1/28 If US currency is not backed by gold, what is the purpose of
spending money on upkeeping and protecting gold in Fort Knox?
\_ Ha you saw the history channel special too. ok im going
to quit watching tv now.
\_ Yay someone else besides me likes to watch the History
Channel. It is the best! I like Modern Marvels and
anything about Hitler. How about you?
\_ It's a honey pot for evil geniuses
\_ What are you asking? They should just leave a few gazillion lbs
of gold on the front lawn? The gold still has value and IMHO
provides an unofficial backing of our currency so debt buyers and
cash holders know the USG has something of value sitting around
just in case.
\- this is pretty humorous.
\- right on the "it has to be kept somewhere" part [and a number
of monetary authorites agreed not to liquidate their gold
reserves, even though it is sort of a loser investment],
but i dont think your "imho" part is really true w.r.t. to
the us. the total gold reserves are for example probably in
the 1-2% of the us debt ... that's not really amaerica's
collateral. the importance and exact reason for govts to
hold gold has changed over time and i think it is fair to
say the imp has generally declined. it's not reasonable to
go much beyond this, but you might look up "special drawing
rights" for what "replaced" gold [although we've sort of
moved beyond SDRs too].
\_ Only 1-2%? Is that a real estimate or are you totally
guessing? My totally random guess is that it would be
higher but I haven't had a chance to tour Fort Knox in
a while to count bars.
\- the us debt is approaching 9 trillion. why dont you
look up the price of gold today and calculate how
many tons of gold 1-2% is. note: gold isnt measured
in "regular" oz. if you dont even know there is more
gold at the ny fed than at ft knox, it's hard to take
your totally random guesses especially seriously.
your totally random geusses especially seriously.
\_ I said it was a totally random guess. Why would
you take it seriously?
\_ So you are saying "you first impression of
me should have been 'i am dumb' and you should
have ignored me." ... ? Can you sign your posts
with a unique identifier so we can file this
away for future reference?
BTW, what is your guess at the percentage?
note: this ignores the obvious fact that if you
note: this obviously ignores the fact that if you
had to sell any appreciable fraction of the gold
to cover a debt, the price would collapse. on the other
to cover a dept, the price would collapse. on the other
and a lot of indian women would be really happy.
\_ They're all accounted for and each room has a seal with
the amount of gold in it. The latest estimate of the net
worth in Fort Knox is about (in today's dollar)
100 billions.
\_ I thought the lions share of the gold was removed (for the same
reason you just mentioned, the US not needing it for money backing).
Now the just store bullion cubes there (can never have too much soup
imo). -mrauser
\_ Mmmmm... soup!
\_ http://en.wikipedia.org/wiki/United_States_Bullion_Depository
\_ "In volatile market, only stable investment... is PORN!" -- Avenue Q |
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