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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: marcos who wrote (12872)	1/7/2002 2:41:46 AM
From: Maurice Winn	Read Replies (1) \| Respond to of 74559

<1. yes, gold is sitting there doing nothing in a very good way - it never goes up in value, it never goes down in value, it pays no interest, it carries no credit risk, it carries political risk only if another Rooseveldt comes along and then that wouldn't be gold's fault either would it 2. and no, gold is not just sitting there doing nothing - it is performing its function as a stable standard by which the price of all else is judged ... i refer you to Chapter 1, Verse 1, of the first volume of your La Filosofía Azteca - > Marcos, I see. It just sits there, solid as a rock. Immoveable. Impenetrable. Permanent. Coldly indifferent to the wild and wacky world. Sort of like the Maginot Line. <A cyber-currency backed by sharepaper, you suggest eh ... well everybody would want to make their own picks of companies in that case, wouldn't they ... selected by sector, perhaps ... i'll take a gold card, please -g > Of course. It's a competitive world and there would be many competitors wanting to be the money merchants, movers and keepers. As in most fields, there would be one or two big ones, then a second division, then lots of boutique currencies. Many swirls and eddies make up a river and the global money river is stupendously large and complex. There would be exchange rates and all the normal drama associated with money. But it would be a cyberspace world. No armoured trucks with guns, bags and suspicious looks. No bank robberies and all that muck. There would be many P:Es depending on the growth expected from a particular cybermoney, so the exchange rates would be volatile, as now. If one of them missed a technology trend, they'd be relegated to the value of the companies they own and their P:E would drop to the average of the companies they own as the business is wound up. So of course their will be fun and games while the market sorts itself out into winners and losers. But that's what makes a horse race. Mqurice