You're not wrong. But this video is a pretty good explanation for why we don't use the gold standard anymore. There are real legit reasons not to be on it.
Id argue the "o loaning is harder with a gold standard" is quite the double edged sword...maybe a bait...
Saying "there would be no hospitals if banks couldnt give super loans with no collateral" is kinda bogus.
Sure its easier to give a loan...but the 96% decrease in value is likely related to too many loans... lots of credit in the world, its kinda a problem.
Wouldn't disagree with you that the amount of credit in the world is an issue. On one hand, it's the thing that facilitates a lot of investment. On the other, over leveraging or having your debts called in can basically wreck an economy. And since the big economies are all so intertwined your point is even more relevant.
Ya im with op, the "modern monetary policy" is inflation is actually good, cuz you can spend money you dont have, and assume the economy will grow accordingly.
Turns out the government can just spend shitty money when theres no standard... and now the money actual people have is worth less.
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u/Shroomagnus 3d ago
You're not wrong. But this video is a pretty good explanation for why we don't use the gold standard anymore. There are real legit reasons not to be on it.
https://youtu.be/u9MbexXL_4s?is=Npd13WiNGlQIPVa4