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Is buying gold not an investment?
by fortythirteen 9y ago
Is buying gold not an investment?
- xya3453 9y agoBuying gold to hold and then sell at a higher exchange rate is pure speculation.
- fortythirteen 9y agoBut is it not an investment?
- vasilipupkin 9y agoI don't think so, as gold has no inherent expected return.
- fortythirteen 9y agoThe combination of its increasing scarcity and real world use doesn't drive a return?
- vasilipupkin 9y agono. real world use explains why it has value not why this value should increase in expectation relative to general level of inflation.
- bradleyjg 9y agoThere are different definitions of ‘investment’. One is forgoing present consumption in the hope of increased ability-to-consume in the future. Another is purchasing a productive asset. By definition one: yes, by two: no.