Trump Nominates Gold Standard Supporter To Federal Reserve Board

Trump Nominates Gold Standard Supporter To Federal Reserve Board

On July 2nd, President Trump nominated Judy Shelton to fill one of the two open positions on the Federal Reserve board.

Judy Shelton currently has the position of U.S. Executive Director of European Bank of Reconstruction & Development. According to multiple sources, Shelton is a strong supporter of the gold standard and has heavily criticized the Federal Reserve. It was noted that in a 2018 piece published by the Cato Institute regarding cryptocurrency she wrote,

“If the appeal of cryptocurrencies is their capacity to provide a common currency, and to maintain a uniform value for every issued unit, we need only consult historical experience to ascertain that these same qualities were achieved through the classical international gold standard,”

Shelton also stated,

“In proposing a new international monetary system linked in some way to gold, America has an opportunity to secure continued prominence in global monetary affairs.”

According to The New American, Shelton would prefer to see the Fed’s interests rates cut to nearly zero. She has also claimed that the Federal Reserve is partly to blame for the 2008 economic crash. In a Wall Street Journal opinion piece she stated,

“No other government institution had more influence over the creation of money and credit in the lead-up to the devastating 2008 global meltdown,”

In the same piece she also wrote,

“And the Fed’s response to the meltdown may have exacerbated the damage by lowering the incentive for banks to fund private-sector growth.”

Most mainstream economists postulate that a move to the gold standard is less possible now than previous times in our history that it has been installed. University of Chicago economist Anil Kashyap said,

“A gold standard regime would be a disaster for any large advanced economy,”

Hopefully third time is a charm for the Trump Administration. The previous two candidates President Trump nominated were supporters of the gold standard, but ultimately were withdrawn as candidates due to lack of Senate support. Time will tell if this pick pans out well for Trump and more importantly the people of the United States.

Sources:
https://www.thenewamerican.com/economy/economics/item/32801-trump-s-latest-federal-reserve-board-pick-backs-the-gold-standard

https://www.cbsnews.com/news/trumps-fed-pick-judy-shelton-gold-standard-explained/

Author: 777 Media Source

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