"The gold coin standard, although imperfectly adhered to, permitted startling economic growth combined with falling prices in the 19th century," [Ron] Paul wrote in his 1981 book "Gold, Peace and Prosperity: The Birth of a New Currency." "In the 67 years since the abolition of the gold standard, the Consumer Price Index has gone up 625 percent. In the previous 67 years, under an imperfect gold coin standard, the CPI increased 10 percent."
Mark Thoma, an economics professor at the University of Oregon who also has written on the gold standard, said there's not enough gold in the world to cover the value of global transactions and thus alleviate the need for paper money — meaning governments would still want to float their currencies' value against gold.
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