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Agreed, the amount of money exposed is smaller. But remember, the economy is drastically smaller as well.


Drastically smaller? If you're talking about the US economy, GDP is $5 trillion larger than in 2001. That's a 50% increase.

[0] http://www.google.com/publicdata?ds=wb-wdi&met=ny_gdp_mk...


Inflation. Gold is 7X today, wheat is 3X today, regular gas is 2X today.


True, I read "current" as "constant."

Even using constant dollars, though, our economy is 18% larger between then and now. That's not "drastically" smaller. [0]

[0]http://www.wolframalpha.com/input/?i=real+us+gdp+2001+to+201...


How much gas and wheat do you consume regularly as a proportion of your income? What about gold?




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