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<p>[QUOTE="NPCoin, post: 139089, member: 5629"]Unfortunately, in too many cases, even in numismatics, immoral=profitable. if you destroy alot of even the low grade specimens of high volume produced coins like the U.S. cents, then you created a depletion in supply. The supply:demand ratio then lowers. As the supply:demand ratio decreases, the price increases, as will demand since the coins are no longer readily available. The same can be accomplished by even removing the coins en masse from the supply (hoarding). This can also drive up the demand and price. When the coins are once again release into the supply, the demand and price will once again decrease.</p><p><br /></p><p>This is why there is such a spread between even one grade point on uncirculated plastic such as NGC and PCGS. As coins for a certain grade become available, demand is met for those specific grades. But when the coins are not traded and are hoarded/collected, as new specimens become available, the price goes up, unless a hoarde is released back into supply to bring the supply:demand closer to or over a ratio of 1.</p><p><br /></p><p>:goof: But I'm sure nobody here is actually interested in the economics of numismatics. We all just want to collect, not hoarde, manipulate the markets, or make investments or anything like that <img src="styles/default/xenforo/clear.png" class="mceSmilieSprite mceSmilie7" alt=":p" unselectable="on" unselectable="on" /> </p><p><br /></p><p>Personally, I see the copper cents as being slightly profittable in the long term, not because of the value of copper necessarily so much as the supply:demand ratio is going to go way under 1 which means big profits.[/QUOTE]</p><p><br /></p>
[QUOTE="NPCoin, post: 139089, member: 5629"]Unfortunately, in too many cases, even in numismatics, immoral=profitable. if you destroy alot of even the low grade specimens of high volume produced coins like the U.S. cents, then you created a depletion in supply. The supply:demand ratio then lowers. As the supply:demand ratio decreases, the price increases, as will demand since the coins are no longer readily available. The same can be accomplished by even removing the coins en masse from the supply (hoarding). This can also drive up the demand and price. When the coins are once again release into the supply, the demand and price will once again decrease. This is why there is such a spread between even one grade point on uncirculated plastic such as NGC and PCGS. As coins for a certain grade become available, demand is met for those specific grades. But when the coins are not traded and are hoarded/collected, as new specimens become available, the price goes up, unless a hoarde is released back into supply to bring the supply:demand closer to or over a ratio of 1. :goof: But I'm sure nobody here is actually interested in the economics of numismatics. We all just want to collect, not hoarde, manipulate the markets, or make investments or anything like that :p Personally, I see the copper cents as being slightly profittable in the long term, not because of the value of copper necessarily so much as the supply:demand ratio is going to go way under 1 which means big profits.[/QUOTE]
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