TY  - JOUR
AU  - Flood,Robert P.
AU  - Garber,Peter M.
TI  - Gold Monetization and Gold Discipline
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 544
PY  - 1980
Y2  - September 1980
UR  - http://www.nber.org/papers/w0544
L1  - http://www.nber.org/papers/w0544.pdf
N1  - Author contact info:
Robert Flood
Notre Dame
E-Mail: rflood1@nd.edu

Peter M. Garber
Deutsche Bank
60 Wall Street
New York, NY 10005
Tel: 212/250-5466
Fax: 212/250-2628
E-Mail: peter.garber@db.com
AB  - The paper is a study of the price level and relative price effects of a policy to monetize gold and fix its price at a given future time and at the then prevailing nominal price. Price movements are analyzed both during the transition to the gold standard and during the post-monetization period. The paper also explores the adjustments to fiat money which are necessary to ensure that this type of gold monetization is non-inflationary. Finally, some conditions which produce a run on the government's gold stock leading to the collapse of the gold standard and the timing of such a run are examined.
ER  -