For 50 years, the US government has refused to audit Fort Knox.
They tell you the gold is there, but they won't prove it.
Do you trust them?
Discussion
The estimate is the total amount of gold in fort Knox is say $440bn? Which is 1.22% of the national debt? Trust doesn't come into it therefore? The bigger question is whether the governments truly have all the gold they say and the real effect it has on the trust of the governments fiscally. My final question is what is the point of governments holding all this gold. For example, china is officially estimated to have 1.22% of its GDP, but if at unofficial max if 1 billion Troy ounces then that becomes 15% of GDP.
Some say, it acts as collateral. Really? 1% for most countries of debt and gdp? Most deposits for consumers range between 10% to 30%.
Am not trying to be difficult. I have a hypothesis on all this, yet it cannot be proven.
The non conspiracy theory version could be that holding gold simply allows for rehypothecation in the paper markets.
I am quite confused by your response… it doesn’t make sense to me
Gold reserves if not as stated would be a huge blow to the US Government reputation
Bond markets would suffer. Equity markets would suffer. Their geopolitical power would suffer
I doubt there will be an audit in the end. But I’d love to see one
I cant help think its because there is more gold that is expected to be there and explaining all the gold taken during the various military ops not disclosed before will set off international diplomacy problems. Might be wrong though