Real Bills vs. Rothbard's 100% Gold System
by Nelson Hultberg
September 6, 2005
In two recent articles, Fool's Gold and Real Bills, Phony Wealth, Sean Corrigan and Robert Blumen of the Mises Institute have put forth attempted rebuttals to Antal Fekete's work on the Real Bills Doctrine as a necessary accompaniment to a gold monetary system. They offer numerous economic arguments as to why real bills are supposedly dangerous instruments that will ignite inflation, and why Murray Rothbard's 100% gold standard is the only answer. There are four basic flaws in their analyses that I will cover in this essay. These are far from the only flaws, but I will leave a further and more theoretical examination to Dr. Fekete himself.
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