Republicans put return to gold standard on table
The USA’s Republican party is giving serious consideration to making a return to the gold standard a part of its official policy platform.
According to the Financial Times (paywall) the Republican party is establishing a ‘gold commission’ as part of ‘growing recognition within the Republican party and in America more generally that we’re not going to print our way to prosperity.’
Drafts of the party platform call for a Fed audit and a commission to investigate re-establishing the link between the dollar and gold.
Some opponents of fiat money believe that a gold-backed currency will enable better planning and management of recessionary periods in the business cycle despite increasing their overall frequency.
The news arrives just as certain analysts speculate that China may be stockpiling gold in order to peg the Renminbi to the precious metal.