I don’t like gold. Not the colour, not the feel of it, not what it represents, none of it. Gold? No thanks.
An increasing amount of people seem to disagree with me. A lot of people with a desire to be ‘creative’ with their money are backing away from currencies like the US dollar in favor of buying gold. Not that there’s anything they’d like to do with the stuff. They buy it because it is a ‘safe’ investment. In other words, you’ll be able to sell it for more money than you have bought it for. Gold will increase in terms of value, that much seems to be sure. Why that is the case, I don’t think anyone really knows.
There’s not much you can do with gold. It has very low nutritional value. You can’t build with it. It is impossible to watch Big Bang Theory on a screen made of gold. It’s hideous to look at. There’s just two think gold is good for. You can give it as a present to The Saviour, when he’s reborn on our planet. Or you can make medals out of it. These medals you can present to people who move their bodies about virtuously when they’ve done this at the highest possible level during a competition. These medals will then remain on a shelf, gaining economical worth.
Since the world population is growing at a greater relative pace to the extra amount of gold which is found daily the stuff is getting more expensive. That seems to make economic sense. At the same time; the stuff should be worthless. And if something which has no worth at all becomes one hundred times as expensive, it will still have no worth.
If you have enough money today, you can buy so much gold, that for the rest of your life you can live off the value-increase of the stuff you have bought without ever doing anything again. I’d say any system that works like that is seriously flawed. I once wrote a blog about investors and share-holders and came to the same conclusion there to which I am coming now: For everyone making money without doing anything, there is someone working who is not getting paid for it. There is no such thing as a free lunch.