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What would happen if the world returned to the gold standard?
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<p>[QUOTE="calcol, post: 25366603, member: 77639"]If you’re interested in medium to long term return on investment, SP500 is likely to outperform gold. See the pic below. Short-term investment in anything is a fool’s game except for professionals who are in the game daily, and many of them get burned badly. You hear about the successful ones because of “survivor effect” … the losers are silent and usually don’t make the news. Many of the successful ones were just lucky.</p><p><br /></p><p>Both stocks and gold rise with inflation. Real question to ask is which is likely to rise faster than inflation over the medium/long term. The pic answers that. Most of my gold coins have most of their value in numismatic value, not melt value. I consider coin collecting to be a hobby where there is a good chance I won’t lose too much. That said, if one is going to invest in gold per se, best way is certified coins bought just above melt value. Authenticity is unlikely to be questioned, and expensive assays are unlikely to be demanded at sell time.</p><p><br /></p><p>If you are a survivalist, best to buy easily recognized, small, uncertified silver coins near melt price ... like worn U.S. dimes. You won’t want to spend an ounce of gold for a pound of corn after the apocalypse when a few silver dimes will do.</p><p><br /></p><p>Cal</p><p>[ATTACH=full]1623202[/ATTACH][/QUOTE]</p><p><br /></p>
[QUOTE="calcol, post: 25366603, member: 77639"]If you’re interested in medium to long term return on investment, SP500 is likely to outperform gold. See the pic below. Short-term investment in anything is a fool’s game except for professionals who are in the game daily, and many of them get burned badly. You hear about the successful ones because of “survivor effect” … the losers are silent and usually don’t make the news. Many of the successful ones were just lucky. Both stocks and gold rise with inflation. Real question to ask is which is likely to rise faster than inflation over the medium/long term. The pic answers that. Most of my gold coins have most of their value in numismatic value, not melt value. I consider coin collecting to be a hobby where there is a good chance I won’t lose too much. That said, if one is going to invest in gold per se, best way is certified coins bought just above melt value. Authenticity is unlikely to be questioned, and expensive assays are unlikely to be demanded at sell time. If you are a survivalist, best to buy easily recognized, small, uncertified silver coins near melt price ... like worn U.S. dimes. You won’t want to spend an ounce of gold for a pound of corn after the apocalypse when a few silver dimes will do. Cal [ATTACH=full]1623202[/ATTACH][/QUOTE]
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