0 votes

World Bank reaffirms Gold as "reference point" to monetary system reform

World Bank President Robert Zoellick reaffirmed his proposal to use gold as a "reference point" to reform the current international monetary system on Wednesday in Paris.

"What I suggested is that gold serves as a key reference point to allow people to assess the relations between different currencies," Zoellick told the press here at the end of his meeting with French President Nicolas Sarkozy in the Elysee Palace.

"It's an approach that we can take, others also estimate that we can establish a benchmark against prices of principal commodities," the World Bank president said in response to a journalist's question.

"I didn't propose a gold standard, which is an important distinction because it would directly link currency to gold," said Zoellick, denying reports that he had called for a return to the " gold standard" to modify the present monetary system, which he called "Bretton Woods II."


Trending on the Web

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.

He obviously thinks paper with words on it should remain

in use as money rather than actual money.

Maybe one day he'll get a clue.

Think About This Snip:

"a benchmark against prices of principal commodities,"

This guy must have figured this out by reading this from the Constitution, Article I:

"Congress shall have the power to....coin money, regulate the value thereof, and of foreign coin, and fix the standard of weights and measures."

I take this to mean that most prices in 1791 were loosely set in a ratio to Gold.

As crazy as it sounds, many people cannot figure the value of a product without help from a seller, because they have no idea what it costs to produce the finished product.



Is this competing currency?

Sounds like they don't really

Sounds like they don't really know what anything is worth these days.