no the gold wouldn't be less valuable, it would be extremely valuable...right now it floats between what 200 dollars and 800 dollars an ounce over
some 20 year period?
Ounce here-after refers to "troy ounce"
A 10 trillon GNP (we are worth way more than that...that's what we produce in a single year...all transactions, but not properties that were not
transacted....so it's even larger but we'll go with 10 trillion) would need to be backed by gold.
It won't be very accurate but let's just try and figure this together of what it would require to back everything by gold.
First the 10 trillion would need to be hard backed, so let's say it's at $450.00 an ounce right now...
That is 22222222222 ounces of gold.
Out of 236 billion circulating bills that is...0.094 onces a bill.
Or 42 dollars and 3 cents a bill.
So at the current number of ounces we have at the current economy we could back our GNP with that much gold...and the average bill would be $42.3.
That actually seems pretty good...I don't know what the average denomination of our bills are but I don't think they are that high?
This makes sense to me...because naturally if we wanted ever bill to be the same unit, then they'd have to be a certain unit based on the value of
our economy and complex stuff, and I don't know what that average unit would be...but if it were backed by the gold it'd be $42.3, if we were
interested in keeping our economy as it would be if backed by that much gold...that's what the average would be, but we're not interested.
One our total net worth is much more, and we have no where near that much gold.
From this website: www.wakeupaustralia.net...
It says that there are 771,629,746 ounces of gold in the world.
So we need 22222222222 ounces of gold to have a nice valued currency. At least I think the 40 bucks is a nice value...I'm expecting our current
average bill is worth much less...
This means if the US owned all the gold alone, we could only produce bills on average of 3 dollars and 26 cents.
We don't own all the world's gold...
I think that website attempts what I am attempting more feebly...not sure.
But I'm trying to give myself and yourselves with me, an idea of what valuless currency in todays economy we'd have if we were backed by
gold...unless you want to back our currency with say iron?
It seems to me that our GNP needs 22,222,222,222 when we only have 771,629,746