I am reposting a response I made in another thread and expanding it. People don't appreciate what it would mean to "go to a gold standard" per H.R.2435. The idea is that it doesn't matter how much money there is, they can set the ratio of gold to dollar at whatever they want. "However much there is in present day dollars. It doesn't matter."
That's the first problem, so let's look at that:
How Much Is Gold Worth
According to the official narrative, there are about 8,133 metric tons of gold in U.S. reserves. I doubt that is true, I think it has been mostly moved into private bankers hands, but we'll go with it. There are 32,150 troy oz. per metric ton. That means there are, in reserve:
8133 metric tons times 32150 troy oz/metric ton ~ 261 million troy oz.
As for the total money that exists, the official number (not that I trust it, but we'll go with it) is between 40 trillion (narrow money), 90 trillion (broad money) or 1.3 quadrillion (derivatives, investments, etc.). With the amount of naked short selling, I wouldn't be surprised if you could double or triple that, so upwards of 4 quadrillion.
Putting this into perspective, we get one U.S. gold backed dollar is equal to:
- narrow money: 6.5e-6 oz
- broad money: 2.91e-6 oz
- derivatives: 2.01e-7 oz
- short sales: 6.5e-8 oz
These numbers don't mean much, so let me try to put it into something that makes a little more sense. Here is a picture of 1g of gold. It's not the best picture since it doesn't show the whole hand, but it shows that it isn't very much. Carrying that around, it would be pretty darn easy to lose it. But let me give you an idea of what one U.S. gold backed dollar would look like:
- narrow money: 1/5000 of a gram
- broad money: 1/11,000 of a gram
- derivatives: 1/160,000 of a gram
- short sales: 1/500,000 of a gram
Even with narrow money, think about dividing that gram picture into 5000 parts, then try to find it in your pocket. With short sales, divide it into half a million parts. It's almost easier to start measuring dollars in atoms of gold.
That 1g sells for about $130. This suggests it should be worth between $5000 and $500,000 if we were to move to a "gold standard" as things stand today.
For reference, that translates to between $150,000 and $15,000,000 per troy oz in today's money.
Now on to the next problem. The dollars that exist aren't money, they are debt. If we go to a "gold standard" there will still be all the debt, and the interest on that debt, that belongs to Megabank. If we move to a "gold standard," all that debt either needs to be paid off, or needs to be wiped out. But where does all the money reside?
Where's The Money
If we just look at narrow money (bank accounts, bank notes, etc.) that's the stuff that people have "on hand" (not really, because it's mostly in the fractional reserve shenanigans, but close enough). But who has the most money in bank accounts? According to this, the median bank account in America (in 2019) was about $5000, and the average was $42,000. That is a HUGE discrepancy, which means that the people with all the money have far more than the average person. The people with all the money are, in general, the Aristocracy AKA the Cabal. If we use the median this amounts to about $1.7 trillion (5000 times 330M people in America). Most of the rest of that $40T of narrow money lies in the hands of the very rich.
However, if we look at derivatives (not to mention naked short selling money) ALL of that money is in the hands of Megacorp.
So no matter how you divide it, as things stand today, the gold goes into the hands of the same people that rule the world right now.
Paying Off The Debt
If we don't wipe out all debt, then all those debts need to be paid off. But money is debt. Money comes to be when a debt is created. That's what "printing" money means. A loan is taken out, in one column a credit is given. This is money. In the other column a debt is created.
Money = Debt
BUT, that's not what really happens. A debt is paid back at interest.
Money + Interest = Debt
So all the DEBT in the world is equal to all the money PLUS all of the interest it has accrued, i.e. there is more debt than there is money. The debt can't be paid off. So all of that gold will eventually end up in the hands of the PTB, PLUS we will remain debt slaves forever.
With the current financial system, no matter how you slice it, all the power remains exactly where it is if we move into a "gold standard."
The system must fail. There is no other choice.
Nice overview and actually quite startling.
In terms of content: agree, except for one minute issue:
Currency = FRN = debt.
Money = Gold/Silver = Dollar = receipt for services goods rendered. => no debt.
I also think that a single gold-Standard won't save the day. IT turned out it does not work, and as always there are several options to solve it. 1.Return to a bi-metal system. 2.promote debt instruments.
The systems choose what is best for itself. Debt instruments. The same type of thinking is exhibited in relation to CBDC. Of course there are some utilitarian arguments that support such a move. But in general, these can be put to work in other ways as well, not necessarily ONLY in a CBDC use-case.
The deeper question is: do you want to be divorced from life or not. IF not, then the solution is returning back to a bi-metal system. All else is smoke and mirrors.
People who know what the word "money" means generally don't need it to be elaborated.
People who don't know what the word "money" means are, I have found, better shocked into an understanding of what "money" means to the PTB when it is shown that "money" (in the vernacular) IS debt. Elaborating what the word "money" means is a topic, I have found, better left for other discussions or at another time within the discussion, like in the "solution" section of such a discussion.
I've found it really isn't all that desirable to elaborate however, because money, as you mean it, is, I suggest, also a fraud, designed to create a single point of contact for all exchange transactions. Such a single point creates a vulnerability. That vulnerability was, I believe, created on purpose to be exploited by hoarding. If you own all the gold (or all the gold and silver), it makes sense you would want everyone to use your "precious metals" as an intermediary of exchange for barter if you wanted to control an economic system, and thus guide society in the direction you intended, rather than let them be free to choose their own direction. Intentional or not, it has always been exploited (always), and thus needs to be decommissioned as an economic idea. Any such SPOC is destined to be hoarded. It can't be stopped.
The same vulnerabilities exist in a bi-metal standard, except that's even worse because it ties two metals together, and the concept of a Free Market (supply/demand determines value) is subverted. Bi-metal also doesn't solve the hoarding problem. A "DPOC" is almost as vulnerable as a SPOC, and as has been seen, if you own all the gold, hoarding silver as well is trivially accomplished. Indeed, silver is more vulnerable precisely because more people will need it (because they can't afford gold). (See the economic cause of the fall of the Western Roman Empire.)
I insist we must create a Free Market. A Free Market can't exist if all transactions are funneled through a single (or dual) vulnerable point, or if Supply/Demand isn't the driving factor for the entire thing. I suggest we should move to a system that is completely decentralized. A system as close to true barter as can reasonably be accomplished. People need to learn the value of things, and learn how to barter. It's just one of those life skills we need to remember from our distant past.
Not to suggest we go full hog. We don't have to get rid of silver and gold as a store of value, but relying on it (by enforcing, or even strongly encouraging it's use as intermediary) creates an inevitable vulnerability that will be exploited and can't be helped. See other posts of mine in this thread for elaboration on what such a system might look like.
Thanks for your reply. I read it it with pleasure. I'll think on it.