There are different variations of the gold standard. To get a first class explanation of this subject visit
Gold Standard - Will It Return?
Here, we will discuss the probability of the world returning to this type monetary system.
A very valid question is, "Will the United States, or possibly the world, ever go back to using precious metals as the monetary system?"
Based on the current economic affairs in America, there may be no choice but to return to gold as money.
The reason we abandon the gold standard in the first place is because the government wanted the power to control the currency and the economy.
Gold is an asset class of its own and can not be inflated or deflated. Thus, if it is the standard of currency, the government has no control.
What that means is, they have to operate on the up and up because it's impossible to print more gold in order to cover their reckless spending habits.
Although they will put of a strong fight to prevent this from happening, they may have no choice.
In order to keep other countries investing in the dollar and paying our bills, the government may have to devalue it and back the new money with gold.
By doing this, other countries will feel more secure in buying United States treasuries as a way to invest their currency reserves.
Only time will tell if and when this happens, but the pace were are on with our printing and spending of the dollar, it's likely to be in the "not so distant" future.
The likelihood of this happening should give anyone a good reason to learn
how to buy gold.
Of course, there are many other reasons that support the ownership of gold.
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