Why is gold worth so much?

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slayer202

Lifer
Nov 27, 2005
13,682
119
106
Originally posted by: EMPshockwave82
Originally posted by: Mo0o
Originally posted by: EMPshockwave82
because people equate precious metals to money when paper money is worth nothing

It's all perception. Gold is rare and it is a precious metal but I would rather have a skill than gold.


What's worth more in a primitive world where paper money is worth nothing? Gold or the ability to make knives / guns / gun powder / strong weapons?

Sure gold can buy those things, but if you can make them then you can make gold. It's all perception of money and what an item is worth.

How can you equate a skill and a form of currency? Its comparing apples to oranges. The two aren't mutually exclusive. Even in a primitive world, assuming gold is in adequate abundance, it'll be used as currency so you might as well have a skill that'll give you gold to trade for other things. Barter economies are inefficient

Pretty sure that's what I meant.
but if you can make them then you can make gold

Skills are worth more than money or people wouldnt pay for them................

wrong x 10

in a world without paper money, gold would be one of the things used for currency.

skills aren't worth "more" than money either. a certain skill is worth a certain amount of money
 

ultimatebob

Lifer
Jul 1, 2001
25,135
2,445
126
Because it's rare, silly! I once heard that all of the gold ever produced could fit in an Olympic sized swimming pool, although I'm not sure how accurate that is.
 

nerp

Diamond Member
Dec 31, 2005
9,866
105
106
Originally posted by: ultimatebob
Because it's rare, silly! I once heard that all of the gold ever produced could fit in an Olympic sized swimming pool, although I'm not sure how accurate that is.

Not very. There are some massive solid gold buddhas out there. Buildings with gold domes. Check out pictures of some of the US treasury vaults. Now multiply that by the number of countries with gold stockpiles. . . .
 

Eeezee

Diamond Member
Jul 23, 2005
9,923
0
0
Originally posted by: theflyingpig
As an alchemist, I find gold to be one of the most common elements. It was incredibly rare about a hundred years ago, but now you can find gold anywhere. This is due to alchemy. No one will admit it, but it's true.

The value of gold is only partly artificial. You see, the only way to transmute a substance into gold is to use what is known as the "Philosophers Stone". What is not commonly known, is that the Philosophers Stone is not something that can be found. It must be made. There is a high cost to creating it though. To make mine, I had to slaughter ten thousand innocents. This proved difficult, but I went through with it, and my efforts were rewarded with the ability to make gold.

What does this have to do with the relative worth of gold? I'll tell you why. To my knowledge there are only three Philosophers Stones in the world. I have one, and two others, who I shall not mention by name have them. We three are the ones who create all of the gold in the world. It is we who control the price of gold.

The Philosopher's Stone is really more of a search for enlightenment and personal improvement, but sure let's just roll with it
 

Eeezee

Diamond Member
Jul 23, 2005
9,923
0
0
Originally posted by: Imp
Originally posted by: IHateMyJob2004
Gold .... we dig it out of the ground, refine it and put it back into the ground. I don't get it.

It's price is based on perception and it's value is based on nothing.

Wait for the gold bubble to pop. That should be amusing.

That's what I've read. Price for it is way over-inflated right now.

I'd love a pop. As soon as that happens, I'm building a giant gold (plated) statue of myself
 

EMPshockwave82

Diamond Member
Jul 7, 2003
3,012
2
0
Originally posted by: slayer202
Originally posted by: EMPshockwave82
Originally posted by: Mo0o
Originally posted by: EMPshockwave82
because people equate precious metals to money when paper money is worth nothing

It's all perception. Gold is rare and it is a precious metal but I would rather have a skill than gold.


What's worth more in a primitive world where paper money is worth nothing? Gold or the ability to make knives / guns / gun powder / strong weapons?

Sure gold can buy those things, but if you can make them then you can make gold. It's all perception of money and what an item is worth.

