To back a multi quadrillion dollar global economy it would take a LOT of gold. Unless it’s a million bucks an ounce I guess.
Exactly. You have to lose the assumption that gold is currently “X” per ounce and there are “Y” dollars (or whatever) therefore we need Z ounces of gold. It isn’t about you having a coin in your pocket.
It is simply saying a unit of currency is worth a specified amount of gold. It could be a very small amount. The point is that a government could never create more money without holding the commensurate amount of gold. A nice inflation and welfare/warfare state preventer.
To back a multi quadrillion dollar global economy it would take a LOT of gold.
———
You mistakenly assume there will not be a global financial crisis. The amount of unpayable debt the US and EU ( the West) holds is the largest on the planet….
I do believe the US’s “ advertised” gold holdings are a fraction of that….they will be exposed, but we shall see.