Gold has always been considered a rare and precious commodity, used as a store of value and a symbol of wealth. But what would happen if all the gold mined in history was equally distributed among every person on Earth? This hypothetical experiment helps us better understand the real availability of this precious metal and the possible economic consequences of such a redistribution.
#1. Total amount of gold in the world
Gold is a precious metal that has fascinated humanity for millennia, being used in jewelry, coins, and financial reserves. But how much gold has actually been extracted? According to the most reliable estimates, around 197,576 tonnes of gold have been extracted to date. This amount includes the gold held by central banks, that used in jewelry, industrial applications, and electronic devices.
Although gold is still present underground, easily accessible reserves are running out. New extractions require increasingly higher investments and more complex processes, making a significant increase in the availability of this metal unlikely in the near future.
An interesting aspect is that gold, although present all over the world, is concentrated in specific areas. Countries like China, Australia, and South Africa are among the largest gold producers, while the United States and European nations hold the largest gold reserves in their banking systems. This uneven geographical distribution influences the value and availability of gold in global markets.
If all the gold were gathered into a single block, it would have a volume equal to a cube of about 21 meters on each side. This helps us understand how limited this resource is, despite its enormous perceived value. But what would happen if this quantity were divided among every inhabitant of the planet?
#2. Current global population
To calculate how much gold would be allocated to each individual, we must consider the current world population. As of 2024, the global population has exceeded 7.8 billion people, with continuous growth that influences every aspect of the economy and society.
The number of inhabitants on the planet is not just a demographic figure, but a fundamental element for understanding the distribution of resources. Population growth, in fact, leads to an increase in the demand for goods, including rare ones like gold. More people means fewer resources available for each individual, making our experiment even more interesting.
It is important to note that the population is not evenly distributed: some regions, such as Asia, are home to billions of people, while others, like Antarctica, are practically uninhabited. Levels of wealth and access to resources also vary dramatically from one nation to another.
Another factor to consider is life expectancy: population growth could gradually reduce the amount of gold available for each individual over time, making access to this precious metal even more limited.
Now that we have this data, we can calculate how much gold would be allocated to each person on Earth.
#3. Per capita distribution
If we divide the total amount of gold extracted to date (197,576 tonnes) by the number of inhabitants on the planet (7.8 billion people), we get:
25 grams of gold per person.
But what does it really mean to have 25 grams of gold? To understand it better, we can make some comparisons:
- A gold ring weighs on average between 3 and 10 grams.
- A solid gold necklace can weigh between 20 and 50 grams.
- A standard gold bar weighs between 250 and 1000 grams, so 25 grams represent only a small fraction of a bar.
This means that even with a perfectly equal distribution, no one would suddenly become rich thanks to gold. The idea that gold could solve global economic problems is therefore quite unrealistic, considering that the per capita amount would be rather small. But of course, that is not the point of the experiment, given also its utopian aspect.
It should also be considered that this hypothetical distribution does not take into account the fact that gold’s value is determined by the market and by its rarity. If everyone received the same amount, how would the perception of its value change?
You can have fun simulating the distribution of gold among the population as you like using this spreadsheet that I created for the occasion:
Sources and data:
- https://www.worldometers.info/it/
- https://www.rankred.com/how-much-gold-is-there-in-the-world/
- https://www.visualcapitalist.com/sp/chart-how-much-gold-is-in-the-world/
- https://www.usgs.gov/faqs/how-much-gold-has-been-found-world
- https://greenreport.it/risorse/l1-piu-ricco-possiede-il-456-della-ricchezza-del-mondo-nel-2019-era-al-439/
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