From the current issue of Don Coxe's Basic Points:
"When Chinese and Indians progress from abject poverty to lower middle class status, they move into dwellings with indoor plumbing, electricity, and basic appliances. Within a few years, as their wealth increases, they become car owners. So, at the margin, they become significant consumers of metals and energy. (Cupric comparisons: An average car has 55 pounds of copper, and an average house has 400.) As they become collectively wealthier, they acquire gold, silver and platinum jewelry, which are both consumption goods and investments. Meanwhile, their American counterparts have long been diversifying away from precious metals into baseball trading cards, wines, and celebrities' underwear."
I'm hoping to get that last item for Christmas this year...but I kinda doubt that will happen. |
