Do you think a gold standard economy is better? This is why I think it is better The following section is a series of revised quotes taken form a book called The creature from Jekyll Island, by G. Edward Griffin. THE MISLEADING THEORY OF QUANTITY It often is argued that gold is inappropriate as money because it is too limited in supply to satisfy the needs of modern commerce. On the surface, that can sound logical - after all, we do need a lot of money out there to keep the wheels of the economy turning but, upon examination, this turns out to be one of the most childish ideas imaginable. First of all, it is estimated that that approximately 45% of all the gold mined throughout the world since the discovery of America now in government or banking stockpiles. There undoubtedly is at least an additional 30% in jewelry, ornaments, and privet hordes. Any commodity which exists to the extent of 75% of its total world production since Columbus discovered America can hardly be described as in short supply. The deeper reality, however is that the supply is not even important. Remember that the primary function of money is to measure the value to the items for which it is exchanged. The supply of gold in the world does not affect its ability to serve as money, it only affects the quantity that will be used to measure any given transaction. Why is a gold standard economy necessary? As of today all a government needs to do to increase their real income is slap some ink on paper and spend the proceeds on commodities doing things like this will cause inflation – a hidden tax for its population.