How can you equate a skill and a form of currency? Its comparing apples to oranges. The two aren't mutually exclusive. Even in a primitive world, assuming gold is in adequate abundance, it'll be used as currency so you might as well have a skill that'll give you gold to trade for other things. Barter economies are inefficient

Pretty sure that's what I meant.
but if you can make them then you can make gold

Skills are worth more than money or people wouldnt pay for them................

wrong x 10

in a world without paper money, gold would be one of the things used for currency.

skills aren't worth "more" than money either. a certain skill is worth a certain amount of money

A certain skill is worth a certain amount of money as many times as you can do it..........

I'd rather have a worthwhile skill than money in my hand.

Edit: this is under the assumption that a "worthwhile skill" is one that a lot of people need as well as assuming that the market is not flooded with people that can perform this skill. If it's not needed and something that anyone can do it does not fit my definition of "worthwhile" for the sake of the post
 

Eeezee

Diamond Member
Jul 23, 2005
9,923
0
0
Originally posted by: quakefiend420
Originally posted by: miketheidiot
gold is the original fiat currency.

do you know what the word fiat means?

You mean the automobile company?

No, seriously, do you know what a fiat currency is? Gold was the original fiat currency (hint: as soon as any governing power, such as your tribal eldar, declares gold as an official currency for all debts, purchases, etc., gold is a fiat currency in your village)
 

CrazyLazy

Platinum Member
Jun 21, 2008
2,124
0
0
Gold isn't just shiny. It has uses as an electrical conductor and other related things I believe. In addition societies with a real form of currency tend to be more advanced and better served than barter societies. And they need something to use as money. Before sophisticated money printing techniques they needed a rare, durable material that wouldn't have to be stamped to be a real currency.
 

Mo0o

Lifer
Jul 31, 2001
24,227
3
76
Originally posted by: EMPshockwave82
Originally posted by: slayer202
Originally posted by: EMPshockwave82
Originally posted by: Mo0o
Originally posted by: EMPshockwave82
because people equate precious metals to money when paper money is worth nothing

It's all perception. Gold is rare and it is a precious metal but I would rather have a skill than gold.


What's worth more in a primitive world where paper money is worth nothing? Gold or the ability to make knives / guns / gun powder / strong weapons?

Sure gold can buy those things, but if you can make them then you can make gold. It's all perception of money and what an item is worth.

How can you equate a skill and a form of currency? Its comparing apples to oranges. The two aren't mutually exclusive. Even in a primitive world, assuming gold is in adequate abundance, it'll be used as currency so you might as well have a skill that'll give you gold to trade for other things. Barter economies are inefficient

Pretty sure that's what I meant.
but if you can make them then you can make gold

Skills are worth more than money or people wouldnt pay for them................

wrong x 10

in a world without paper money, gold would be one of the things used for currency.

skills aren't worth "more" than money either. a certain skill is worth a certain amount of money

A certain skill is worth a certain amount of money as many times as you can do it..........

I'd rather have a worthwhile skill than money in my hand.

Edit: this is under the assumption that a "worthwhile skill" is one that a lot of people need as well as assuming that the market is not flooded with people that can perform this skill. If it's not needed and something that anyone can do it does not fit my definition of "worthwhile" for the sake of the post

What if you coudl have more gold than what your skill could produce given the value of your skill and the demand for such services.
 

XZeroII

Lifer
Jun 30, 2001
12,572
0
0
Originally posted by: nerp
Originally posted by: ultimatebob
Because it's rare, silly! I once heard that all of the gold ever produced could fit in an Olympic sized swimming pool, although I'm not sure how accurate that is.

Not very. There are some massive solid gold buddhas out there. Buildings with gold domes. Check out pictures of some of the US treasury vaults. Now multiply that by the number of countries with gold stockpiles. . . .

Read the whole thread.
 

slayer202

Lifer
Nov 27, 2005
13,682
119
106
Originally posted by: EMPshockwave82
Originally posted by: slayer202
Originally posted by: EMPshockwave82
Originally posted by: Mo0o
Originally posted by: EMPshockwave82
because people equate precious metals to money when paper money is worth nothing

It's all perception. Gold is rare and it is a precious metal but I would rather have a skill than gold.


