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To: The Duke
An ounce of gold is always worth an ounce of gold. It's the value of paper money that is subject to fluctuation.

Not true. Gold is a commodity in our economy. It is bought in dollars and sold in dollars.

57 posted on 08/12/2010 1:32:32 PM PDT by politicket (1 1/2 million attended Obama's coronation - only 14 missed work!)
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To: politicket
Not true. Gold is a commodity in our economy. It is bought in dollars and sold in dollars.

If we insist on thinking in terms of dollars then we put our heads on the chopping block with the ax in the hands of those who define the value of a dollar.

Dollars are just a convenient way to transmit value efficiently (it's easier for a piece of paper to be carried across he desert than a ton of gold). However, when the value of currency seemed stable we deluded ourselves into thinking of currency as a store of value.

In retrospect that just seems silly, and economically suicidal.

65 posted on 08/13/2010 7:42:31 AM PDT by The Duke
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