The 15th of August

Convertibility Of The U.S. Dollar To Gold – The 15th of August by 720 Global

Before reading this article we highly recommend reading “The Death of the Virtuous Cycle” to provide better context.

July 4th – June 6th – September 11th – August 15th

You likely associated the first three dates above with transformative events in U.S. history. August 15th, however, may have you scratching your head.

August 15, 1971 was the date that President Richard Nixon shocked the world when he closed the gold window, thus eliminating free convertibility of the U.S. dollar to gold. This infamous ‘new economic policy’, or “Nixon Shock”, thereby removed the requirement that the U.S. dollar be backed by gold reserves. From that fateful...