Re: RE: gold & god

[Doug Henwood <dhenwood@xxxxxxxxx>]

David Shemano wrote:

> Why does a gold standard guarantee deflation?  What exactly do you mean by
> that?
>
> Conceptually, why do you think that a gold standard does not allow for the
> elasticity of credit that capitalism needs?
>
> How about some gold standard quotes from Das Kapital?  I understand Karl was
> a bit of a gold-bug himself.

In vol. 1, yes. But in vol. 3, there's lots of juicy stuff about
credit. It's risky to get your Marx via Jude Wanniski.

In the second half of the 19th century, the U.S. was in recession or
depression or panic about half the time. Violent booms alternated
with violent busts. The proletariat was surly and rebellious and even
the bourgeoisie wasn't happy with the situation. Is that what we
should go back to?

Doug