Gold Bubble Anyone

[rabot10]

I would like to start this post off by saying that I am not a Gold Bug. But I would also say that I disagree that “Gold is or was only money because governments said it was”

The journey that brought me to iTulip started on a flight from NY to Tampa on Jet Blue in 05, I was watching the History channel on that little TV on the back of the seat in front of me. The show playing that day was The History of Gold. Now I won’t bore you with all the details from the show, but the one thing that stood out as something that I needed to know more about was.
Why was it hundreds or thousands of years ago people isolated from each other in South and Central America to Europe and
Why do you think that is? I don’t have a good answer so feel fee to chime in.
Based on my informal research I am 98% sure that gold holds a special place in the minds and hearts of the broad populace. (Not mine)
As confidence in paper money continues to decline, something will take its place. Could it be gold?
If there is a bubble in gold it will be for this reason, no bubble then my assumption is incorrect.

[metalman]

Re: Gold Bubble Anyone

I would like to start this post off by saying that I am not a Gold Bug. But I would also say that I disagree that “Gold is or was only money because governments said it was”

The journey that brought me to iTulip started on a flight from NY to on Jet Blue in 05, I was watching the History channel on that little TV on the back of the seat in front of me. The show playing that day was The History of Gold. Now I won’t bore you with all the details from the show, but the one thing that stood out as something that I needed to know more about was.
:p
Why was it hundreds or thousands of years ago people isolated from each other in South and Central America to Europe and :pAfrica were digging it up and killing each other to own it.
:p
Why do you think that is? I don’t have a good answer so feel fee to chime in.
:p
Based on my informal research I am 98% sure that gold holds a special place in the minds and hearts of the broad populace. (Not mine)
:p
As confidence in paper money continues to decline, something will take its place. Could it be gold?
:p
If there is a bubble in gold it will be for this reason, no bubble then my assumption is incorrect.

what's with all the happyface icons?

anyway, no doubt gold has special symbolic meaning to billions of people. the itulip idea, as i understand it, is like what i think maybe sapiens or tet talked about... originally gold came to be money because the very first governments didn't want to get paid their taxes money in cows by one guy, sheep by another, sandals by another, etc. they wanted to get paid in one thing and that thing had to be rare, else anyone could just dig it up and pay their taxes with it. after a couple thousands years of this, gold got stuck in the mass brain as money, even after the governments stopped wanting to get paid with it, preferring the paper shit they printed themselves.

the end.

[rabot10]

Re: Gold Bubble Anyone

i don't know on the happy face thing i didn't put them in ??

[raja]

Re: Gold Bubble Anyone

i don't know on the happy face thing i didn't put them in ??

I see this occasionally on posts from one or two other posters; it must be a formatting thing.

Are you using a Mac? Or writing your post in a word processor and pasting it in? Or maybe it's something to do with the character set on your computer?

[GRG55]

Re: Gold Bubble Anyone

I see this occasionally on posts from one or two other posters; it must be a formatting thing.

Are you using a Mac? Or writing your post in a word processor and pasting it in? Or maybe it's something to do with the character set on your computer?

If you compose your post on Word and then cut and paste it seems to send over all sorts of format junk, some of which appears as Smilies. Probably happens with other software and Macs as well, but not certain.

[WDCRob]

Re: Gold Bubble Anyone

That question about gold has come up before - if you search posts from 2006 you should find something. I think it's got something to do with the combination of density, richness of color, and immutability combining to convince our reptile brains it has intrinsic value. YMMV

[GRG55]

Re: Gold Bubble Anyone

I would like to start this post off by saying that I am not a Gold Bug. But I would also say that I disagree that “Gold is or was only money because governments said it was”

The journey that brought me to iTulip started on a flight from NY to Tampa on Jet Blue in 05, I was watching the History channel on that little TV on the back of the seat in front of me. The show playing that day was The History of Gold. Now I won’t bore you with all the details from the show, but the one thing that stood out as something that I needed to know more about was.
Why was it hundreds or thousands of years ago people isolated from each other in South and Central America to Europe and
Why do you think that is? I don’t have a good answer so feel fee to chime in.
Based on my informal research I am 98% sure that gold holds a special place in the minds and hearts of the broad populace. (Not mine)
As confidence in paper money continues to decline, something will take its place. Could it be gold?
If there is a bubble in gold it will be for this reason, no bubble then my assumption is incorrect.

Rick: Not surre this will answer your question completely, but there may be some insight here:
http://www.goldensextant.com/LLCPostings4.html

[rj1]

Re: Gold Bubble Anyone

The main reason gold became money was cause gold never changed over time. You can stick gold in water and it does not oxidize or change chemical properties. Take iron on the other hand and just leave it outside for a month. Come back to it, and it will have rust (oxidation) all over.

