Many people who does not study monetary history blame gold for 1929 recession.
In reality, that is far from truth. It was not about gold, it was about excessive credit that drove the speculations and bubble crash.
In 1929, people holding gold did well because deflationary depression made gold purchasing power rise.
Today, if one hold gold constant value, all other things crashes, gold rises in purchasing power. We also have a credit contraction (delfationary depression).
If you flatten your curve, then, stocks, housing, automobile and many other commodities crashes its value. It is the same occurance as 1929. And it is the invisible gold standard.
Past Federal Reverse VP John Exter's inverse pyramid explained this gold relation with other assets classes the best in both credit expansion cycle and credit contraction cycle.
