8 August 2007

Relative standard

An odd idea that gets resurgence every election is the Great Return to the Gold Standard. Earlier today, I was reading about the bank shenanigans that were recently occurring in Second Life. The bank Ginko Financial was attempting to--IIUC--purchase the AVIX stock exchange using IPO funds from AVIX. I always think that financial systems are like the Ouroboros anyway, so this just seemed horrible and appropriate to me even though the deal was quickly squelched. /. picked up a related story about a bank run on the same bank after it had been robbed by a former employee. To this, gold standard proponents naturally came out of the woodwork. There were many interesting financial threads, but one poster provided two good links on (1) an argument against gold by Paul Krugman and (2) Creating Money by someone I'm unfamiliar with. Both good reads.

[ posted by sstrader on 8 August 2007 at 5:29:05 PM in Culture & Society ]