Notes and Discussions - The Memorable Events of the ‘‘Sterling Standard’’
| RIVISTA INTERNAZIONALE DI SCIENZE SOCIALI - 2011 - 3-4
The article is a commentary to Paul Einzig’s book The Comedy of the Pound Sterling. The article
heavily criticizes British monetary policy after the flotation of the pound in September 1931.
More generally, it takes a critical stance against the Gold Exchange Standard. The multicentral nature
of the international financial system and the use of exchanges instead of gold in international
settlements considerably worsened the world economic situation. Stronger cooperation between central
banks, together with the restoration of a full-fledged Gold Standard and a sound fiscal policy
are depicted as the only means to restore trust in the world markets and foster a durable recovery.
Key words: international economic policy; Einzig; Gold Exchange Standard.