Forbes Predicts U.S. Gold Standard Within 5 Years
Reporting for Human Events, Paul Dykewicz interviews media mogul and former U.S. presidential candidate, Steve Forbes who predicts a likely return of the gold standard within the next five years, "because that move would help the nation solve a variety of economic, fiscal, and monetary ills". Forbes contends that "[w]hat seems astonishing today could become conventional wisdom in a short period of time." The idea "'makes too much sense' not to gain popularity as the U.S. economy struggles to create jobs, recover from a housing bubble induced by the Federal Reserve’s easy-money policies, stop rising gasoline prices, and restore fiscal responsibility to U.S. government’s budget". Forbes goes on to point out that:
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 media mogul and former presidential candidate said. 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, Forbes added.
If the gold standard had been in place in recent years, the value of the U.S. dollar would not have weakened as it has and excessive federal spending would have been curbed, Forbes told HUMAN EVENTS. The constantly changing value of the U.S. dollar leads to marketplace uncertainty and consequently spurs speculation in commodity investing as a hedge against inflation.