Old 2008 Article On Gold Price

[geof_junk]

What Happened to the Gold Price in 1980?

"In January 1980 gold hit a record 850 US dollars an ounce. After reaching those dizzy heights it then plummeted down and remained steady in the 300-400 dollar range for some years before starting to climb again to new levels. 

Now gold has broken through the 900 dollars an ounce gold barrier and some investors and analysts are wondering, is this going to be a repeat of the 1980 gold spike? 

In fact, there are many differences between the 1980 spike in the gold price and the current rise in gold value, not the least of which is the longer term trend currently occurring. In 1980 gold basically shot up like a bullet out of a gun and then, like a bullet, slowed down and returned to earth."

Read the rest of the article at gold price.org

[klunker]

 What the article is not telling is" the rest of the story" and  that is the gross price manipulations that make normal price discovery meaningless. But on the bright side, If the price of gold was allowed to rise to where every one knows it should be than I wouldn't be hear enlightening all of you with my fynanshial wizdumb. I would, instead, be out prospecting.

[johnedoe]

Why gold isn't as good as some people think it is for trade.....

Now brace yourselves because the next videos are truly disturbing. This is why the gold as money is doomed and why people will accept a single world currency ........

Man Offers Random People A Free One Ounce Gold Coin

Free Gold Coin or a Candy Bar?

Selling 1 Oz Gold Coin for $25 (when it's worth over $1,500)

Selling a 100 oz Silver Bar for $25 Dollars (When It's Worth $1500) Almost 7 POUNDS of Bullion

[klunker]

41 minutes ago, johnedoe said:

Why gold isn't as good as some people think it is for trade.

 JD; The above links are all cherry picked examples. I doubt that there is anyone in my circle of associations or even the vast majority of members of this forum that wouldn't give me a tank full of gas for my Jeep in trade for a 1dwt nugget. Gold is not "money" nor has it ever been. It has always been, and will be, (among other uses) a medium of exchange. the same goes for ones labor or or valuable expertise. Now you owe me three grains of gold for the above bit of wizdumb.

[fredmason]

Money is different to younger generations...most people born after 1963 have no clue coinage was silver...and don't care.  Similarly, they feel the same about gold...they think it is just for jewelry.

some definitions for the word money...

1. any circulating medium of exchange, including coins, paper money, and demand deposits.

2. paper money.

3. gold, silver, or other metal in pieces of convenient form stamped by public authority and issued as a medium of exchange and measure of value.

4. any article or substance used as a medium of exchange, means of payment, or measure of wealth.

5. a particular form or denomination of currency.

[klunker]

1 hour ago, fredmason said:

 

 

4. any article or substance used as a medium of exchange, means of payment, or measure of wealth.

 

   This should read "any article or substance generally accepted as a means of payment or measure of wealth".  I have a bushel of turnips that are very valuable parts of Africa so could I trade them for some excellent drywall work? I will be a very wealthy man if so (if the gophers don't eat this years crop)

[johnedoe]

8 hours ago, klunker said:

 JD; The above links are all cherry picked examples. I doubt that there is anyone in my circle of associations or even the vast majority of members of this forum that wouldn't give me a tank full of gas for my Jeep in trade for a 1dwt nugget. Gold is not "money" nor has it ever been. It has always been, and will be, (among other uses) a medium of exchange. the same goes for ones labor or or valuable expertise. Now you owe me three grains of gold for the above bit of wizdumb.

... Well of course they were cherry picked... But it is still true that there are a lot of people out there like those in the vids..... They don't even fully understand basic economics.

By the way No one in my circles would have refused those deals ....

[fredmason]

I can hang it and bang it..you can tape it...and keep the turnips for yourself!

fred

[Andyy]

Well I think it was in the 17th century that tulips were traded in the Netherlands.  Of course that was a bubble that didn't last either.   Still blows my mind that those people didn't know the value of silver.  Of course I invested all of my hard earned allowance as a kid, picking up dog crap in the neighborhood only to buy silver at $6/oz.  Not one of my better investments.  LOL.

[Randy Lunn]

Gold always wins. Timing is the unknown. Hang in there. Fiat currency initially has lots of fans but in the end is an orphan.