True Money Gold Silver World Metal Backup Theorum

True Money Gold Silver World Metal Backup Theorum


Jason Hommel: Dollars in the banks now exceeds $14 trillion, ($14,000 billion)
http://silverstockreport.com/2009/housing.html
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In 2006, it was estimated that all the gold ever mined totaled 158,000 tonnes.[1] One tonne of gold equated to a value of US$30.27 million as of February 14, 2009 ($941.35/troy ounces)[2]. The total value of all gold ever mined would be US$4.78 trillion at that price.

{{158,000 mt = 5,079,818 = 5 million oz(troy)}}

http://en.wikipedia.org/wiki/Official_gold_reserves
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Of all metals, silver is nearest to Hubbert’s Peak. According to the numbers in the 2006 issue of the “Mineral Commodity Summary” for silver prepared by the U.S. Geological Survey (USGS)

This document states that for 2005, in metric tons (mt):

*
World mine production totalled 20,300 mt;

{{20,300 mt = 643,015 = 0.64 Million oz(troy)}}
*
World reserves stood at 270,000 mt (13.3 years of production);

{{270,000 mt = 8,680,702 = 8.6 Million oz(troy)}}
*
World reserve base at 570,000 mt (28.1 years of production).

{{570000 mt = 18,325,925 oz(troy) = 18.3 Million oz(troy)}}



The USGS reserve base includes those demonstrated (measured plus indicated) resources that are currently economic (reserves), marginally economic (marginal reserves) and some of those that are currently sub-economic (sub-economic resources).

A comparison with the data for other metals from their respective USGS commodity summaries will show that silver has the lowest reserves/production and reserve base/production ratios. Ted Butler did this comparison a year ago using data for 2004. At that time, reserves and reserves base for silver stood at 14 and 29 years respectively, so with the passage of one year the world has one year less remaining in silver reserves and reserve base.

http://www.kontentkonsult.com/peak_silver2.htm
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5 million oz troy Gold (total mined 2006)
8.6 Million oz(troy) silver (reserve total 2004)

(Of gold) There remains as reserves about 40% of the total of gold above ground - i.e about 50,000 tonnes.{ = 1607537.318 oz(troy)}
http://www.galmarley.com/framesets/fs_commodity_essentials_faqs.htm

1.6 Million oz(troy) Gold (in ground 200?)
18.3 Million oz troy Silver (in ground 2004)

By weight...
In Reserve:
37% Gold
63% Silver

In Ground:
8% Gold
92% Silver

Grand total:
6.6 Million Oz Gold
26.9 Million Oz Silver

20% Gold
80% Silver

How much "money" is out there?
Total Money in the World (in US Dollars):

M2 Money Supplies:

U.S. - $6.430 trillion
European Union - $7.352 trillion
China - $3.1 trillion
Japan - $6.677 trillion
(These four regions combine for 50.65% of the world's money)
Rest of World - $22.954 trillion

Total World M2** Money Supply: US$46.513 trillion

(1 trillion = 1,000 billion = 1,000,000,000,000)
$4,651,300,000,000 dollars



$4,651,300,000,000 dollars
(assuming an even split backing between gold and silver)

20% Gold =
$930,260,000,000
$9.3 Billion

80% Silver =
$3,721,040,000,000
$3.7 Trillion

Above Ground (in reserve) True Backing Price!
By weight...
In Reserve:
37% Gold
63% Silver

$4,651,300,000,000 dollars

$1,720,981,000,000 = $1.72 trillion Gold
$2,930,319,000,000 = $2.93 trillion Silver

5 million oz troy Gold (total mined 2006)
=$340,000/oz

8.6 Million oz(troy) silver (reserve total 2004)
=$340,697/oz

{obviously - we have set them to equal values for this equation...this may not be the case but serves as a valuable indicator of price possibility!}

Dear Reader-Hearer-Listener;
according to my calculations,
considering the fiat nature of an unbacked world economy, if we saw a true return to a gold/silver standard across the world -
assuming no hidden reserves other than listed,
we might expect to see prices for silver or gold rising well up to three hundred forty-four thousand dollars per ounce, $340,000/oz!!!

It may be worth your while considering:
Gold is about $915
.269% - Gold is undervalued at two-tenths-of-one-percent! Think of stating THREE HUNDRED SEVENTY PERCENT! (371.7%) on your Real Wealth Growth!!!

Silver is about $13
0.00382% percent of it's Real Value!
Silver is undervalued at one::Three-one-hundredths-of-one-percent!!! Think of stating TWENTY SIX THOUSAND PERCENT! (26,178%) on your Real Wealth Growth!!!

Now look at the upward potential of Silver and you will see why it is SO HOT right now! And that is even besides the FACT that we are depleting silver (not gold - we store gold) and have been in a 15+ year world deficit in usage...we are using more than we mine of silver, while gold we are keeping. Silver is used by industry, wealth and jewelry where gold is mostly jewelry and wealth. A tiny amount of gold is used in industry.
With the above figures we achieve a SEVENTY TIME (70.56) GREATER RETURN on silver than on gold.

Putting it in perspective.
Investing in the above, in silver and gold, a mere
$1000
= $3,717 -- gold
= $262,000 --silver

In this scenario, the gold investor will have about 1.5% of the total wealth of this savvy silver investor.
&
$100,000
= $371,700 -- gold
= $26,200,000 --silver


That one ounce silver bracelet could be worth:
$340,000/oz in due time...
there's a ways to go --
but I would hope that this help gives you some perspective.

Peace be within you.

Khy'em Amri


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Total Potential OF WORLD eventual mine-out/pre-emptive pricing with same amount of "money":

6.6 Million Oz Gold = $9.3 Billion = $140,949/oz
26.9 Million Oz Silver = $3.7 Trillion = $138,328/oz












**M1 Money Supply (All physical currency, plus accounts at the central bank which can be exchanged for physical currency, plus the amount in checking accounts)

M2 Money Supply (M1 Money Supply, plus most savings accounts, money market accounts, and certificate of deposit accounts under $100,000):

http://www.fast-autos.net/forum/showthread.php?t=4346




http://www.metric-conversions.org/weight/metric-tons-to-troy-ounces.htm