Gold standard

Introduction
1792–1862: The bimetallic standard
1862–79: The Civil War fiat standard
1879–1933: The gold standard
1933–71: The international gold exchange standard
1971–present: The fiat standard
Pros
- Pro 1: Gold’s value has been recognized throughout history, and a gold standard self-regulates to match the supply of money needed to back it.
- Pro 2: A gold standard reduces the risk of economic crises and recessions.
- Pro 3: A gold standard puts limits on government power by restricting the ability to print money at will and increase the national debt.
- Pro 4: A gold standard would stop excessive spending.
Cons
- Con 1: Gold’s availability and value fluctuates, which does not provide the price stability necessary for a healthy economy.
- Con 2: A gold standard limits the ability of the Federal Reserve to help the economy.
- Con 3: A gold standard and gold mining harm the environment and Indigenous communities.
- Con 4: A gold standard could harm national security by restricting the country’s ability to finance national defense.
Gold bullion and coins held by the U.S. Treasury
Price of gold vs. inflation and currency in circulation
Assessment quiz
1-minute survey
Discussion questions
Sources

References & Edit History Related Topics

Images & Videos

A stack of gold bars.

Salmon P. Chase

William Jennings Bryan

Seated portrait of President William McKinley in a dark suit, resting his arm on a desk and looking slightly to the side, circa 1900.

Delegates from multiple nations seated at long tables in a large hall, with a speaker at a podium and rows of international flags behind, at the Bretton Woods Conference, 1944.

Gold standard: Media

Should the United States return to a gold standard?

Videos

William Jennings Bryan

William Jennings Bryan

"Cross of Gold" speech by William Jennings Bryan, given at the Democratic National...

Video: Public Domain video

Images

A stack of gold bars.

A stack of gold bars.

Should the United States return to a gold standard?

© Shutter2U/stock.adobe.com

U.S. Mint

U.S. Mint

The first U.S. mint, built in 1792, Philadelphia, PA.

National Archives, Washington, D.C.

Salmon P. Chase

Salmon P. Chase

Chase did not support “greenbacks” while U.S. Treasury Secretary, but did later as...

Library of Congress, Washington, D.C.

Seated portrait of President William McKinley in a dark suit, resting his arm on a desk and looking slightly to the side, circa 1900.

Pres. William McKinley

McKinley ran on a pro-gold standard platform to win the U.S. presidency in 1896.

© Library of Congress—Corbis Historical/Getty Images

Delegates from multiple nations seated at long tables in a large hall, with a speaker at a podium and rows of international flags behind, at the Bretton Woods Conference, 1944.

The 1944 Bretton Woods conference.

The conference was attended by experts noncommittally representing 44 states or governments.

UN Photo

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