Source: Brownstone Institute
by Jeffrey A Tucker
“The year was 1971 and the claims against dollar-based debt were pouring in from every country. The rumor was that the US did not really have the gold to pay. Foreign holders of US assets decided to test the promise, just in case. Sure enough, Nixon panicked and shut the gold window, in effect defaulting on the terms of the deal, as did his predecessor FDR back in 1933. Nixon too was panicking over the draining of gold from the US Treasury. His intention was to protect the US dollar. Briefly, the US attempted a fixed-rate regime without settlement but failed. Two years later, the US announced a new system, one that they claimed would be better than ever. Henceforth, the US would be backed by nothing but confidence.” (04/09/25)
https://brownstone.org/articles/how-richard-nixon-wrecked-free-trade/