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What Returning to the Gold Standard Would Mean for Your Wallet

Our money expert, Fox Business Network's senior correspondent Charles Gasparino, weighs in.

Yes, there is—if you think fixing air pollution would best be done by going back to the horse and buggy.

The argument for returning to the gold standard exists mainly among pseudo intellectuals on university campuses and some marginally smart TV personalities who think the U.S. economy was just grand before 1971, the year we went off the gold standard. For the record: The pre-1971 U.S. economy wasn’t all it’s cracked up to be: There were panics, a Great Depression, and banking crises all during a time when a dollar was worth its weight in gold.

The reality is that the gold standard was created for all the right reasons. But there were major problems with it, chiefly that the economy was beholden to mining and other intangibles in order to expand. However, I do agree with the “gold bugs” on one thing: The Fed has way too much power, and the endless money printing we’ve done in the eight years since the banking crash is like playing Russian roulette with the dollar—any time you vastly increase the supply of something, it usually means it’s going to be worthless.

Charles Gasparino is a Senior Correspondent at Fox Business Network and a columnist for Men's Fitness. Follow him on Twitter.

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