Logically, there must be a point at which government spending becomes too great as a proportion of GDP, or when too much money has been...

Logically, there must be a point at which government spending becomes too great as a proportion of GDP, or when too much money has been printed, or when the prospect of growing out of the debt becomes implausible. It is at that point when the policy response is deemed as excessive that gold tends to react most bullishly. Gold prices are likely to react bullishly to perceived excesses in government policy.