The gold standard, which was once widely criticized by economists and financial officials, served as the monetary system in the United States for 180 years. During this time, the country experienced significant economic growth and did not suffer from inflation. However, after the dollar’s tie to gold was severed in the early 1970s, economic growth rates fell by about one-third.
Despite its historical success, the gold standard has been met with universal scorn in recent years. Central banks have been purchasing gold at a record pace, indicating a possible shift in attitudes towards the precious metal.
Recent events have brought once unthinkable ideas to the forefront, and it seems that there are unmistakable signs of change regarding the role of gold in the global economy. This segment of What’s Ahead delves into these signs and explores the potential implications of a renewed interest in the gold standard.
