There's already about 1100 businesses in the US that accept specie, Euros, and other forms of currency along with our current fiat money (and a few that DON'T take dollars at all). Now the trend seems ready to go mainstream:
South Carolina May Reinstate Silver and Gold as Legal Tender
by Jeff Davis
I will say this for South Carolina–at least they are trying to escape the loathsome problems caused by the federal government.
A South Carolina website( http://www.midlandsconnect.com/news/politics/story...
) reports that “South Carolina lawmakers are proposing a bill that would give the state another form of legal tender. Sen. David Thomas, a Republican from Greenville, wants to make gold and silver coins another option in the Palmetto State. Lawmakers are calling it the Sound Money Legislation. ‘I’m no financial expert but am I smart enough to know that you can’t keep printing money when it has no backing,’ says SC Republican Representative Mac Toole.’ ”
Now, why can’t we elect a Congress that understands this?
The article notes “Thomas also wants a special joint committee to study the need and process for establishing an alternate currency. ‘For those of you who think this is a way to reestablish secession, the bill was passed in Utah and it’s currently law there,’ SC Republican Representative Mike Pitts. A similar bill has been introduced in the House. Both bills have been referred to committee.”
It will be interesting to see how far these bills make it. There are sinister forces in the US, who don’t want Americans to enjoy a stable inflation-free currency.
The article goes on “ ‘Sound money is fundamental money that has maintained its purchasing power over a very long time. Why does it do that? Because it has intrinsic inherit value. The piece of paper doesn’t have intrinsic value,’ says Dr. Steve Isom, South Carolina Sound Money. The group SoundMoney.com gathered at the State House for a press conference Wednesday morning. Rep. Michael Pitts, one of the House bill sponsors, was on hand along with Sound Money Chairman Dr. Steve Isom. The sponsors explain sound money holds its purchasing power over long periods of time. Proponents also say the additional tender would help protect the state’s financial situation in a failing economy, which is the reason they want to get back to the Gold Standard and get rid of the Federal Reserve.”
Laudable goals, but the problem with a partial replacement of Federal Reserve Notes with gold or silver coins is that with the high prices of gold and silver, a situation would arise where the gold and silver in the coins would be much more than their face value, and hoarders would step in and steal all the gold and silver specie, either to sell it to investors or melt the coins down for their precious metals.
What could work would be to simply mint gold and silver coins in specific weights and allow the public to choose either gold and silver for their salaries and daily transactions or the increasingly worthless Federal Reserve Notes. Supermarkets and other merchants could charge customers either in dollars or so many ounces of silver.
The problem is that state-backed solutions like this don’t address the whole central problem, which is the existence of the United States government and its bureaucracy and its gangs of armed enforcers like the FBI and DHS and the incredibly evil and unaccountable Federal Reserve Banking system.