Gold Reserves

[ado089]

I have the chart on realestate in Calgary from the last highs in the early 80's. If you bought then you were underwater until 2006 based on inflation adjusted dollars. The price of gold never changes, just the value of what you buy it with does.

[ColevilleH2S]

ado, I don't quite follow your statement about Gold, "The price of gold never changes, just the value of what you buy it with does."

The last I checked most everything was priced in U.S. dollars not ounces of gold.

[vagabonddreamer]

this is an interesting discussion...because by extension it is a good example of the "theory of relativity" as it affects economics...some people think that gold is the measure...some people think that land is the measure because without the land you cant mine the gold...some people believe strongly in currency...what is also interesting is that all three are largely commodity based...intellectual knowledge doesnt enter the equation although some theorists beleive it will be the "currency" of the future...

the dark horse is military supremacy...because the only thing that stands in the way of the "bully" being the richest and most powerful...is civility...(although some might even argue whether that tennet holds true... because what IS civility??...it is a relative measure as well!!!)...you have to think of the various ways that "wealth" is accumulated and what your perspective is on the definition of "wealth"...if you were an isolated tribe would "money" mean anything??? vs

[ado089]

Coleville, even though there ae no gold backed reserves gold is still the ultimate when it comes to percieved inherant value. What that means is that once you take into account inflation, US dollar index, opportunity cost and time value of money the real return on gold over longer time frames is zero. The same goes for land, by the time you take into account financing charges, or opportunity cost if you pay cash and inflation unless you have farm land that suddenly becomes a development intrest you're probably sitting at a zero return using average intrest rates and land values. Hence at the end of the day when you look at the assets such as gold or land the "dollar value" changes but in reality the relative value tends to only change slightly in a very long (30yr) cyclical fashion.

[parsley]

Silly me courting gold when I should have been buying<p></p><p class="EC_style8ptBK"><strong>[URL="http://trak.in/india/nortel-networks-bankruptcy-news-issue-no-21/economy-47701/"](shares)[/URL]</strong></p>

[bduke]

Parsley..... Silly you, indeed!

If you had purchased 1000 Nortel and 1000 Apple
shares in Dec. 2008.... prior to the shutting down of
Nortel ... seeing you are comparing gold to Nortel...

You would have lost about $400 on Nortel and you
would have gained about $123,000 on Apple.... an
average gain of about 135%.

Are you are up 135% on Gold?

We can usually find figures that give us warm, fuzzy
feelings.

Like your figure does to men!!!...

LOL... LOL .... Bill

[Hopperbin]

Bduke not sure about you and parsleys figure sounds like your married to each other or something, nothing wrong with guys liking womans figures. Anyone got any insight on HRG High River Gold? They were actually trading for .10 cents a share just not quite 2 years ago. Now they are at .62 or that is what I just paid first purchase on my own, Perhaps if it don't work out my kids RESP will be worthless haha and they will have to learn a third or forth language and work in Kazakstan. Before their crash they were at 3 dollars.

[bduke]

Hopperbin..... Nothing wrong with liking women's
figures is my motto also!

Parsley and I are friends... have been for many
years.

Regarding High River, I suggest you check out John
Embry's perspective.... he is with Sprott Asset
Management.... and he is highly regarded as a gold
investor expert..... and is a first class gentleman as
well.

The point I was trying to get across in the above
post is that we have various options of investments
and investing instruments from which to choose.

We can generally also make comparatives that agree
or disagree with our preferences.

Surely is nice to have some choices.... Bill

[Hopperbin]

Watch Boeing. That stock should be on fire as their stock prices are only 1/2 of 2 years ago and boeing is America's next baby. If Boeing goes down America goes down. Boeing still has 5 years of backorders and they appear resilient in that they use a lot a smaller companies to help with tool and die and research and still produces the worlds airplanes. Effiencies will create demand for more planes weather boeing stays in America or ends up in China. USA gov't would not allow that.

[cottonpicken]

Vaga,does your wife wake up stupid or does she let
you sleep in once in a while.

At least some here have FINALLY caught on to the
obvious but its been a cloudy years and years long
haul for them.

At the ag talk site their still trying to wrap their
heads around inflation or deflation,its like watching
monkeys and fire and poop.

There is nothing special about gold.
There is nothing special about wheat or oil.

But if you want to trade a barrel of oil for a barrel
of wheat and the distance is great,how do
accompilish the trade.

Dont answer vaga vs...

Does not work so well if a country has lots of notes
in circulation.

And what was einsteins most powerful force
theory?

I'm looking at you vega.

And what was einsteins theory on the most infinite?

I'm lokin at the rest of you.

[ado089]

Cotton, As far as the economy goes I'm not sure it knows the difference between dollar bills or debt notes. I'm pretty sure that all the after nearly going belly up the banks are not lending nearly as much, restricting loaning and hoarding bailout money. Inflation or deflation will depend on which force wins out, an increasing money supply or deleveraging. The other thing to keep in mind is the velocity of money or how fast money gets reinvested. With all the increased saving rates seen lately the velocity of money is pretty slow. My bet is on deflation of everything including gold.

[vagabonddreamer]

cottonpricken....your post begets MANY questions...not the least of which...is HOW do you know my wife is stupid when she wakes up??? AND...how come by the end of the day she is WAY smarter??? thats what she tells ME anyway...that she is WAY smarter than i am!!! or is that a function of me knowing less than nothing and in truth she is still stupid??? again that relativity thing creeps in...anyway...i showed her your post and the fact that you called her stupid...and she asked me what kind of cowardly ingrate calls another persons spouse stupid without even knowing her??? (i was worried for a sec that maybe you and she had a "thing" going or something)..and then it dawned on me...it is the kindergarten level spelling and punctuation that confused me...NOW i get it...

lol...that was a good one!!! dont know what the rest of your post had as a commonality with mine...but i can only guess that as usual you havent really read anything anybody else has written and no doubt you will be writing retractions again...lol...you are a great sideshow!!! vs