I'm thinking Dutch Tulip Bulb Market Bubble Gold isn't worth much as a metal these days, only as a form of currency. If the dollar goes up or people start switching to a new limited supply mineral then kaboom.
I know nothing about this, just making a totally uneducated opinion. . On Fri, Apr 22, 2011 at 2:44 PM, Gruss Gott <[email protected]> wrote: > > Sam <[email protected]> wrote: >> >> But gold isn't worth much, it doesn't have a high value. It's just a >> placeholder for money. Supply and demand. If people stopped storing it >> in vaults there would be very little demand. >> > > No, gold isn't a placeholder for money, it is money! It's a medium of > exchange. > > The reason gold is popular is because there's basically a steady > supply of it and central bankers can't just manufacture more like they > can with currency. > > Thus when money becomes worthless (as we're steadily doing now) people > look for some other form of value to exchange. Gold. > > For example: > > In the future if you want to pay Germany for a BMW, sure, you could > offer them a whole pile of worthless paper slips with some printing, > but they can't use those American slips of paper for anything. It's > worthless. > > Gold on the other hand can be used to buy stuff. So if you have gold you win. > > Your mistake is in thinking that paper slips ("money") has value. You > can't have a bubble with the medium of exchange. > > You either have some gold or you don't. And you ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Order the Adobe Coldfusion Anthology now! http://www.amazon.com/Adobe-Coldfusion-Anthology/dp/1430272155/?tag=houseoffusion Archive: http://www.houseoffusion.com/groups/cf-community/message.cfm/messageid:336688 Subscription: http://www.houseoffusion.com/groups/cf-community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/groups/cf-community/unsubscribe.cfm
