Does this figure of 650 Billion include both, paper and book money? I mean, how exactly would they calculate the book money in "circulation" when billions are zipping around globe every second?
Sure at the end of the day American banks are supposedly reporting their stashes, but what about the foreign banks that are trading dollars? Worse, hoe about all the foreign banks that offer clients US dollar-denomited accounts which are likely to be only fractionally covered by deposits at American correspondence banks? On top of that, the are green backs in circulation all over the planet in grey markets and off-the-books economies. Some of these notes haven't seen the light of the (Fed accounting) day in decades. Indeed, when the Fed announced it was issuing new notes and wanted to declare old ones invalid, there was an uproar from the Third World, strong words from Washington and a silent retraction from the Fed in the 90s. In some countries $100 bills from 25 years ago are still in circulation as money cahngers know that the Fed will quietly exchange them for new ones if asked. So, I'd say that the real and perceived volumes of dollars in circulation [ie. notes and book] is likely to be well of above the trillion mark. R.S.Z. www.cyfrocash.com --- You are currently subscribed to e-gold-list as: [email protected] To unsubscribe send a blank email to [EMAIL PROTECTED] Use e-gold's Secure Randomized Keyboard (SRK) when accessing your e-gold account(s) via the web and shopping cart interfaces to help thwart keystroke loggers and common viruses.