What's worth more in a primitive world where paper money is worth nothing? Gold or the ability to make knives / guns / gun powder / strong weapons?

Sure gold can buy those things, but if you can make them then you can make gold. It's all perception of money and what an item is worth.

How can you equate a skill and a form of currency? Its comparing apples to oranges. The two aren't mutually exclusive. Even in a primitive world, assuming gold is in adequate abundance, it'll be used as currency so you might as well have a skill that'll give you gold to trade for other things. Barter economies are inefficient

Pretty sure that's what I meant.
but if you can make them then you can make gold

Skills are worth more than money or people wouldnt pay for them................

wrong x 10

in a world without paper money, gold would be one of the things used for currency.

skills aren't worth "more" than money either. a certain skill is worth a certain amount of money

A certain skill is worth a certain amount of money as many times as you can do it..........

I'd rather have a worthwhile skill than money in my hand.

Edit: this is under the assumption that a "worthwhile skill" is one that a lot of people need as well as assuming that the market is not flooded with people that can perform this skill. If it's not needed and something that anyone can do it does not fit my definition of "worthwhile" for the sake of the post

You are forgetting the time it takes to perform the skill. Furthermore, many times, it is the time that is more valuable than the skill/service
 

JS80

Lifer
Oct 24, 2005
26,271
7
81
Originally posted by: slayer202
Originally posted by: EMPshockwave82
Originally posted by: Mo0o
Originally posted by: EMPshockwave82
because people equate precious metals to money when paper money is worth nothing

It's all perception. Gold is rare and it is a precious metal but I would rather have a skill than gold.


What's worth more in a primitive world where paper money is worth nothing? Gold or the ability to make knives / guns / gun powder / strong weapons?

Sure gold can buy those things, but if you can make them then you can make gold. It's all perception of money and what an item is worth.

How can you equate a skill and a form of currency? Its comparing apples to oranges. The two aren't mutually exclusive. Even in a primitive world, assuming gold is in adequate abundance, it'll be used as currency so you might as well have a skill that'll give you gold to trade for other things. Barter economies are inefficient

Pretty sure that's what I meant.
but if you can make them then you can make gold

Skills are worth more than money or people wouldnt pay for them................

wrong x 10

in a world without paper money, gold would be one of the things used for currency.

skills aren't worth "more" than money either. a certain skill is worth a certain amount of money

Why would you accept for payment a shiny metal that the government can just potentially confiscate and/or make illegal for use as currency?
 

XZeroII

Lifer
Jun 30, 2001
12,572
0
0
Originally posted by: JS80
Originally posted by: slayer202
Originally posted by: EMPshockwave82
Originally posted by: Mo0o
Originally posted by: EMPshockwave82
because people equate precious metals to money when paper money is worth nothing

It's all perception. Gold is rare and it is a precious metal but I would rather have a skill than gold.


What's worth more in a primitive world where paper money is worth nothing? Gold or the ability to make knives / guns / gun powder / strong weapons?

Sure gold can buy those things, but if you can make them then you can make gold. It's all perception of money and what an item is worth.

How can you equate a skill and a form of currency? Its comparing apples to oranges. The two aren't mutually exclusive. Even in a primitive world, assuming gold is in adequate abundance, it'll be used as currency so you might as well have a skill that'll give you gold to trade for other things. Barter economies are inefficient

Pretty sure that's what I meant.
but if you can make them then you can make gold

Skills are worth more than money or people wouldnt pay for them................

wrong x 10

in a world without paper money, gold would be one of the things used for currency.

skills aren't worth "more" than money either. a certain skill is worth a certain amount of money

Why would you accept for payment a shiny metal that the government can just potentially confiscate and/or make illegal for use as currency?

What is to stop them from doing the same thing with paper currency?
 

JS80

Lifer
Oct 24, 2005
26,271
7
81
Originally posted by: XZeroII
Originally posted by: JS80
Originally posted by: slayer202
Originally posted by: EMPshockwave82
Originally posted by: Mo0o
Originally posted by: EMPshockwave82
because people equate precious metals to money when paper money is worth nothing

It's all perception. Gold is rare and it is a precious metal but I would rather have a skill than gold.


