The Gold Standard as a fatalistic religious dogma
Next time someone tells you the gold standard was good and we should return to it as a way to help the economy or whatever, just remember this (from Matt O’Brien at the Atlantic):
“This libertarian worldview is fundamentally a religious one. The Market metes out its punishment for our speculative sins with the quite-visible hand of recessions. And we must accept its judgment. Doing anything to avoid our penance is just blasphemy against the one, true faith.”
And then remember that economics is not a morality play. We don’t have to accept unnecessary suffering in the economy. This is what frustrates me so much about the Bitcoin/Gold Standard/Ron Paul/Rand Paul/Austerian viewpoint. It’s a fatalistic outlook on the world.
UPDATE: Here’s a similar take down from Neil Irwin who writes: “Pause for a minute to consider how fundamentally nihilistic Stockman’s view of the economy seems to be: that basically anything the state does to try to fix things is undermining some elegant capitalist order and will inevitably lead to chaos.” More here.