Why on earth would the United States return to the gold standard, which effectively removes monetary policy to its competitors (think of the countries who currently produce the most gold, etc.)? I am actually in the camp of "transitory inflation" due to relative priced changes and the insane long-only "commodities as an asset class" trough. The charts above show little growth, little bank activity, and bond yields continue to grind lower.
As I have said many times, Nixon achieved the most important non-violent victory in American Foreign policy history when he jettisoned the gold standard, effectively forcing the world to accept the dollar as a hegemonic currency. The fundamental reason for this strength is the ability to achieve ORDER, anywhere on the planet, within days. Iraq was a singular testament to this.
I maintain no normative prescription as to the above...I am merely commenting on the state of the game.
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