Zerohedge did a very short piece yesterday on the required “size”, (Presenting Warren Buffett’s “Gold Cube”) or lack of which would be needed to house ALL of the Gold mined in history. The graphic is excellent and I urge you to look and stare at it for a minute or more. While looking at this, envision one of the recent “McMansions” that have sprung up all over the place, envision a floor plan with 4,000 sq. ft.. Then picture that square floor plan as high as it is deep, roughly 65 feet high (not very high considering that I am afraid of heights and jumped into well from this height). That’s it, ALL of the Gold in the world, all of the jewelry, all that is hoarded and all that the central banks purport to own, ALL of it.
Next, think about the few ounces that you’ve accumulated and picture it sitting in the corner of this McMansion of storage. It seems insignificant you say? Have you ever been to downtown NY or Chicago or any other metropolitan area? Or even a sporting event with 50,000 people? Think about each one of those people, what if they also had the few ounces saved that you do and theirs were part of of the storage block… but wait, they don’t! In the US, less than 1% of the population owns any Gold other than maybe a wedding ring or a “Mr. T starter kit.” Worldwide it is probably not much higher.
The picture that I’m trying to paint in your mind is just how RARE Gold really is and just how under owned it is. Think about it, less than 1 out of 100 own any Gold for investment at all and many of these are merely paper receipts. Mathematically, ALL THE “MONEY” in the world will accrue back into Gold when the cascade of fiat collapse happens. This McMansion storage unit will become the base, the backing, the CORNERSTONE of ALL monies for 7 billion people! …And the best part? You actually have a slice of this pie! In fact, even with just 10 ounces, a MUCH bigger slice than you currently even realize!
The point is this, 7 billion people is an enormous amount, divide this amount by the roughly 5 billion ounces that have been mined since the beginning of time and there is not even 1 ounce available per person on the planet! So, if you agree with the idea that “Gold IS money” (and I highly advise that you do because it IS), every time that you purchase just 1 single ounce you are taking MORE than one other inhabitants available portion.
This is by no means “breaking news” of any sort. I just wanted to help you take a step back and look at the entire “forest” and just how small it really is. I wanted to try to make it as simple as possible when viewed from the standpoint of just how insignificant each and every one of us are coupled with the fact that there is less than 1 ounce available per person. If you can wrap your mind around the concept that literally $ trillions upon $ trillions of paper value will accrue into the 5 billion ounces of Gold, you will have the knowledge necessary to survive financially. This is not rocket science, it is not even math that requires a calculator. It is pure and simple common sense which has apparently not dawned on better than 6.9 billion people on the planet!