Gold, do you really need it?

I listen to the radio a lot, and it never fails – the rich talk show host talking about buying gold and IT GETS SICKENING

I can’t afford gold, it is not on my list of needed items to survive life after a crash.

• Food – yes
• Things to trade – yes
• Talent to do something someone else can’t – yes
• Gold – not really

There hasn’t or at least I know of a time when gold mattered after a country collapsed. I think the nearest we have come to that is Germany in the 1920’s but that’s about it.

See I think it is all about the Benjamin’s … that is about how to get your money out of your pocket into the pocket of the person who has the gold to sell.

Big deal it is over a $1000 an ounce, that is a reflection of two things – the value of the dollar and the emotion within the market but nothing else. The former is a given, with dropped interest rates, the economy in the crapper and the present administration mortgaging our future, the price should be five times as much. Now the latter is simple, with the hype of the “better buy now” crowd, they pushed the market emotion up, hence the price goes up.

Here’s why I think it would be a bit better to put money into things that have a better value than metal.

I have a chicken.

My chicken produces eggs.

You have gold in one ounce ingots.

You need my eggs.

You can’t split up the gold but need eggs to eat.

So my eggs cost one egg per ounce.

Now many will not let go of the gold because of the value you put it on when you bought it, be it $600, $800, $1200 an ounce but with the eggs in my basket in one hand and the 357 in the other to make sure you don’t steal the eggs, what you paid for the gold is irrelevant at this time.

The real value is what it is traded for when you need to trade it, not what you paid for it.

It is far far better to have things to trade, like a butter churn or some tools but things that don’t really need to be recharged – I will give you the shell of one egg for that useless iPhone.

Advice?

Yea learn a skill.