Gold is an better option for saving?

[97guns]

Can you take a few ounces of gold and go buy a car? Can you take some gold coins and go buy a burger?

Gold is not legal tender, thus it is not a currency.

please get your facts straight before talking about something you know little about, utah and other states are taking gold for tax payments, looks like the dawn of gold becoming legal tender.


House panel OKs gold, silver as legal tender - State & Regional - TheState.com

[97guns]

I'll take seeds, iodine tablets, and a couple of goats.

sounds fantastic but what does someone do with hundreds of thousands of dollars to protect, you would need a silo to store that much grain

[NetSkyBlue]

please get your facts straight before talking about something you know little about, utah and other states are taking gold for tax payments, looks like the dawn of gold becoming legal tender.


House panel OKs gold, silver as legal tender - State & Regional - TheState.com

Then there's this story about how BoA wouldn't take CASH as payment: Activist Post: Cashless Society: Bank of America Refuses Cash for Mortgage Payment

[stazstaz]

Gold is a great way to hold your savings since paper currency is worth less and less each year. Gold (as well as other physical commodities) has actual value and, especially in these times, is considered a great investment. Silver is also worth looking into for those of us that have a bit less saved up

[kv968]

please get your facts straight before talking about something you know little about, utah and other states are taking gold for tax payments, looks like the dawn of gold becoming legal tender.


House panel OKs gold, silver as legal tender - State & Regional - TheState.com

That all sounds great except for one small problem...
(from the article):
"The measure approved by the House Judiciary Committee would let people use the precious metals as money as long as businesses agree to take them. Legislators had made the argument that they didn't want to force businesses to take the metals and have to figure out the worth of the coins from one day to the next and amended the bill to remove such a requirement."

If you can't FORCE businesses to accept it as a currency, how effective would that be? Say I buy a piece of machinery off of you for a few ounces of gold. You in turn go to pay your machine shop rent with that gold but your landlord doesn't want it. What do you do? You then have to convert the gold to fiat money (i.e. the dollar) to pay the bill.

Another thing I would like to see is how they amended the bill to remove the requirement that figures out the worth of the coins from one day to the next. The value of the dollar certaintly does fluctuate but doesn't have near the volitility that gold does. What do you do, tell the person you're giving the gold to it's worth $1600 because that's what you bought at a couple of weeks ago even though gold's currently worth $1550?

Although:
"Advocates of the measure say the metal coins are more stable than the dollar, although Rep. Greg Delleney, who chaired the subcommittee that studied the bill, has previously warned that, if the dollar collapses, people will be in trouble no matter what the metals are worth."

I would like to know how the metal coins are more stable than the dollar. Look at the day-to-day price of gold and the value of the dollar and you tell me which is more "stable". I'll have to go more along the lines of Delleney's thinking.

[dczech09]

please get your facts straight before talking about something you know little about, utah and other states are taking gold for tax payments, looks like the dawn of gold becoming legal tender.


House panel OKs gold, silver as legal tender - State & Regional - TheState.com

Don't insult me guns. This article is referring to a few states out of 50. Get your facts straight.

Also they cannot force a business to take gold as payment. It is up to the discretion of the business.

The fact of the matter is that fiat currency is legal tender. "This note is legal tender for all debts public and private." I have not seen a gold coin or bar with that statement.

"Looks like the dawn of gold becoming legal tender." So let me get this straight. Just because one state is allowing businesses the discretion to accept gold as payment means that it is becoming legal tender?

You're telling me that I need to get my fact straight before talking about something I know little about? How about you learn a little something about fiscal history? How about you think before you attempt to insult me on a forum like that.

Open up a history book and read about the gold standard. It officially started under the 1792 Coin & Mintage Act. There were MANY changes over the years. We officially left the world gold standard on August 15, 1971 as a result of Richard Nixon's decision to move to fiat currency. Actually some European countries were looking at moving to fiat when we were in the Great Depression.

So no buddy. We are not going BACK to the gold standard. That would limit our economic growth as monetary supply would be anchored down by a finite resource.

Am I saying that our current system is the best system? No, our current system has problems. However it has less problems than the gold standard did.

Also, some people say gold is good because it is physical and "can be held." Do you know what else is physical and can be held? A big steaming pile of horse crap. Just saying

[dczech09]

Then there's this story about how BoA wouldn't take CASH as payment: Activist Post: Cashless Society: Bank of America Refuses Cash for Mortgage Payment

Technically it is illegal for BoA to not accept cash as a mortgage payment. They just did not want to go through the hard labor of depositing it because they do most of their work electronically.

[dczech09]

Gold is a great way to hold your savings since paper currency is worth less and less each year. Gold (as well as other physical commodities) has actual value and, especially in these times, is considered a great investment. Silver is also worth looking into for those of us that have a bit less saved up

I am in the midst of doing a study on gold. I have found Gold to rise about 2% per year from 1792 through 2011.

Also from 1971 (when the gold standard ended) through 2011, I found the standard deviation for gold returns to be almost double that of the S&P 500 market index.

Gold rose about $1,000 for the first time in 2009. Yet it is being considered a great investment? It has a lousy track record. Its big gains are more recent and are not indicative of future growth.

The reason why paper currency is worth less and less each year is because the Fed keeps printing more money that what our economy is growing by.

[aditi]

Gold is not good option for investing because fluctuation in the prices of it.
There is another option like real state where you can get more return and more profit.

[vips]

Gold is not good option for investing because fluctuation in the prices of it.
There is another option like real state where you can get more return and more profit.

Yeah actually gold has increased its rates so much so people are investing in it. But I think this rates are depends on market as if it goes down gold rate will also fall. But Real estate investment is one of the good options for investment. It can give good investment in future.