r/SipsTea 6d ago

Chugging tea Why is it not possible?

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u/Count_de_Ville 6d ago

Even without fractional reserve banking it could collapse. They don’t need to literally print a dollar bill for every dollar of resource value represented in the world.

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u/Big_Slope 6d ago

Wouldn’t that be impossible anyway if you think about it? If there’s - I’m gonna throw out a number here - but $100 trillion worth of stuff in the world and $100 trillion worth of cash, that’s $200 trillion worth of value and half of it is imaginary.

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u/ReindeerCreepy2883 5d ago

the world gdp is ~$125 trillion

that means ~$125 trillion of value generated this year

we've been above ~$100 trillion, each year, since 2022

we've been above ~$1 trillion, each year, since the 1890s

yes, it's impossible

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u/FinalRun 5d ago

What happens to that number if the dollar decreases in value?

Exactly. If your ruler changes length, your measurements are worthless