Check out these two characters on CNBC this morning, Moorad Choudhry, head of treasury at the corporate banking division of RBS and Ralph Silva, director at Silva Research network. Choudhry described the idea of returning to the gold standard as 'nonsensical' and 'ludacris'.
In actuality, his comments were 'nonsensical', since he said there wasn't enough gold to back up US debt. Well, he's wrong here. Since this is simply a math problem. If you want to derive a relationship between gold and US debt, you take the dollar amount of US debt and divide it by the number of ounces of gold and you get debt per ounce of gold.
But note how Choudry seems more concerned about paying off government debt than actually having US gold used to back up the dollar---dollars which are held by average Americans. That's the gold standard---not directly backing up US debt. Also note that Choudry states that it was a good thing that the US went off the gold standard in the 1970s because it allowed the US to print money at will, as opposed to be limited by the quantity of gold. Bottom line: Choudry is a typical bankster, he is more concerned about insuring that government debt wil be paid off, even if it takes monetary inflation to do it, rather than showing any concern about the economic distortions caused by such money printing. He hates gold because he knows that it would stop mad government money printing.