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Please share with us your calculations to determine the intrinsic value of gold. I don't think you can do it, which is why I don't have an opinion about its in
by nirvana 14y ago
Please share with us your calculations to determine the intrinsic value of gold.
I don't think you can do it, which is why I don't have an opinion about its intrinsic value.
But if you look at the price of gold as actually the price of dollars measured in gold, then things look much different.
By that measure, taking monetary inflation into account over the past 100 years, gold is historically cheap.
- jstalin 14y agoThere is no such thing as "intrinsic" value. All value is subjective.
- raverbashing 14y agoWell, it's simple, isn't it Gold has "two values" (and one sale price) It can be a "money substitute" But it is also a mineral, with an extraction cost, and usage in the industry Now let's compare to oil Oil is very liquid (pun intended), it can almost anytime be converted into money. And then, used, converted into products or services. Gold has no such property. Yes, seeing "the price of dollar in gold" is certainly eye opening, still, the US has enough gold (and other resources) to keep the price of dollar (compared to gold) high enough.