Consequences of Abolishing the Gold Standard
Before Alan Greenspan fell off the wagon in pursuit of government power, position, praise, and riches, in his 1966 speech, “Gold and Economic Freedom,” he said the following:
In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value… The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves.
This is the shabby secret of the welfare statists’ tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists’ antagonism toward the gold standard. (Emphasis mine.)
When Greenspan spoke in 1966, the public debt was just $325 billion and amounted to 40% of GDP. And that figure had been steadily falling from the WWII peak of 125%.
No more. The public debt now standards at $28.1 trillion and 127% of GDP and is rising at breakneck speed.
Article from LewRockwell