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Economics

Hugo Salinas Price: Silver to be monetised this year in Mexico?

Multi-Billionaire Hugo Salinas Price and the Mexican Civic Association Pro Silver, A.C., have pushed the Mexican government for over a decade to provide silver as real money. Señor Salinas Price believes that they may be close to helping Mexico return to the silver standard, and discusses this in an interesting interview with Eric King (at about 0:40 on the clock).

What is particularly interesting in the interview is the idea that if Mexico does return to a silver peso, then it could become the unintended lever to compel the United States towards a silver dollar again, as the population of the United States clamours to get its hands on real money from south of the border, and perhaps particularly those large Spanish-speaking populations in areas such as Texas, Southern California, and Florida.

Shades of The Alamo in reverse?

This is, perhaps, why the U.S. government will do all in its power to prevent Mexico returning to a silver standard, but stranger things have happened at sea. After all, the United States did borrow the actual ‘dollar’ symbol, $, directly from the original Spanish peso, with its symbol of a long pennant flying from the Spanish Pillars of Hercules, when the early American colonists were faced with a British-imposed shortage of coin in pre-republic days (though you can pick your own origin myth for the dollar symbol, from amongst many).

If the silver Mexican peso does back into a silver American dollar for the second time in its history, monetary fate could be rhyming with itself again in a rather interesting manner.

I would like to wish Hugo Salinas Price the very best of luck in his endeavour to drive Mexico towards honest money.