They are no longer on the gold standard because they were going to default on their debts if they did. Criminals
I like how this St Louis Fed post blames people for banks’ failings.
Flip it around. Banks irresponsibly created way more claims for gold than they had gold, kept defaulting, and lost trust. So the government made gold illegal to own for like 40 years.
There was no “shortage” of gold in the Great Depression. There was an excessive amount of fraudulent promises for gold, made by commercial banks and central banks.
https://www.stlouisfed.org/open-vault/2017/november/why-us-no-longer-follows-gold-standard

Discussion
No replies yet.