Quote:
Originally Posted by BFT3K
I know money is no longer backed by gold, but just for fun, using $75 Trillion dollars as a number, and using today's market value of gold, that would be the equivalent of around 4,066,804,034 pounds of gold.
According to National Geographic, there is approximately 363,762,732 pounds of "above-ground" gold on Earth.
4,066,804,034 pounds of pretend money gold minus 363,762,732 pounds of actual gold equals almost a 4 Trillion pound difference (3,703,041,302 pounds).
3,703,041,302 pounds times approximately $18,442 per pound equals a difference of almost 70 Trillion Dollars ($68,291,487,691,484 dollars).
Just something to think about.
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You would need total amount of money for this, not debt, which is lower than all the money floating around (which would supposedly be backed by gold).
Also in theory debt may be even higher than total amount of money.
Lets say there are 3 guys and total currency issued is 30 units backed by gold. One guy lends 10 to the second, second lends his 20 to the third, thirds lends his 30 to the first.
Total amount of external debt =60, but only 30 is backed by gold, because there is only 30 units issued. So debt should not necessary be backed by gold, because not debt, but actual issued currency should be.