From: [1] http://www.thegoldstandardnow.org/featured-articles/183-fiat-money-fiat-inflation-fiat-dollar

Why we need a dollar as good as gold.

Since the beginning of 2009, oil prices have almost tripled, gasoline prices are up about 50 percent, and basic food prices, such as corn, soybeans, and wheat, have almost doubled around the world. Cotton and copper prices have reached all time highs; major rises in sugar, spice, and wheat prices have been creating food riots in poor countries, where basic goods inflation is rampant. That inflation is in part financed by the flood abroad of excess dollars created over the last couple of years by the Federal Reserve.

Those dollars also made possible the emerging market equity boom of 2009-2010. But foreign authorities are now raising interest rates as growth shifts to the United States and Europe. The years 2011-2012 will witness a Fed-fueled expansion in the United States. Unless there is a major oil spike from here, growth for 2011 in the United States will be above the new consensus of 3.5 percent—perhaps as high as 5 percent this year, with about 8 percent unemployment at year-end.

Read more: [2] http://www.thegoldstandardnow.org/featured-articles/183-fiat-money-fiat-inflation-fiat-dollar