What's worth more in a primitive world where paper money is worth nothing? Gold or the ability to make knives / guns / gun powder / strong weapons?

Sure gold can buy those things, but if you can make them then you can make gold. It's all perception of money and what an item is worth.

How can you equate a skill and a form of currency? Its comparing apples to oranges. The two aren't mutually exclusive. Even in a primitive world, assuming gold is in adequate abundance, it'll be used as currency so you might as well have a skill that'll give you gold to trade for other things. Barter economies are inefficient

Pretty sure that's what I meant.
but if you can make them then you can make gold

Skills are worth more than money or people wouldnt pay for them................

wrong x 10

in a world without paper money, gold would be one of the things used for currency.

skills aren't worth "more" than money either. a certain skill is worth a certain amount of money

Why would you accept for payment a shiny metal that the government can just potentially confiscate and/or make illegal for use as currency?

What is to stop them from doing the same thing with paper currency?

That question makes no sense. The whole point of confiscating gold is for the govt to force the people to use fiat currency.

But I think what you're trying to ask is, if you feel your currency is about to become post WW1 german toilet paper money, what should I buy, it is a much harder question to answer. The correct answer is probably guns, ammo, canned food, real estate, oil, other commodities (precious metals are in this category). In that order.
 

slayer202

Lifer
Nov 27, 2005
13,682
119
106

last time I checked the govt didn't confiscate gold. doesn't really make a difference in the arguement anyway
 

So

Lifer
Jul 2, 2001
25,921
14
81
Originally posted by: theflyingpig
As an alchemist, I find gold to be one of the most common elements. It was incredibly rare about a hundred years ago, but now you can find gold anywhere. This is due to alchemy. No one will admit it, but it's true.

The value of gold is only partly artificial. You see, the only way to transmute a substance into gold is to use what is known as the "Philosophers Stone". What is not commonly known, is that the Philosophers Stone is not something that can be found. It must be made. There is a high cost to creating it though. To make mine, I had to slaughter ten thousand innocents. This proved difficult, but I went through with it, and my efforts were rewarded with the ability to make gold.

What does this have to do with the relative worth of gold? I'll tell you why. To my knowledge there are only three Philosophers Stones in the world. I have one, and two others, who I shall not mention by name have them. We three are the ones who create all of the gold in the world. It is we who control the price of gold.

Man, gold mines must confuse the hell out of you.
 

XZeroII

Lifer
Jun 30, 2001
12,572
0
0
Originally posted by: slayer202

last time I checked the govt didn't confiscate gold. doesn't really make a difference in the arguement anyway

What? Check your history around the great depression. The government confiscated all personal silver and gold.
 

FlashG

Platinum Member
Dec 23, 1999
2,712
2
0
Originally posted by: XZeroII
Originally posted by: slayer202

last time I checked the govt didn't confiscate gold. doesn't really make a difference in the arguement anyway

What? Check your history around the great depression. The government confiscated all personal silver and gold.

No they didn't. They allowed gold personal items and non traidable coinage.

 

Fayd

Diamond Member
Jun 28, 2001
7,971
2
76
www.manwhoring.com
Originally posted by: theflyingpig
As an alchemist, I find gold to be one of the most common elements. It was incredibly rare about a hundred years ago, but now you can find gold anywhere. This is due to alchemy. No one will admit it, but it's true.

The value of gold is only partly artificial. You see, the only way to transmute a substance into gold is to use what is known as the "Philosophers Stone". What is not commonly known, is that the Philosophers Stone is not something that can be found. It must be made. There is a high cost to creating it though. To make mine, I had to slaughter ten thousand innocents. This proved difficult, but I went through with it, and my efforts were rewarded with the ability to make gold.

What does this have to do with the relative worth of gold? I'll tell you why. To my knowledge there are only three Philosophers Stones in the world. I have one, and two others, who I shall not mention by name have them. We three are the ones who create all of the gold in the world. It is we who control the price of gold.

dude, i want some of whatever this guy's on.

that shit is loopy.
 
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