A Moment in History: Nixon explains to the nation that he is detaching the dollar from gold to “stabilize” the dollar.

They didn’t call him Tricky Dick for nothing.

The truth is we spent a fortune fighting in Vietnam and fighting “The War on Poverty” at home and we were tapped. When the the international community (especially the French and British) wanted to be paid back in gold, as was their right under Bretton Woods, for the money we had borrowed from them, Nixon told them to take a hike.

The main problem was that gold by decree was supposed to be $35.00 an ounce. The real world however was paying $44. You can see the problem. The US was bleeding gold and Nixon thought he had to do something. He chose the wrong thing however. He should never have completely abandoned gold.

His decision 40 years ago has had grave ramifications for us today. By disconnecting the dollar completely from gold Nixon unleashed the state.


Nick Sorrentino

About Nick Sorrentino

Nick Sorrentino is the co-founder and editor of AgainstCronyCapitalism.org. A political and communications consultant whose clients have spanned the political spectrum, his work has been featured at Chief Executive MagazineBreitbartReason.com, NPR.com, Townhall, The Daily Caller, and many other publications. He has spoken at CPAC, The Commit Forum, The Atlas Summit, The US Chamber of Commerce, The National Press Club, and at other venues. Sorrentino is the CEO of Exelorix Consultants and a senior fellow at Future 500. A graduate of Mary Washington College he lives just outside of Washington DC where he can keep an eye on Leviathan.

127 comments
Keith Thompson
Keith Thompson 5pts

Maybe England and France would like to pay us back after WWI and WWII in gold ?!?!

Lauren Sanko
Lauren Sanko 5pts

Ah the Nixon shock, all downhill from there

Jennifer Valenzuela
Jennifer Valenzuela 5pts

But it doesn't cover France's moves before hand or the overheated economy of LBJ

Ted Huss
Ted Huss 5pts

Productivity is the real value (or lack of) measurement of the dollar, but a Gold Standard would reinforce it.

Kerry Getz
Kerry Getz 5pts

That was akso against the Constitution.

Ronald McClain
Ronald McClain 5pts

You forgot to mention it was the DEMOCRATS WAR and NIXON got us out . One of those little things liberals like to forget. HISTORY doesn't change.

Kari Slay Carr
Kari Slay Carr 5pts

They're trying their best to change it though!!!

John Gifford
John Gifford 5pts

This way the government could print all of the money it needed.

John J. Homiak
John J. Homiak 5pts

Just one of the first Republican tricks to take advantage of the American public.

Mortaryan
Mortaryan 5pts

Isn't it a fact that the monetary system attached to gold makes wealth zero-sum, and freeing the money from gold backing frees our monetary system from zero-sum wealth?

Michael Morano
Michael Morano 5pts

The dollar has been detached from gold for a long time. He just closed the gold window, or there would have been no gold left in Ft. Knox

Brian Edward Croner
Brian Edward Croner 5pts

That video makes my stomach turn. I can't watch more than a few seconds of it because I simply can't stand it.

Richard Stiek
Richard Stiek 5pts

Nixon just closed the exchange window. We hadn't been on the gold standard for many decades at that point.

Bill Wws
Bill Wws 5pts

I thought FDR took us off TE gold standard in 1933

Garry W Holt
Garry W Holt 5pts

No, FDR simply criminalized the possession of gold by mere citizens.

Steve Bengel
Steve Bengel 5pts

My local bank still has the telegram they received about turning the gold back in to the government framed and hanging on their wall

Mark S. Hankins
Mark S. Hankins 5pts

Being on the gold standard externally imposed a discipline our profligate political class could no longer shoulder.

Steven Charles Ault Myers
Steven Charles Ault Myers 5pts

We were officially removed from gold ties by this legislation. Eliminating the $35/oz standard. Ford would sign legislation in 1974 to once again allow Americans to own gold bullion

Joe Boyum
Joe Boyum 5pts

american currency is backed by american sovereign debt. as long as the government can tax its citizens to finance the debt american currency has value. the end

Daniel Turner
Daniel Turner 5pts

They put everything the American people own or will ever own up as collateral to back their debt.

Joe Boyum
Joe Boyum 5pts

Daniel Turner I look forward to the time when non payment of income tax is looked at as a revolutionary act

Kevin Donoghue
Kevin Donoghue 5pts

the theft began to fight Vietnam war. has never stopped. collapse is coming.

Paul Peterson
Paul Peterson 5pts

One of worst acts of the Nixon Kissinger years.

Jack Gardner
Jack Gardner 5pts

Nixon gets blamed for taking us off the gold standard, but he had no choice. Fractional reserve banking caused there to be many more bank notes than there were gold reserves. As foreign countries realized this, they began to cash their notes for gold. If he had not done this, the US would have had to give away all of their gold on hand and still have notes in circulation.

Ronald Christensen
Ronald Christensen 5pts

We spent the really, really big money in Iraq and we did not even pay for that war !

Andrew Nguyen
Andrew Nguyen 5pts

The last gatekeeper against the state was destroyed

Larry A. Roth
Larry A. Roth 5pts

Yet it wasn't legal to own physical gold (except as jewelry or as a part of some collection) until 1988. The ban on possession of physical gold started in 1933 (thank you FDR) as an effort to control the economic depression... which of course, didn't work, but gave the govt vast new authority...

Mark Carpenter
Mark Carpenter 5pts

One cog in the destruction of the US economy. started with the establishment of the Fed, then FDR's policies, then the military industrial complex after WWII, then walking away from the gold standard. And the beat went on. Overspending, career politicians, NAFTA, borrowing from other nations, corporate manipulation of congress, moving core manufacturing overseas, etc etc. Just a peek at history and the step by ugly step disintegration of the republic becomes evident. Why can so few see this?

Against Crony Capitalism
Against Crony Capitalism 5pts

"Petrodollar Warfare" - good book. Don't agree with a good bit of it but very interesting. Will make one look at the Iraq War in a different way to be sure.

Dean El Loca
Dean El Loca 5pts

margeret.. your a liberal troll.. i bet you would cream your panties if us currency fell apart.. thats exactly what they want

Joe Yeiser
Joe Yeiser 5pts

same with obama care, it's doing exactly what the president wants. it's not a failure. he'll make things really bad and awful and people will demand a fix and the fix will consolidate more power in washington permanently.

Loren Montgomery
Loren Montgomery 5pts

Roosevelt took the country off the gold standard and created the fed reserve. I remember before I went to high school the Silver Certificates being taken out of service and replaced by the Federal Reserve note which is worthless

Rick Benet
Rick Benet 5pts

It was real estate speculation and the fed loaning money for property the average worker could not get for the average house from yhe average bank loan.

Rick Benet
Rick Benet 5pts

We never had enough oil to back anything

David A Miller
David A Miller 5pts

Obama and Nixon brothers in kiting and deceit. They are both "crooks"