Bitcoin

[lyman]

In can not understand that if times get that bad that a person would trade guns or ammo for other goods, the gun or ammo will be used against you sooner or later.

kurt

depends,

I know of an appliance repair guy that has a helluva collection of old firearms,

he is probably retired now, but told me once he would go to a person's house that needed something fixed, or replaced, and would end up with a shotgun or rifle as a partial or complete payment,

his business was out in the sticks, no big town for 90 minutes or so, and to some old folks, that might as well be like going to the moon

[Johnny P]

Have to disagree on gold does not pay dividends or create wealth. If it didn't it would still be $32 an ounce. I have several old stock certificates for railroads and companies that no longer exist, and the only value of the stock is how much heat it would put out if used to build a fire. We are not talking investments, but everything coming to a grinding halt at which times stocks have zero value. Try to barter for an essential with a stock certificate.

[dogtag]

It's a store of value. Under FDR it's value was pegged at $34 oz (even if you couldn't buy it, legally)
If you 'd held on to that $34, what would it buy today ?
Today that troy oz of gold you bought back then is worth what $1,700 or so ?

[togor]

Have to disagree on gold does not pay dividends or create wealth. If it didn't it would still be $32 an ounce. I have several old stock certificates for railroads and companies that no longer exist, and the only value of the stock is how much heat it would put out if used to build a fire. We are not talking investments, but everything coming to a grinding halt at which times stocks have zero value. Try to barter for an essential with a stock certificate.

There's no compounding of gold. You own 20 oz. of gold, no matter how long, it's still 20 oz.

By contrast you own 100 shares in a dividend paying company, and reinvest those dividends in more shares of that company, the you own more than 100 shares. If it's a good company the share price may also go up too. There are taxes on the dividends, but they are taxed at a lower rate than income.

Dividends in this case are a slice of operating profits passed to shareholders. Gold doesn't operate. It sits there. Hard to create, hard to destroy.

[togor]

https://www.longtermtrends.net/stock...ld-comparison/

Two charts there. One showing just the price comparison between metals and the S&P 500 and the other showing the Total Return Index (dividends reinvested).

[Johnny P]

There's no compounding of gold. You own 20 oz. of gold, no matter how long, it's still 20 oz.

By contrast you own 100 shares in a dividend paying company, and reinvest those dividends in more shares of that company, the you own more than 100 shares. If it's a good company the share price may also go up too. There are taxes on the dividends, but they are taxed at a lower rate than income.

Dividends in this case are a slice of operating profits passed to shareholders. Gold doesn't operate. It sits there. Hard to create, hard to destroy.

Go back and read again. Gold was in such demand that Roosevelt had to do something to save our monetary system. He did this by regulating gold, and the only way to do this was to limit the amount of gold a person could legally hold. If gold did nothing it would still be at the 1934 price. All stocks don't pay dividends, and have the possibility of being worth nothing. In the history of our country gold or silver has never had zero value, but plenty of stocks have.

[dogtag]

FDR made it illegal to own Gold, plus Silver was called in in 64. Coinage is now a worthless nickel and copper sandwich.
Stocks and Bonds are paper transactions or were. Now Computer entries I guess. Great as long as they go up like
they did in 29. Today reminds me of 29 with it's wild speculation between the very wealthy.
I'm a Dinosaur I know but I like things to be in my Safe.

[dryheat]

When you start hearing about it all the time, it's time for the crash.