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AmcmurryFreedom Wrote: Your statement doesn't make sense when America is identified as having so much more gold than any other nation on earth. Typical of a response not providing credible explanation. So what that the dollar doesn't rate to the gold standard, big deal. But there must be some economic sense as to why America holds onto that much gold.
What about the fact that America went off the gold standard in 1933 is hard for you to understand? It doesn't need much further explanation than a statement of fact.
Fort Knox, our Governments gold depository, currently has 4,176 metric tons of gold. Denver and West Point are the other two locations of the Federal Governments gold deposits. The combined value of all the gold at the three places is $291.3 billion. In contrast, the budget deal the President just signed $1.15 trillion. Put another way: $1.15 trillion is more than $291.3 billion.
(See: Status Report of U.S. Government Gold Reserve)
All the gold in the country wouldn't pay for 1/3 of a single years budget, let alone put a dent in our $18 trillion national debt.
Is that a "credible" enough explanation for you?
AmcmurryFreedom Wrote: Please explain yourself. Must be for paying off the aliens approaching our planet, a valued commodity to barter for boxes of cheesy fish crackers, or maybe American citizens need gold teeth for a glorious smile. Whatever, there must be a reason and to relate to the dollar makes no sense. What I did summarize was the amount of gold America has and with the dollar as strong as it is with our GNP strengths, America is rich.
Just because you don't understand something doesn't mean that there must be some grand explanation for why America has the most gold in the world.
The dollar used to be based off the gold standard. That changed in the Great Depression and we never looked back. The value of the dollar has absolutely nothing (I repeat...absolutely nothing) to do with the price of gold or how much gold is locked away at Fort Knox.
The thesis of your first posting was suggesting that there must be a correlation between having more gold than any other country: "Being first place in the world with that much gold must mean something as to why America is economically better off than most all nations."
I simply am trying to explain to you that this is not true. America is economically better off than other nations for a whole host of reasons, but $291.3 billion in gold deposits isn't one of them.
AmcmurryFreedom Wrote: No place did I submit the relevance of a dollar backed up by a gold standard, that was all by you, Jared.
I don't even know what this sentence means considering my response to your initial posting was two sentences long and explained that paper and digital currency now determine the wealth of countries, not gold.
When it all comes down to it--you were suggesting a correlation between America's gold reserves and our national wealth and I simply called bullshit. I'm sorry if your feelings were hurt.