4 ms·
Yes, this is the obvious part of the charade. I do disagree with one key part of your analysis. >...backed with just one worthless platinum coin. Platinum is
by aww_dang 5y ago
Yes, this is the obvious part of the charade. I do disagree with one key part of your analysis.
>...backed with just one worthless platinum coin.
Platinum is a precious metal and far from worthless.
Let us pretend there are people involved in this charade who would allow that initial wealth to be extracted via Cantillon effects, but still desired the coin to act as a backstop at a later date.
Given the current rate of spending and outstanding obligations, what would be a reasonable weight for a trillion dollar coin?
- gruez 5y ago>Given the current rate of spending and outstanding obligations, what would be a reasonable weight for a trillion dollar coin? Not sure why you need to factor in "current rate of spending and outstanding ", but 1 trillion divided by current platinum prices gets you 31,610 metric tons. Apparently that exceeds all platinum ever mined: >Mining experts also estimate that just over 10,000 tonnes of platinum have ever been mined by man.
- deleted 5y ago[deleted]
- aww_dang 5y agoClearly it wouldn't be practical to mint platinum coins at the current price. Instead, they would profit from the difference as they debase the dollar. Therefore the total obligations become important in the calculation. The weight of the coins would become the new USD valuation in this scenario. A 'backstop' as I mentioned above.
- Geee 5y agoI'm not really sure that you are suggesting, but if they were 'reasonable', then the coin should actually be valued at the platinum's current price. That's how money is supposed to work.