Breakdown of the Gold Standard | The Twilight of Gold Series | Episode 10 (WiM178)
The "What is Money?" Show
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What Is the Commitment Mechanism of Gold?
During the war, governments gave scant thought to the monetary aftermat. They conscripted the central banks into the service of their respective treasuries. Managing the national debt meant manipulating the capital markets in order to facilitate placing government bonds issued in unprecedented volume. This break with the most respected fiscal and monetary traditions came about suddenly. Laws limiting the extension of central bank credit through the moditization of government bonds were either cancelled or disregarded,. That's that's exactly what we're living through right now.
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