backed by NO LAWS, NO GOVERNMENT, just a worthless metal worthless and hard to store and transport.
its the same as going to the garbage can and grabbing tons of worthless smelly garbage out and storing it in a vault. both serve no purpose.
all you people that think gold is a currency or legal tender are STUPID. it was only a currency/legal tender when society was so un-civilized and there was no technology for printing presses yet, so they used gold as an easy way to repesent trade.
GOLD IS WORTHLESS. IT WAS USED BEORE TECHNOLOGY WAS INVENTED IDIOTS. ITS NOT A CURRENCY. IT MAKES JEWELERY ONLY, WHICH NOBODY WANTS.
I like the way that the folks at FOFOA explained it in an article last August.
"...Most mature investors retain their life savings fully invested within the financial industry, denominated in dollars, and will not get off these tracks even when they see the train coming. They will stay there because it is impossible for them to believe they occupy the wrong position! Who can blame them or call them fools? They have been trained their whole life to believe in saving for the future inside of a monetary system that serves no purpose other than as a medium of exchange.
Worse, they perceive that all of their assets are correctly valued by this system that does not care about the value of a digit. How can they possibly be correctly valued in a system that only functions properly as a medium of exchange, not a store of value? How can assets meant to be stores of value be correctly valued when denominated in a unit whose value DOESN'T EVEN MATTER in the context of its primary function? They can't. They shouldn't. They aren't. And soon this FACT will be known by everyone...."
Outstanding post...the guy is harping on gold because it's not the most convenient medium of exchange, when its purpose nowadays is only as store of value, insurance, and anonymity. It's like criticizing a fur coat for not keeping you refreshed in the summer; it's an irrelevant criterion to judge it.
I do have to agree with him that as a store of value gold is not close to perfect--it has (relative to silver, say) jumped around quite a bit over the decades/centuries. But is may be as close to perfect as anything else.
Exactly what one would expect a broke, young kid to say.
Of course, it is unlikely he has gone to college, or learned some basic economics.
To realize how fiat currency works, has worked in the 1940's in Germany, in the 1990's in Argentina, and many parts of Europe. Or, how, wealth needs an intermediate store of value that is indestructible, is rare, and has some uses, and that grain/land/metals are very abundant and are not high enough density of value to store LARGE amounts of wealth.
If someone is naive enough to give up 10 tons of gold, and keep their farmland, that is disturbing. I want our money back from high schools that are producing such ignorance.
The police, etc, that he is referring to are actually not as dumb as him, because they would easily take twice the value in gold, and would know where to cash it for twice the fiat he is so much in awe of.
Why don't i get to sell land to folks like that? And take their 10 tons of gold?
Hard to transport? Has the kid seen a kilo of gold? it is the densest of metals, does not occupy much space.
Printing presses were invented in the 1,300's, and gold was delinked from currency around the 1970's. Do they teach anything in schools in NY?
First NY's senior senator calls a airline hostess a 'bit''ch', then this stupidity from their youth, and now they are telling me the state is insolvent. What gives??????????
you gold bugs crack me up. you honestly think gold is a store of value. yeah right. thats why in 1999 it went to $250 lol.
gold is nothing but a trading vehicle. the metal is not used for anything but jewelery, and at some point in the future people will wake up and ask what purpose carrying loads of gold or diamonds around serves other than to make jewelery.
i repeat, if gold was worth anything, it wouldnt be priced in currencies, it would be barterable around the world and it isnt, you must sell it like a stock.
GOLD IS WORTHLESS. the fact that people are still tradig their legal currencies for a worthless metal is irrelevant.
USD is a currency, now why falling without a stop. any better than toilet paper?
sorry, i have to work overtime tonight at america BIGGEST $-printing company or tarde as symbol "FED" in NYSE, need to go now:-)
"it was only a currency/legal tender when society was so un-civilized and there was no technology for printing presses yet, so they used gold as an easy way to represent trade."
Actually, it was the reserve currency of the world until 1971. Read some history books slappy.
A U.S. nickel (5 cent coin) contains approximately 4.6 cents worth of metal, which does not include the minting, administration, and distribution costs for the coin.
Anybody here know the cost of the proprietary paper used for the U.S. $100 bill?
we see the response of Russell Munk, Assistant General Counsel, Department of the Treasury:
"It costs the Bureau of Printing and Engraving a little more than 2 cents to make a Federal Reserve Note, whether the note is for $1, $5 or $10 [$20, $50, $100] . . . I hope this information is useful to you."
"the fact is, gold is no more valuable than your trash can. jus because people will exchange gold for currency is why it worth something, otherwise if it wasnt exchangable for currency nobody would touch it LOL."
It's funny you attack gold, when the same attck can be made against currency.
I would agree with your statement above, once we substitute "gold" by "currency" and "currency" by "property in stable countrys and/or tangible items like foods, oil, or property to grow food and/or dig oil" LOL
I think we agree on the essence. Currency and gold are both mere symbols with no intrinsic value, and with value only insofar as they can be exchanged for tax obligations (lest you go to prison), real property and commodities (houses, food, ...), or real dividend producing activities (oil wells, trees, dams, labor, ...).
"If you think you are so SMART, how come you work so hard (of great intrinsic value to your employer) in exchange for pieces of paper imprinted with green ink or, even worse, electronic digits in your bank account (of no intrinsic value, try eating them or building a roof with them). Ha?"
i'll tell you why. because the local police, the US military and every store and place of commerce must legally accept it. because i was born into a society that MUST honor the currency.
just as gold was honored hundreds of years ago, because it served as a government mandated currency, but not any more.
the fact is, gold is no more valuable than your trash can. jus because people will exchange gold for currency is why it worth something, otherwise if it wasnt exchangable for currency nobody would touch it LOL.
gold is worth no more than common metals in my opinion. gold is worth no more than copper or any alloys. in fact other common metals serve a purpose.
until governments are overthrown and such, currency in stable countrys and/or property in stable countrys and/or tangible items like foods, oil, or property to grow food and/or dig oil, is the only thing of value.
offer me 10 tons of gold for my farmland and id tell you that i cant eat or drive the gold sorry.
totally agree. Worthless unless you like ugly yellow jewelry. Gold is for dumb chicks. Only way I will buy and is if I am trying to score with a chick otherwise it is worthless.
sheez, you are right that gold is more a symbol that represents value than something of intrinsic value.
However, there is a continual, large stream of people who are willing to pay top dollar for this symbol, and, conversely, few people willing to part with this symbol for anything but top dollar. It is not your opinion, but these two streams--demand and supply--that determine the market value of this symbol. And you should know by now that "market value" is very different from "intrinsic value".
If you think you are so SMART, how come you work so hard (of great intrinsic value to your employer) in exchange for pieces of paper imprinted with green ink or, even worse, electronic digits in your bank account (of no intrinsic value, try eating them or building a roof with them). Ha?
its worthless. the only value it has is some dumb idiot still finds it has sentimental value and gives you actaual valuable currency for it.
but that wont be the case forever.
GOLD IS WORTHLESS, SO IS SILVER.
currency was 'invented' the last few hundred years. GOLD IS NOW WORTHLESS.
i wouldnt buy if it was $200/ounce. because i dont like jewelery LOL.