Saturday, April 9, 2016

John Cochrane on the gold standard


From Next Steps for FTPL:

No gold standard has ever backed its note issue 100%; and none has even dreamed of backing its nominal government debt 100%. If a government had that much gold, there would be no point to borrowing.

1 comment:

The spam filter's been acting up again lately. I'm aware, and checking it often.
Oh, what fun they must have with this at Blogger!