So here's a quote:
"Gold and economic freedom are inseparable, . . . The gold standard is an instrument of laissez-faire and . . . Each implies and requires the other.
Under the gold standard, a free banking system stands as the protector of an economy’s stability and balanced growth.
In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value. If there were, the government would have to make its holding illegal, as was done in the case of gold . . . .
The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves.
This is the shabby secret of the welfare statists’ tirades against gold. Deficit spending is simply a scheme for the “hidden” confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists’ antagonism toward the gold standard." - Ayn Rand
When Nixon took the U.S. Off of the gold standard and inflated the dollar, he was stealing from every country in the world. After World War II, the world's countries agreed to make the U.S. Dollar the international standard currency because it was backed by gold. We should abolish the federal reserve and go back to the gold standard to make our currency secure, honest, and out of the manipulating power of federal banks.
With the gold standard, I believe we would be able to reign in spending and inflation. This way, the dollar is not manipulated by the banks to their liking. The Federal Reserve is just as much "Federal" as the Federal Express. Instead of being a fiat currency not backed by anything, our currency would be fixed to the price of gold, which would make it more valuable.
Turning to gold standard would make it so that the currency cannot be controlled by the Central Bank. Under the current system, the only way to increase economic output and shift us out of a recessionary gap is through expansionary monetary policy. Pursuing the gold standard is dangerous because then we would need to rely on fiscal policy if we every want to get out of a recessionary gap. The government is prone to excess spending during recessions and reluctant to rein in spending during expansions. Any fiscal policy has harsh political opposition whereas monetary policy does not have to deal with the same resistance. It is quicker to implement, and also easier to rein in and control. Gold standard deprives us of all these advantages and brings us back to the Bretton Woods era. There was a reason we moved out of the Bretton Woods system of having gold standard.
A small amount of inflation is necessary to ensure that the economy doesn't enter the disastrous possibility of deflation which, ironically, was the initial cause of the great depression since deflation leads to the hoarding of money which leads to the breakdown in the economy which leads to a smaller demand for goods and services until no-one can afford anything and everyone is hungry.
It's a myth that our ancestors used a gold standard for centuries. Until the 19th century, most Europeans carried silver coins in their pockets, and the British currency is still known as "sterling" after the 92.5% silver standard introduced in the 12 century.
It's also a myth that either gold or silver protected against inflation, instability, tyranny or war. Take a look at the history books. There's plenty of all those things. Indeed, there's lots of evidence that using a commodity as money encourages violence in the form of wars of conquest. Millions of people have died for gold and silver, and millions more have been enslaved.
And currencies were still debased. Constantly. Henry IV managed two devaluations during his short 35-year life. This is a key point that so-called libertarians always lie about: a gold standard doesn't provide independence from government; it grants a monopoly to it. Politicians have complete control of the standard, which means that bankers and big corporations will control it, as they always have in the past.
Lastly, as Milton Friedman observed, gold is a primitive totem, like seashells or feathers or stones. It makes no sense in the modern age to tie the growth of our money supply to the rate at which miners can find a shiny metal ore buried in the earth (that we then store back underground in purpose-built bunkers). This would be madness, which is why no country on the planet has a gold standard today -- they all failed within about a century, during which time there was considerable financial instability (which is what led to the creation of the Fed in the first place).