"Suddenly gold is
being proposed as a cure-all for the weakening dollar, allowing it to retain
its place as the international reserve currency — a trophy taken, not without a
fight, from the British pound at the Bretton Woods conference in 1944.
Predictably, many commentators are reducing the most sophisticated, technical
economic issues to a paella of nationalism, confusion about basic economic
facts, and old-fashioned avarice.
To help throw up some light, let’s start with the simple questions: How is a classical gold standard supposed to work? How did it actually work out in the past? Why did previous versions of the international reserve currency lose their mantle? What is the record of the fiat currency version of the dollar as an international reserve currency? And why is it now rather than some other moment that gold is so much discussed?"
http://blogs.cfainstitute.org/
To help throw up some light, let’s start with the simple questions: How is a classical gold standard supposed to work? How did it actually work out in the past? Why did previous versions of the international reserve currency lose their mantle? What is the record of the fiat currency version of the dollar as an international reserve currency? And why is it now rather than some other moment that gold is so much discussed?"
http://blogs.cfainstitute.org/
