Any getbiggers invested in physical gold?

[FitnessFrenzy]

Great, so now you have a pile of gold, now, what do you do with it when you want a sandwich?

Ok, listen up. If all cash money lost their value due to inflation, people would need a new finite resource, such as gold, diamonds or platinum to trade between each other, as a measurement of their wealth. In such a theoretical society, people would e.g. trade gold for sandwiches or other things. Society is so developed today, that if all paper money around the world suddenly became worthless due to hyper inflation (google zimbabwe and germany inflation), then we would not trade "a sandwich for a sandwich". We would use gold or another limited physical resource to trade with each other.

There is also the possibility that a new paper currency could be created, that had a fixed value. I think they did this in Zimbabwe after they had hyper inflation, but I am not sure.

[Simple Simon]

Ok, listen up. If all cash money lost their value due to inflation, people would need a new finite resource, such as gold, diamonds or platinum to trade between each other, as a measurement of their wealth. In such a theoretical society, people would e.g. trade gold for sandwiches or other things. Society is so developed today, that if all paper money around the world suddenly became worthless due to hyper inflation (google zimbabwe and germany inflation), then we would not trade "a sandwich for a sandwich". We would use gold or another limited physical resource to trade with each other.

There is also the possibility that a new paper currency could be created, that had a fixed value. I think they did this in Zimbabwe after they had hyper inflation, but I am not sure.

Yes, as long as the people had a faith in the gold, they would have to know they could trade that gold for something they wanted.

Now, picture a post apocalyptic future (mad max) how much would gold be worth?

[Waller]

No troll at all mate

Gold is worth x amount of dollars, if we had no dollars gold would be worth nothing.

In a world of bartering who the fuck would want some Gold?
You cant eat it, its not really that useful for anything apart from jewellery and coating cables.

Gold is used in most electronic devices nowadays. I'd say it's largely unreactive properties give it worth in a digital age.

Strip the gold from your phone or computer and ask yourself what worth it has to you once they stop working.

[BB]

In one of those TEOTWAWKI situations that the internet loves to ponder, I'm going to agree with Be There here. Gold, silver, etc.... are only good till folks realize they have no easy intrinsic value. Once folks realize that the gold tchochkes they've managed to gather up have more perceived value than actual, that whole market goes out the window. If we ever get to that point, forget it, we're done.

[Simple Simon]

Gold has a precise monetary value placed on it yet we have zero idea about how much is floating around.
Sure we have bullion deposits but that doesn't take into account the amount that's mined and smelted down without it being accounted for.

And the value of gold wouldn't even alter if we found a block the size of mount Everest.
Man sets its price at whatever we see fit.
Saudi Arabia has very little gold reserves but it has oil and as such is wealthy.

[Waller]

Gold has a precise monetary value placed on it yet we have zero idea about how much is floating around.
Sure we have bullion deposits but that doesn't take into account the amount that's mined and smelted down without it being accounted for.

And the value of gold wouldn't even alter if we found a block the size of mount Everest.
Man sets its price at whatever we see fit.
Saudi Arabia has very little gold reserves but it has oil and as such is wealthy.

But what's your point?

[FitnessFrenzy]

Yes, as long as the people had a faith in the gold, they would have to know they could trade that gold for something they wanted.

Now, picture a post apocalyptic future (mad max) how much would gold be worth?

In a post apocalyptic future, people would trade goods or services, that had value in that context. Obviously nearly impossible to predict, but in a starving society, canned food would most likely be more valuable than gold. I would argue that supply and demand is one of the best indicators of what would be used as means of payment, and in a post apocalyptic society, guns or canned food would like be more sought after than gold or diamonds, since you could not really use them if Los Angeles was a battle zone and you just need to survive and find shelter and avoid men in bunny suits who talked about Jesus.

[Yamcha]

Gold is only worth its weight in bee pollen

[muscularny]

They are now selling 24k Golden Butt Plugs for those that might need to quickly escape and hide their gold, one plug can be worth up to 50k+ of pure gold. Might be a pain in the ass to run like this, however it is better than having nothing.

[Simple Simon]

But what's your point?

Golds value is established in currency which man makes and decides, which was my original point in this thread.

[Simple Simon]

In a post apocalyptic future, people would trade goods or services, that had value in that context. Obviously nearly impossible to predict, but in a starving society, canned food would most likely be more valuable than gold. I would argue that supply and demand is one of the best indicators of what would be used as means of payment, and in a post apocalyptic society, guns or canned food would like be more sought after than gold or diamonds, since you could not really use them if Los Angeles was a battle zone and you just need to survive and find shelter and avoid men in bunny suits who talked about Jesus.

Exactly.
So why do you keep banging on about gold having value?
Gold is only of value as long as we have a medium of exchange to exchange it with.
Two tonnes of gold in your backyard is only any good to you as long as you can ultimately exchange it for cash to buy the goods you want.

