Why the Price of Gold will go Down.

Really? Do you believe in Gold?

Sooner or later Gold will drop in price. Slowly or quickly, it will fall. Do you know why?

Because  Gold is one of those things that has limited value. You can’t eat it. You can burn it for fuel.  Neither can you use it for clothing or shelter.  Well, you might build a barn out of gold, but it would not be any better than other materails.

What about being a good electrical conductor. The role is already taken by copper, which is widely used. Of course gold is much more resistant to oxidation. But a very thin layer of gold will make something rust proof. And other metals could be used instead.

So then, Why is gold prices\d so much higher that other metals? It is due the idea people have about its value. That think it is valuable and that makes it valuable. people think it is valuable.  When a large number of people start selling their gold for something needed, the price  will drop.

But what about the geld needed for electronics?  That need is very small compared to the amount of gold available.  Besides, other metals and alloys  can be used if needed.

Today, the greatest use of gold is in jewellery.  And even so the idea that it is beautiful and valuable is a product of out  imagination. There are metals that look as good and sell for a fraction of the price of gold.

Try this: Go to eBay and look for ‘fake gold jewelry’ and see lots of cheap snuff that looks good. The is not real need to own real gold jewelry.

When a large number of people start using practical thinking, the price will drop.

This kind of reasoning has been presented elsewhere. It it not real news at all. In time, it will happen. Gold will drop like a dead bird.

Meanwhile,  don’t listen to anyone telling you to buy gold. It is not a good idea at all.

 

 

Leave a Reply