"Many people enjoy using gold in jewelry for its own sake, not because they want to speculate on it" I disagree. But it's not because they want to speculate. P

"Many people enjoy using gold in jewelry for its own sake, not because they want to speculate on it" I disagree. But it's not because they want to speculate. People enjoy solid gold jewelry over gold plated jewelry for the only reason that the first is "more valuable" and is associated to a "higher status." They also prefer real gold over gold imitations for the same reason. Here is a thought experiment: if gold prices fell to $0.001 per gram tomorrow, would people continue using it in jewelry? No. I guarantee you demand for gold would dramatically fall in jewelry. About 50% of the gold produced ends up in jewelry. Most of it ends up in solid gold / gold filled jewelry items (the rest in gold plated items.) And my claim is that demand for these solid gold / gold filled jewelry items would fall.