Always look for a goldbug to quote Lenin. After all, they are the only people looking to communism anymore, because the MARKET has rejected gold in favor of money that is portable, divisible, and which has instantly evaluated market prices.
One thing's for sure: I would not be laughing on the way to anything except the poorhouse if I invested in gold in the last 30 years. I sold when it got to $450 an ounce in 1974, and laughed until it reached $930, but took solace in the fact that it then dropped to $300, where it pretty much has stayed ever since.
I think you are looking at gold purely as a commodity and ignoring its special status as a safe haven. You are also measuring its performance from a local high. Why not pick 1970 when gold was $35 and say that gold has risen almost 800%? Finally, the fact that gold has been in a 20 year bear market is irrelevant. By that line of reasoning, stocks would have been a bad investment in 1981.