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 Replies: 28 / Views: 2,702 |
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Valued Member
175 Posts |
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Pillar of the Community
United States
931 Posts |
He was very evasive. You can tell that gold has been a major slap in the face of the Fed. Also, every one of my Gold Buffaloes say $50. Every one of my Indian Half Eagles say $5. Every one of my Indian Quarter Eagles say $2 and 1/2 dollars. I say he perjured himself before Congress to try to lower the price of gold. I say if Roger Clemens perjured himself then so did Bernanke.
Edited by junior e
07/14/2011 1:22 pm
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Pillar of the Community
United States
1150 Posts |
Gold and Silver are the barometer by which we judge how well or badly the dollar is performing.
Obviously, things are not good and getting worse.
Of course Bernanke would try to diminish gold and silvers historical, undeniable standing as REAL, COLD, HARD CASH!
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Pillar of the Community
United States
3345 Posts |
Mitchhailey is right. Gold is a commodity that everyone wants and can be used when paper is worthless, so yes it is money.
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Pillar of the Community
United States
648 Posts |
Folks - you all got to realize that the reason why people buy gold is not because it's money .....it's tradition...duh!
/end sarcasm.
Edited by tripncoins
07/14/2011 11:13 am
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Pillar of the Community
United States
1064 Posts |
The problem I have with purchasing gold is the price, be it an asset or money. It's just beyond me that anything could cost $1600 for a measly oz! Maybe if it comes down (doubtful?), I will be able to get into the game...
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Pillar of the Community
Canada
3692 Posts |
Gold isn't money, it's a commodity like FRNs that can be used as money. It's not money in itself. The value that you put on them - that's what is monetary. I know gold is scarce but it's quite a useless lump of metal. My IOUs are just as valid between people I know. And if you don't KNOW anybody, what makes life worth living?
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Pillar of the Community
United States
2120 Posts |
So something interesting I came to realize when I started reading into PMs to decide if I wanted to invest or not... If I took a silver dollar in 1921, and wanted to exchange it for food, I could get approximately; 2 loaves of bread, a gallon of milk, a bag of apples, a pound of sugar, and a newspaper. Today that would cost me approximately $12. Yet today, if I held on to that silver dollar, and bought food using it's value in silver, I would be able to double my order and go get a cheeseburger combo after. So what that tells me is, that dollar (as a unit of US Currency) Has devalued about 12:1, yet the value in it's base metal has increased, about 2.5:1 It's seems to me, when you put it like that, the choice is obvious. Gold even more so. an increase of about 6.3:1 (values gained using a relative worth calculator. http://www.measuringworth.com/ppowerus/) inflation in 2010 as compared to 1921 is approx 12.2:1 probably worse now. (Value of a worn silver dollar today $30, 30/12.2=2.45 : 2.45:1 value increase for silver.) |
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Pillar of the Community
United States
931 Posts |
Gold is worth $1600 per ounce. If you think it isn't just get a gold pan, pick, and shovel and see what you think your time was worth by the time you've gathered an ounce.
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Pillar of the Community
United States
642 Posts |
Of course the Fed would try to sidetrack the value of Gold to real assets, it's a competitor to the Federal Reserve Note. The FRN might see some real competition soon if something doesn't change.
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Pillar of the Community
United States
3670 Posts |
Bernanke can blab about gold and silver not being currency or whatever he wants to spew, as we are not buying any of his dribble....
He does not have a clue on how to fix this mess, none of the powers to be beside him does either, they are just making making moves and pushing buttons blind folded hoping for the best result....
Remember the basic definition of insane...."To continue to do the same thing over and over again, hoping for a different result each time.", or the USA feds and all their figure heads....
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Pillar of the Community
Canada
3692 Posts |
junior_e: I get that. But what I'm saying is that it CAN be used as money, but it's not. It's worth its weight of itself. Would you consider water to be money? It has to be transported and purified, right?
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Valued Member
 175 Posts |
Its tradition! lol We all know the fed is holding on to gold for security if the dollar collapses.
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Bedrock of the Community
United States
10038 Posts |
So does Bernanke believe the only thing valuable in gold coins is the chocolate you get when you take off the wrapper?  |
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Pillar of the Community
United States
4008 Posts |
Bernanke is just PO'd because he KNOWS that he cannot wave his pen at a pile of bricks and magically transmute them into gold. He cannot create so much as a single atom of gold... but he CAN create trillions of FRNs. So, let's see... gold has been around and used as money for what... 5,000 years? FRNs have been around for about 50 years. Hmmm... looks a lot longevity is WAY on the side of gold.  |
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Valued Member
United States
302 Posts |
Gold (and other commodities) have INTRINSIC VALUE. Paper is worthless. Guess which survives.
The government is the only entity that can take perfectly good paper, cover it with perfectly good ink, and make it WORTHLESS. Paraphrased quote I saw somewhere.
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Replies: 28 / Views: 2,702 |
Posted 07/14/2011 09:36 am
