Is Congress Putting the Dollar Back on the Gold Standard? // 2018 bill act explained government david moadel
welcome to looking at the markets with David Modell there's something that's
going on in the United States Congress that I really want you to know about in
case you don't know about it already because it's likely to affect precious
metals the dollar bonds and the stock market - so let's talk about it if you
go to congress.gov there it is congress.gov it's an official government
website and you go to the search box and you type in hr5 4:04 this is what you'll
find it's a bill it's not a law yet although it might become one HR 5 4 0 4
to define the dollar as a fixed weight of gold in case you don't know already
the United States dollar was taken off of the gold standard a long time ago
the exact year is debated some people say this happened in 1913 we were tuck
it was some people say we were taken off of the gold standard in 1913 when the
Federal Reserve was established others put it at 1933 and others put it at 1971
when President Richard Nixon officially took us off the gold standard I tend to
go with 1971 as the year when it really happened but others say 1913 or 1933
whatever okay so anyway we're not on the gold standard and have not been for a
long time we are on the Fiat Standard which means that the United States
dollar is only valuable or worth something because the government says so
that's it all right it's not backed by something like gold which at least is
tangible its physical it's measurable all right so this bill the sponsor is
representative Alexander Mooney it was introduced March 22nd 2018 in the
committee is the House Financial Services and it's just in the
introduction phase it has not passed the house or the Senate has not gotten to
the president yet certainly not a law yet although it could be although a lot
of bills died in the Senate as well all right here it is HR 5 4 0 4
and this is hugely important this should be front page news everywhere I think
and that's why I'm talking about today to define the dollar as a fixed weight
of gold basically to put us back on the gold standard all right now Congress
finds the following the United States dollar has lost 30% of its purchasing
power since the year 2000 that's pathetic
30% of your your dollar is worth 30% less and that's just since 2000 and 96
percent of its purchasing power since the end of the gold standard in 1913 as
I said it's debatable when the United States got off the gold standard but
anyway 96 percent of the purchasing power of the dollar lost since 1913
that's horrendous under the Federal Reserve's 2% inflation objective the
dollar loses half of its purchasing power every generation or 30 or 35 years
that's terrible
there's a lot here but I mean this is Congress saying this this is not some
you know person walking down the street just talking to himself making these
things up you know this is from the United States Congress itself admitting
this the American economy needs a stable dollar fixed exchange rates and money
supply controlled by the market not the government
the gold standard puts control of the money supply with the market instead of
the Federal Reserve the gold standard means legal tender defined by and
convertible into a certain quantity of gold and so every dollar would be worth
a certain amount of gold and could be exchanged for gold like it once could a
long long time ago and finally you know Mike I'm not gonna read all this I want
you to read it on your own restoring American middle-class prosperity
requires change in monetary policy authorized by Congress now whether
Congress can save us is questionable it really comes down to the American
people you and me educating ourselves we can't count on
Congress to do these kinds of things for us making the dollar worth something
again all right but could this be a step in the right direction and does it have
a chance of passing remember it has to go through the house that's to go
through the Senate the president would have to sign it for it to become a law
and of course laws need to be enforced properly there has to be oversight and
there has to be trust well I don't think there's a lot of trust in the American
government right now or in Congress for sure so a law would have to happen even
if this pass even if this passes afterwards a lot would have to happen
for the American dollar to find its footing and to actually be worth
something or worth have enough stability to continue to be worth something
in future years and future generations that's a tough road but I want you to be
aware of this am i telling you to support it or not support it that's up
to you I cannot tell you how to feel or how to think but I will ask that you
think and act on your own and in an an informed way and I want you to be aware
of what's going on in Congress I don't want this to be just something that only
a few people know about I want you to be aware of it and I want you to use your
votes make your voice heard and be educated and make your own decisions all
right I think this is huge I think this has implications for stocks bonds
precious metals and much more and your purchasing power with the dollar all
right so check it out read it and understand it I'm going to try to keep
you updated on what's going on my name is David Modell this is looking at the
markets I hope you'll like this video give it a thumbs up on YouTube subscribe
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keep checking back here thanks a lot I appreciate it and I'll talk to you again
soon