How did governments get the gold to back the currency when we were on the gold standard?



Basically, how did the gold in fort knox get there? Did they buy it from other governments?

In: Economics

We’re not on the gold standard anymore?
I’ve been living under a rock!

The answer depends on when you are asking.

Prior to 1933, they got it pretty much how you would expect – they bought it, seized it, obtained it through government run operations, etc.

In 1933, via Executive Order 6102, FDR seized all gold bullion and coins in the US, paying people below market rates for said gold.