[Waller]

Golds value is established in currency which man makes and decides, which was my original point in this thread.

So originally you asked why buy gold, then later say it's worth cash....

Erm, buy gold and hope to be able to sell it when it's worth more cash than you paid? I'm not sure why you're questioning it.

[FitnessFrenzy]

Exactly.
So why do you keep banging on about gold having value?
Gold is only of value as long as we have a medium of exchange to exchange it with.
Two tonnes of gold in your backyard is only any good to you as long as you can ultimately exchange it for cash to buy the goods you want.

we agree, so let's just stop the discussion here. 

[Simple Simon]

we agree, so let's just stop the discussion here. 

And as such it makes your quote of me in the other thread look a bit silly now doesn't it?
 

[Simple Simon]

So originally you asked why buy gold, then later say it's worth cash....

Erm, buy gold and hope to be able to sell it when it's worth more cash than you paid? I'm not sure why you're questioning it.

and you always have to exchange the gold for cash for it to have any worth, so, what has value, is it the gold or the cash?

[Mr Anabolic]

Exactly.
So why do you keep banging on about gold having value?
Gold is only of value as long as we have a medium of exchange to exchange it with.
Two tonnes of gold in your backyard is only any good to you as long as you can ultimately exchange it for cash to buy the goods you want.

You are arguing against 5000 years of history in which gold is considered a store of value, wealth and money.  

You're obviously trolling.  If you don't believe in gold and silver, don't own any.

[Simple Simon]

You are arguing against 5000 years of history in which gold is considered a store of value, wealth and money.  

You're obviously trolling.  If you don't believe in gold and silver, don't own any.

To the man on the street gold is only worth what you can exchange if for in cash.

Why do you keep missing the obvious?

[phil mcgroin]

I wisely invested  in an eight piece top and bottom. Not only am i rich but i gets all da bitches.

[Nick Danger]

[Waller]

and you always have to exchange the gold for cash for it to have any worth, so, what has value, is it the gold or the cash?

Both or neither. Since cash only has any value if somebody accepts it in exchange for something else.

Cash is a concept. It's not truly worth what it promises to be. It's a system that only works if people put trust in it. If everybody in the world tried to empty their bank accounts there would not be enough physical money available to meet the demand.

So both gold and cash only have worth (in a monetary value) based on a promise of worth.

[Mr Anabolic]

To the man on the street gold is only worth what you can exchange if for in cash.

Why do you keep missing the obvious?

I'm not missing anything.  Cash will be good directly after a collapse, but it's not a tangible asset.  If the entire financial system collapses, cash won't buy you anything.  I will say this... if the US got fucked back to the stone age, a can of spagettios or bullets would most likely be worth more than gold.

[Simple Simon]

Both or neither. Since cash only has any value if somebody accepts it in exchange for something else.

Cash is a concept. It's not truly worth what it promises to be. It's a system that only works if people put trust in it. If everybody in the world tried to empty their bank accounts there would not be enough physical money available to meet the demand.

So both gold and cash only have worth (in a monetary value) based on a promise of worth.

a bit like gold?

as for emptying their bank accounts, same goes for gold, there is more money than gold.
Shouldn't it be that a country can only print enough money based on its gold supplies value?
They don't.
Money is just a concept, people have faith in it so it works,m people have faith in gold, that why we use it.

As countries trading gold is an option, as I said earlier gold is only good as long as it can be exchanged for cash to the man on the street (that's me and you).
all your gold eventually has to be turned into cash for you to buy anything with it.

[Waller]

a bit like gold?

as for emptying their bank accounts, same goes for gold, there is more money than gold.
Shouldn't it be that a country can only print enough money based on its gold supplies value?
They don't.
Money is just a concept, people have faith in it so it works,m people have faith in gold, that why we use it.

As countries trading gold is an option, as I said earlier gold is only good as long as it can be exchanged for cash to the man on the street (that's me and you).
all your gold eventually has to be turned into cash for you to buy anything with it.

So you're saying gold is good. I'm still unsure why you question people investing in gold?

[Simple Simon]

So you're saying gold is good. I'm still unsure why you question people investing in gold?

No, I'm saying gold is useless, its the cash you get for it that's of use to you.

Im not telling anyone not to buy gold, I never have.
What I have said from the get go is that gold is worth how much cash you can exchange it for.
Go by a snickers with a block of gold.

[Waller]

No, I'm saying gold is useless, its the cash you get for it that's of use to you.

Im not telling anyone not to buy gold, I never have.
What I have said from the get go is that gold is worth how much cash you can exchange it for.
Go by a snickers with a block of gold.

So you're saying something that can get you more cash than you started with is not of use? Interesting notion.

Also, never own a sweet shop if you'd refuse a block of gold in exchange for a 70p chocolate bar.