The Value of The American Dollar

[MetroLinerXLZ]

Folks, as disturbed as I was to watch this video on YouTube, this does make a lot of sense for what's going on now in reguards to the economic crisis. To be honest, this does kinda give me the chills...

http://www.youtube.com/watch?v=z6NfXk7Bvc8&feature=channel_page

[WMAveteran]

That video does grab your attention but it is factually incorrect.  This is what Section 10 of the Constitution says about gold and silver: "No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility."
Clearly the "gold and silver Coin" applies to the States and not the federal government.  This was written because some states were printing their own paper money that was unsupported by actual resources.  One very good reason why we are not on the gold standard is that there is not enough gold to support the level of commerce on earth today.  Yes, some governments have gold reserves as symbols of their stand to support their currency but as long as paper currency can be exchanged for goods and services there is no need to remain on the gold or silver standard.  Even with the current recession/depression a return to the gold standard would have no effect since it would not prevent people from high stakes investment gambling.