Friday, November 14, 2008

It's Time To Return To The Gold Standard...

...says Judy Shelton.

Her WSJ Op-Ed piece should be required reading for every attendee of the upcoming G-20 meeting, "Summit on Financial Markets and the World Economy". It should especially be read by the promoter of the summit, French President Nicolas Sarkozy, who displays no friendliness to gold at all.

After all, Shelton reminds us:

Ironically, it was French President Charles de Gaulle who best made the case in the 1960s [for a classic gold standard]. Worried that the U.S. would be tempted to abuse its role as key currency issuer by exporting domestic inflation, he called for the return to a classical international gold standard. "Gold," he observed, "has no nationality."

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