Standard in the 1970s, the Federal Reserve has had free reign to print and spend as much money as it wanted,” said Jones. “Returning to a gold standard-type format would restore the faith of foreign and U.S. investors, as well as put a cap on spending because we would only be able to print as much money as the gold we have in our vaults.”
That spending cap, Jones believes, is the problem. “We don’t have any gold to speak of as a nation, really,” she said from her Fort Worth office on Monday. “The gold that used to be in Fort Knox has been sold to other nations over the years, and the lack of an independently verifiable audit of the gold in U.S. government vaults means we don’t have enough gold to back up the money already in circulation, let alone any additional funds.”
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