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A comment on The Specter of Protectionism: World Faces New Wave of Currency Wars. Parent comment

Re:The Specter of Protectionism: World Faces New Wave of Cur... by gaius on Wednesday October 06, 2010 @10:03AM (#1763945)
The clue is the text on the note "I promise to pay the bearer on demand the sum of..." - you could walk into the Bank of England with a note and get the equivalent in gold (theoretically anwyay!)
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Re:The Specter of Protectionism: World Faces New Wave of Cur... by Tichy on Wednesday October 06, 2010 @11:19AM (#1764273)
That's what I said - you can't print more money as long as you are on the gold standard.
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Re:The Specter of Protectionism: World Faces New Wave of Cur... by gaius on Wednesday October 06, 2010 @12:02PM (#1764493)
Yes you can - you're just gambling that there won't be a run on the bank. That the fact that someone knows they could convert your note into gold meaning they never actually do it.
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