Self liquidating credit fekete

In other words, they would get gold back, ounce for ounce, in coined form, and the cost of minting would be absorbed by the government, the same way as it absorbs the cost of maintaining highways in good repair.

Conversely, owners of the gold coins of the realm must have the right to hoard, melt down, or export them as they see fit. This is designed to vest the right to regulate the money supply in the people, rather than in unelected bureaucrats.

To say that the gold standard is not practicable is the same as saying that the government should be exempted from the provisions of the Criminal Code in its dealings with its subjects. First, the government should open the Mint to gold.

This means that everybody who wants to convert his gold of the right quantity and quality into gold coins of the realm should be able to do so at the Mint, free of seigniorage charges, and with no limit imposed on the amount.

Forcing bilateral trade upon Germany was equivalent to peacetime blockade whereby the allied powers could monitor and control Germany’s imports and exports. The Great Depression and the 1931-1936 collapse of the international gold standard was due to the forcible elimination of the multilateral financing of world trade with real bills.

There are on average 75 business days in a quarter.The indecent haste with which they were railroaded through the constitutional process betrayed the bad conscience of the authors.One of the key principles supporting a gold standard is that jurisprudence cannot tolerate a double standard of justice.It collapsed because of its clearing system, the bill market was blocked.Falling prices in 1930 were not the cause of the Great Depression: they were the effect. Incidentally, falling interest rates were in turn caused by the illegal introduction of “open market operations” by the Federal Reserve of the United States in 1921, whereby the central bank pays bribe money, in the form of risk-free profits, to bond speculators for bidding bond prices sky-high.

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