If the bill were to become law, South Carolina would no longer accept or use anything other than silver and gold coins as a form of payment for any debt, meaning paper money would be out in the Palmetto State.Details schmetails! What I want to know is the exchange rate on my buttload of Ronpaulbux!
Pitts said the intent of the bill is to give South Carolina the ability to 'function through gold and silver coinage' and give the state a 'base of currency' in the event of a complete implosion of the U.S. economic system.
...Critics point out that silver and gold coins can't actually serve as a form of currency.
"You can't put a set value on a pure silver or gold coin because its actual value fluctuates," one expert said. "You can say a gold coin is worth $50 but it would actually be worth whatever the market says it's worth, based on supply and demand. In reality, what you have is a bartering good, not a form of currency."
Posted by Melissa McEwan at Wednesday, February 17, 2010
South Carolina State Representative Mike Pitts (R-Idiculous) has introduced legislation "that would ban what he calls 'the unconstitutional substitution of Federal Reserve Notes for silver and gold coin' in South Carolina."