Going back on the Gold Standard at pre-WWI parity was a mistake. Churchill, then heading up the Exchequer, said it was his greatest mistake. Keynes advised against it. Churchill did this for all the wrong reasons, the main one being some sort of notion of "honor," and Britain keeping its word, or somesuch. At a minimum the country should have gone back to gold on the basis of a realistic new valuation, one that took account of the damage that WWI had caused to Britain's economy and finances. It had entered the war as the largest creditor nation on the planet, with London being the world's leading financial center. By sometime in 1917 Britain was a debtor nation, mostly to the US, and by the end of the war it was heavily in debt, with London having been supplanted by New York as the leading financial center. Had Britain gone back to gold at a price the Treasury could defend, things might have worked out better. Possibly not, as the US was not doing what it needed to do based on its new leadership role, a role it had no experience with, and was uncomfortable taking on.
The American dollar was taken off the gold standard in 1971 when Nixon went on TV to announce it. To my knowledge that was the last time any currency was backed up by precious metals. You have said that "since 2013" no country has been using the Gold Standard. I wish you (or someone else) would clear that up for me please. Was there a currency after 1971 that used the Gold Standard. I believe there was not.
Switzerland was the last country to end the gold standard in 1999. That vote was for a temporary suspension though, so 2013 is used as that is when a move to return to it was formally rejected.
"[...] flexible exchange rates and increased government intervention in monetary policy [...] became crucial tools for managing economic crises" For managing them and for creating them in the first place. Turns out the firefighter is also the arsonist.
Going back on the Gold Standard at pre-WWI parity was a mistake. Churchill, then heading up the Exchequer, said it was his greatest mistake. Keynes advised against it. Churchill did this for all the wrong reasons, the main one being some sort of notion of "honor," and Britain keeping its word, or somesuch. At a minimum the country should have gone back to gold on the basis of a realistic new valuation, one that took account of the damage that WWI had caused to Britain's economy and finances. It had entered the war as the largest creditor nation on the planet, with London being the world's leading financial center. By sometime in 1917 Britain was a debtor nation, mostly to the US, and by the end of the war it was heavily in debt, with London having been supplanted by New York as the leading financial center. Had Britain gone back to gold at a price the Treasury could defend, things might have worked out better. Possibly not, as the US was not doing what it needed to do based on its new leadership role, a role it had no experience with, and was uncomfortable taking on.
The American dollar was taken off the gold standard in 1971 when Nixon went on TV to announce it. To my knowledge that was the last time any currency was backed up by precious metals. You have said that "since 2013" no country has been using the Gold Standard. I wish you (or someone else) would clear that up for me please. Was there a currency after 1971 that used the Gold Standard. I believe there was not.
Switzerland was the last country to end the gold standard in 1999. That vote was for a temporary suspension though, so 2013 is used as that is when a move to return to it was formally rejected.
@@historypod well done. That's news to me.
"[...] flexible exchange rates and increased government intervention in monetary policy [...] became crucial tools for managing economic crises"
For managing them and for creating them in the first place. Turns out the firefighter is also the arsonist.
Very true
So
England
was before
USA