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The Gold Standard

Decent Essays
The Gold Standard
As I signed my paycheck and handed it to the bank teller, I began to wonder if the number on that one piece of paper truly held its worth. This is a question we all ask in today 's world; does
$100 really equal $1 OO? In the past 4,000 years, the world has experimented using different types and styles of monetary systems (Forbes.com). The United States of America (U.S or U.S.A) has, over her few short years of being a country, been through a number of these monetary systems which have caused the value of our dollar to change. Many of these systems were ineffective and poorly organized. Some of those systems include bi-metal, mono-metal, individual bank charted paper, and now a non-backed, Federal chartered
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Even though throughout history many nations have used a bi-metal system, in the late 1800s when America was experimenting with monetary systems it became too complex to have paper money for both gold and silver. Many farmers and ranchers in the middle of the U.S. pushed for this system as it would offer another slightly easier to obtain currency; silver. If this system had been fully adopted it would have helped thousands of small businesses quickly, but ultimately would have been a jumbled disaster as they would get poorer thus leaving the nation without food. These complexities led to their eventual abandoning of that system.
The second to last generic system that the U.S. tried was the Gold Standard. The Gold
Standard is a mono-metal style system that has been around since well before the New Testament time period. Some suspect that since the beginning of time men have used gold as money in one form or another. The fourth Secretary of the Treasury of the United States of America Albert
Gallatin, is one of these believers. He once said, "Gold and silver are the only substances, which have been, and continue to be, the universal currency of civilized nations ... it may be safely inferred, that they have also been found superior to any other substance in that permanency of value." Due to people having realized the universality of silver and gold, a person could at one point in time potentially travel the world using the same
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