Idaho, West Virginia, and Washington D.C.--three locations where sound money has transitioned beyond the realm of ideas toward the stage of political action.
A recent article in the Post Register brings our attention to the Idaho Republican Platform, Article 1, Section 4 which states the following:
- “We recognize the failure of the Federal Reserve System to maintain a strong U.S. dollar and the danger of mercantile banks controlling the issuance of our currency.”
- “We believe the Federal Reserve Bank should be abolished and the issuing power restored to the people with the stipulation that the US dollar be backed by gold and silver.”
- “We believe Idahoans need to protect their savings from the ravages of inflation, which is hidden taxation, and encourage citizens to participate in a systematic acquisition of precious metals which represents real value as opposed to paper currencies.”
In a nutshell, certain Idaho Republicans just called for the abolition of the Federal Reserve and the reinstatement of the gold standard.
On a seperate front, US Representative Alex Mooney (R -West Virginia) introduced the Gold Reserve Transparency Act - H.R. 2559, legislation that calls for a complete audit of US Gold Reserves, the first since the Eisenhower Administration.
The Gold Reserve Transparency Act directs the Comptroller of the United States to undertake a “full assay, inventory, and audit of all gold reserves, including any gold in ‘deep storage,’ of the United States at the place or places where such reserves are kept.”
The Act seeks to make transparent a) how much gold the US actually has; and b) how much of it is encumbered by third-party obligations.
Note that US gold inventory has not been disclosed to the American public in over 65 years.
And given gold’s strategic importance as a monetary instrument and, potentially, a geopolitical weapon, the Act makes clear that such information shouldn’t be withheld from the American public.
H.R. 2559 also aims to establish a fair symmetry between government and the people it represents: while government assumes the right to audit private gold holdings, then private citizens ought to have the right to audit federal gold reserves.
In Washington D.C., one of President Trump’s economic advisors, Judy Shelton, has been vocal in her support for reinstating the gold standard, possibly starting with gold-backed Treasuries.
And it was President Trump himself who publicly “vowed” while on his 2016 campaign trail to abolish the Fed.
All three initiatives point to a crisis in confidence regarding the US Federal Reserve’s ability to maintain stability in the nation’s monetary system.
From the Fed’s monetary manipulations to it’s faulty measurement of the inflation rate, the fact remains that the average American’s purchasing power has been rapidly declining, and American households are getting poorer despite the nation’s massive economic expansion.
As the Post Register states in the title of the aforementioned article, Dollars worth less, soon will be worthless in the near future.
Hence the importance of gold and silver as the only “sound” measure to back the underlying intrinsic value of paper currency.
The pendulum of sound money legislation is slowly swinging in our direction. It’s just a matter of time.