I think he said something like gold doesn't provide a stable currency - and used 1971 as an example.
I have to completely disagree with that.
I don't care whether it is fiat, gold, pigs, bitcoins or seashells as a currency base ----------
when you get a profligate borrower and spender like the USA and you get people stupid enough to just keep loaning them money. You watch them go to war - particularly when you know they are on a hiding to nothing and there is no war booty -----
then no currency base is safe.
On top of that you have allowed a huge amount of that base - in this case gold - to be stored in the irresponsible one's possession - and you have in hand more of their paper than you can fit in a truck ------- the situation is dire.
The frogs were lucky and smart.
Smart enough to get their gold and lucky enough that the yanks still had enough left.
I completely disagree with Armstrong ---------- gold can be a stable monetary system base ----------
what is unstable are economies like America ----------
they will go the way of the Romans, and all previous empires.
And, imo, they are well down the track.
Remember, when the Romans fell over - they also had big military -- it was just ground down to nothing over a little time.
