To define the dollar as a fixed weight of gold.

I 116TH CONGRESS 1ST SESSION H. R. 2558 To define the dollar as a fixed weight of gold. IN THE HOUSE OF REPRESENTATIVES MAY 7, 2019 Mr. MOONEY of West Virginia introduced the following bill; which was referred to the Committee on Financial Services A BILL To define the dollar as a fixed weight of gold. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. FINDINGS. 3 Congress finds the following: 4 (1) The United States dollar has lost 30 per- 5 cent of its purchasing power since 2000, and 96 per- 6 cent of its purchasing power since the end of the 7 gold standard in 1913. 8 (2) Under the Federal Reserve’s 2 percent in- 9 flation objective, the dollar loses half of its pur- 10 chasing power every generation, or 35 years. 11 VerDate Sep 11 2014 03:59 May 14, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 \\ALPHA3\E\BILLS\H2558.IH H2558 kjohnson on DSK79L0C42 with BILLS 2 •HR 2558 IH (3) American families need long-term price sta- 1 bility to meet their household spending needs, save 2 money, and plan for retirement. 3 (4) The Federal Reserve policy of long-term in- 4 flation has made American manufacturing uncom- 5 petitive, raising the cost of United States manufac- 6 tured goods by more than 40 percent since 2000, 7 compared to less than 20 percent in Germany and 8 France. 9 (5) Between 2000 and 2010, United States 10 manufacturing employment shrunk by one-third 11 after holding steady for 30 years at nearly 12 20,000,000 jobs. 13 (6) The American economy needs a stable dol- 14 lar, fixed exchange rates, and money supply con- 15 trolled by the market not the government. 16 (7) The gold standard puts control of the 17 money supply with the market instead of the Fed- 18 eral Reserve. 19 (8) The gold standard means legal tender de- 20 fined by and convertible into a certain quantity of 21 gold. 22 (9) Under the gold standard through 1913 the 23 United States economy grew at an annual average of 24 VerDate Sep 11 2014 03:59 May 14, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 \\ALPHA3\E\BILLS\H2558.IH H2558 kjohnson on DSK79L0C42 with BILLS 3 •HR 2558 IH four percent, one-third larger than the growth rate 1 since then and twice the level since 2000. 2 (10) The international gold exchange standard 3 from 1914 to 1971 did not provide for a United 4 States dollar convertible into gold, and therefore 5 helped cause the Great Depression and stagflation. 6 (11) The Federal Reserve’s trickle down policy 7 of expanding the money supply with no demand for 8 it has enriched the owners of financial assets but en- 9 dangered the jobs, wages, and savings of blue collar 10 workers. 11 (12) Restoring American middle-class pros- 12 perity requires change in monetary policy authorized 13 to Congress in Article I, Section 8, Clause 5 of the 14 Constitution. 15 SEC. 2. DEFINE THE DOLLAR IN TERMS OF GOLD. 16 Effective 30 months after the date of enactment of 17 this Act— 18 (1) the Secretary of the Treasury (in this Act 19 referred to as the ‘‘Secretary’’) shall define the dol- 20 lar in terms of a fixed weight of gold, based on that 21 day’s closing market price of gold; and 22 (2) Federal Reserve Banks shall make Federal 23 Reserve notes exchangeable with gold at the statu- 24 tory gold definition of the dollar. 25 VerDate Sep 11 2014 03:59 May 14, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 \\ALPHA3\E\BILLS\H2558.IH H2558 kjohnson on DSK79L0C42 with BILLS 4 •HR 2558 IH SEC. 3. DISCLOSURE OF HOLDING. 1 During the 30-month period following the date of en- 2 actment of this Act, the United States Government shall 3 take timely and reasonable steps to disclose all of its hold- 4 ings of gold, together with a contemporaneous report of 5 any United States governmental purchases or sales, thus 6 enhancing the ability of the market and of market partici- 7 pants to arrive at the fixed dollar-gold parity in an orderly 8 fashion. 9 Æ VerDate Sep 11 2014 03:59 May 14, 2019 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6301 \\ALPHA3\E\BILLS\H2558.IH H2558 kjohnson on DSK79L0C42 with BILLS