Taurus,
How do you define value? If I had purchased gold at almost any point during the past decade, my value would have DEPRECIATED.
Ie: When the time came to convert that gold into exchangable currency for the purpose of purchasing something, I would receive fewer dollars per ounce of gold now than I would have in '82.
During that time I could have purchased any number of investments which would have converted into greater amounts of dollars which I could then convert back into another asset that was undevalued and appreciating.
That is what storehouse of value means to me. It is something that either maintains or appreciates in value relative to other semi-liquid investments. Whatever is "hot" is what appreciates. Gold has depreciated some 60% from its '82 highs at $850/ounce. Hardly the sound storehouse of value that so many of the '80s economic doomsayers say it would be.
What was a better storehouse of value over the past 15 years, Gold or Microsoft?? Or for that matter, how about comparing gold's performance versus Coca-Cola, Mobil, Exxon, Johnson & Johnson... etc.
This flies in the face of most of your commentary and obvious prejudice thus far.Your saturation of the thread with non relevance would put these objectives well in the background from your stated purpose.
Not at all. Gold vs Fiat is the battle of one illusion over another. It makes full sense to monitor the price of both illusions to see which is winning out. Money, the market, and the price of gold is all based upon the psychological reactions of people. Since gold directly competes for favor with the Fiat system, it stands to reason I would be interested in following it and knowing upon which "horse" to bet.
Regards,
Ron |
