Three Republican Congressmen Introduces Gold Standard Bill to Stabilize the Dollar

Three congressmen, West Virginia Congressman Alex Mooney, Arizona Congressman Andy Biggs, and Arizona Congressman Paul Gosar recently introduced a sound money bill that would re-peg the Federal Reserve note “dollar” to a fixed weight of gold bullion. 

The legislation in question is H.R. 2435, the Gold Standard Restoration Act, would give the United States Treasury and the Federal Reserve 24 months to publicly reveal all gold holdings and gold transactions. After this time window transpires, the Federal Reserve note “dollar” would be formally re-pegged to a fixed weight of gold at its market price at the time. 

According to Money Metals New Service, Fed notes would become fully redeemable for and exchangeable with gold at the new price. The US Treasury and its gold reserves would backstop Federal Reserve Banks as guarantors. 

“A gold standard would protect against Washington’s irresponsible spending habits and the creation of money out of thin air,” declared Mooney in a statement.

“Prices would be shaped by economics rather than the instincts of bureaucrats,” he added. “No longer would American families, businesses, and the economy as a whole be at the mercy of the Federal Reserve and reckless Washington spenders.”

On top of that, the Gold Standard Restoration Act highlights how much damage the Federal Reserve System has done to the US dollar. 

H.R. 2435 noted the following: “The Federal Reserve note has lost more than 40 percent of its purchasing power since 2000, and 97 percent of its purchasing power since the passage of the Federal Reserve Act in 1913.”

“At times, including 2021 and 2022, Federal Reserve actions helped create inflation rates of 8 percent or higher, increasing the cost of living for many Americans to untenable levels…enrich[ing] the owners of financial assets while… endanger[ing] the jobs, wages, and savings of blue-collar workers,” H.R. 2435 highlighted.

Of particular interest, Mooney’s legislation would additionally require full disclosure of all central bank and US government gold holdings and financial transactions connected in the past 60 years. 

“To enable the market and market participants to arrive at the fixed Federal Reserve note dollar-gold parity in an orderly fashion… the Secretary and the Federal Reserve shall each make publicly available… all holdings of gold, with a report of any purchases, sales, swaps, leases, and any other financial transactions involving gold, since the temporary suspension in August 15th, 1971, of gold redeemability obligations under the Bretton Woods Agreement of 1944,” the bill stated.

Sound money organizations and prominent individuals in the sound money sector have praised Mooney for introducing this legislation. 

“Government cannot continue to spend and print on a massive scale without producing existential threats to the currency and our economy,” stated Lawrence W. Reed, president emeritus of the Foundation for Economic Education.

“The gold standard never failed America, bad ideas and bad politicians did. If we do nothing, disaster awaits us just as it drowned earlier civilizations that spent and inflated their way to ruin,” Reed added.

“Today’s debt-based fiat-money system serves primarily to support big government and wealthy financial insiders—while the Federal Reserve’s serial policy of currency debasement punishes savers and wage earners,” observed Stefan Gleason, president of the Sound Money Defense League and Money Metals Exchange.

“A return to gold redeemability would arrest the problem of inflation, restrain the growth of wasteful and inefficient government, and kick off an exciting new era of American prosperity,” Gleason said in a concluding remark.

The US desperately needs sound money. Ever since the creation of the Federal Reserve in 1913, the US has seen its otherwise limited system of governance transform into a bloated warfare/welfare state. The fact is fiat money is the lifeblood of a monster state and it’s every politicians’ wet dream. Why use direct taxation, when the political class can print out beaucoup bucks to help finance its largesse? From there, individuals are hit by the hidden tax of inflation, which many people still can’t comprehend. 

If socio-economic stability is a goal for the US, it must categorically reject fiat money and do everything possible to revert to sound money. Mooney’s legislation is a first step in the right direction towards moving to a free market monetary ecosystem.

Our Latest Articles