Larry White on Gold, Fiat, and Bitcoin: Determining the Ideal Monetary Standard
Macro Musings with David Beckworth
00:00
The Tension Between Central Banks and the Gold Standard During the Interwar Period
In the classical gold standard period before the war a lot of countries didn't even have central banks. In the interwar period it was central banks that were running the monetary system and the gold standard was along for the ride. There is a tension between having a self-regulating gold standard and having central banks because central banks are in a position to interfere with gold flows, try to speed them up or try to slow them down. Now, as far as can we go back on a gold standard while we still have central banks, I would say unless the central banks are committed to being passive, it's a problem.
Transcript
Play full episode
