Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: average joe who wrote (36420)	7/3/1999 3:36:00 PM
From: goldsnow	Read Replies (1) \| Respond to of 116758

what happens with a gold based currency when at some point in the future all the gold runs out.>> Something very rare and very much wanted must fill the vacuum....It can't be men made or it would not be rare, it must last for a long time and can't be duplicated....It must not depend on health of one or two countries..(this will always end in disaster, as dominant society like all before it will fade..) No wonder Gold outlasted all currencies? :) ps. Perhaps men will bring from Mars, something very valuable...It will be economic to transport and distribute..and very few can access it..

To: average joe who wrote (36420)	7/3/1999 3:40:00 PM
From: Jim S	Read Replies (1) \| Respond to of 116758

Yo, Joe. Welcome to the fray. You are asking the dummie your question, I hope you know. How can you 'run out' of gold? Maybe it could all be extracted someday, but wouldn't it still exist somewhere in some form? If there were no new sources of gold, I would think its value, both real and psychological, would increase. Unless, of course, the world population, as a whole, decided that it no longer was a store of value. If that happens, maybe they could use gold to make beer cans. <g> jim

To: average joe who wrote (36420)	7/3/1999 4:44:00 PM
From: Zeev Hed	Read Replies (1) \| Respond to of 116758

average joe, that is exactly why I suggested that tying the world economies to gold is an economic straight jacket. The truth is that the supply of gold is a function of cost of extraction. The oceans contain between .1 to 2 mg/tonne, if gold were to sell for $50,000/ounce (or there about) you could make money extracting it from salt water (and hopefully partially pay for that in selling distilled water <VBG>). Zeev

To: average joe who wrote (36420)	7/3/1999 8:57:00 PM
From: d:oug	Read Replies (2) \| Respond to of 116758

<<what happens with a gold based currency when at some point in the future all the gold runs out.>> aj, rather than no more gold, how about just the opposite. After I get my initial investment in a Mogolian gold mine returned to me I will publish on the internet the simple process I discovered, using salt and water and peanute butter, change each oz of peanute butter to 1 oz gold. Now will each government on this planet earth that has a gold reserve get together at the UN and force upon us all a new law that only Central Banks are allowed to hold peanutes ? The growing will be restricted, and the eating of peanute butter will not be allowed, as it will equate to the destruction of a countries money supply. Now something is wrong here, or not. If the governments controls the amount of preanutes growned by those farmers licenced by governments, then the governments can easily control the amount of gold available, its supply, and done very cheaply and at a constant set cost of US $1 per oz gold since thats all that needed for the one oz of peanuts and the salt and water is near free. So this will satisfy Zeev's concerns about the amount of gold available, and the cost of mining it. The governments simple make as much as needed to equal the growth or contraction of its economy. Peanute butters lovers like myself will cry tho. Has anyone tried cashew or another nut-butter, as a substitute ? The only problem I see here is that this easy and cheap way to make gold to represent the countries wealth seems like as easy and cheap as making that paper money. Maybe the fact that without my secret way to produce all the gold you want, that a paper money tied to present day gold, a 100% gold standard, would as Zeev say, makes it very difficult to keep a 1:1 balance. Now if all the governments were run by people with good manners and ideas and none of them were evil or corrupt, then a gold standard would hurt their efforts to accomplish what they want to do, the good for its citizens. Along same thoughts, a gold standard would hurt the opposite types from doing damage to the economy thru their bad ideas. Guess the present day gold environment and business only has a damping effect, for either good or bad policy, if gold used as a paper backing. I wonder if a person from Mars could tell us if the governments of present and past have been good or not. Doug