January 24, 2012 § Leave a comment
Faux Capitalist on the Gold Standard
On liberty-themed radio shows and sites, one often hears the claim that fiat currencies don’t last long, and in some generous but inaccurate cases, that a fiat currency has never lasted more than a couple hundred years.
The English tally sticks were an example of a fiat currency that lasted more than 500 years. Before you say that it wasn’t a currency because it didn’t circulate widely, how is circulation between the citizens of England and the government not widespread circulation?
The gold double standard is this: pointing to examples of fiat currencies failing, and completely overlooking examples of failed gold standards. The argument is that it was government’s fault for historical instances of gold standards failing. Ah, but isn’t that the same blame foisted upon most fiat currencies as well?
One aspect of the gold double standard is the use of word association of fiat currency with fractional…
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