[Andreuccio]

Re: Gold Bubble Anyone

Rick: Not surre this will answer your question completely, but there may be some insight here:
http://www.goldensextant.com/LLCPostings4.html

Nice link. Very interesting.

[Sapiens]

Re: Gold Bubble Anyone

RB,

Do not confuse Gold with Money.

Gold becomes money when the majority of society readily accepts it in exchange for goods and services. As a matter of fact, anything that a majority of society is willing to readily accept in exchange for goods and services becomes money.

Gold becomes Money when the individuals or actors in a society cannot readily trust each other. Gold with its inherent characteristics makes it an ideal instrument to settle trade transactions.

Cheers,

-Sapiens

[Guest]

Re: Gold Bubble Anyone

Rick -

Whether or not 'gold is money' really is an academic point. The only substantive point in 2007 is not 'what is money' but rather 'what is a store of value'.

When you enlarge the notion of 'money' to 'store of value', then gold beats every other fleeting store of value on percentage averages through 4000 years. Actually, it beats every other form of 'money' too, but that seems to be a topic that's being worried to shreds on this page, and it's a boondoggle anyway.

Anyone debating whether 'gold is money' today, as we witness Breton Woods II crumbling, and with it crumbling the largest global scale experiment in fiat money in history, is mired in a barren academic debate.

When the fiat senior currency has been fobbed off on the world for 30 years in an orgy of abusive proliferation (read USD), so that the entire globe's productive capacity has been cumulatively storing decades of it's real value output into this paper 'store of value', these productive economies have cumulatively built a massive implied 'bet' into a paper version of 'store of value' which is manifestly near it's confidence breaking-point.

A search for meaning, particularly actionable meaning, in any debate on gold, regards 'what is money' as a meaningless exercise, and instead focuses right in on 'what is the real store of value'.

The global bet for 30 - 50 years has been the senior store of value was the greenback. Massive amounts of compensation for decades of past global output are stored in it, and no viable paper substitute is even on the horizon.

It does not take a genius to figure out whatever is a real 'store of value' is going to see a massive bid, as these accumulated global pools of capital become aware their stored accumulated wealth is placed in a 'money' which is not any longer protecting that store.

So Rick, any discussions here to the contrary - you nailed it. There is zero superstition or lazy rationalisations involved in your accumulation of precious metals. FWIW, I am squarely within your own camp on this question.

[rabot10]

Re: Gold Bubble Anyone

Rick -

Whether or not 'gold is money' really is an academic point. The only substantive point in 2007 is not 'what is money' but rather 'what is a store of value'.

When you enlarge the notion of 'money' to 'store of value', then gold beats every other fleeting store of value on percentage averages through 4000 years. Actually, it beats every other form of 'money' too, but that seems to be a topic that's being worried to shreds on this page, and it's a boondoggle anyway.

Anyone debating whether 'gold is money' today, as we witness Breton Woods II crumbling, and with it crumbling the largest global scale experiment in fiat money in history, is mired in a barren academic debate.

When the fiat senior currency has been fobbed off on the world for 30 years in an orgy of abusive proliferation (read USD), so that the entire globe's productive capacity has been cumulatively storing decades of it's real value output into this paper 'store of value', these productive economies have cumulatively built a massive implied 'bet' into a paper version of 'store of value' which is manifestly near it's confidence breaking-point.

A search for meaning, particularly actionable meaning, in any debate on gold, regards 'what is money' as a meaningless exercise, and instead focuses right in on 'what is the real store of value'.

The global bet for 30 - 50 years has been the senior store of value was the greenback. Massive amounts of compensation for decades of past global output are stored in it, and no viable paper substitute is even on the horizon.

It does not take a genius to figure out whatever is a real 'store of value' is going to see a massive bid, as these accumulated global pools of capital become aware their stored accumulated wealth is placed in a 'money' which is not any longer protecting that store.

So Rick, any discussions here to the contrary - you nailed it. There is zero superstition or lazy rationalisations involved in your accumulation of precious metals. FWIW, I am squarely within your own camp on this question.

Luskester we have to get together sometime and talk, would U repeat that speal to my kids? could be worth a few foot rubs thanks love ya

[Sapiens]

Re: Gold Bubble Anyone

Question: What gives gold its "store of value" quality?

Answer me that please.

[Guest]

Re: Gold Bubble Anyone

Sapiens -

<< I have come to the conclusion that I am not inclined to exercise my pedagogical skills nor give it the time it is require to elucidate neophytes. >>

:p :p

[Sapiens]

Re: Gold Bubble Anyone

Sapiens -

<< I have come to the conclusion that I am not inclined to exercise my pedagogical skills nor give it the time it is require to elucidate neophytes. >>

:p :p

It is not that you are "not inclined", it is that YOU LACK the skills.

You replied to RB with drivel and planted the seeds of doubt and deceit, although maybe not maliciously, yet damagingly.

The discussion of what is money is not an academic one. It is an essential discussion that affects each and every human being on this planet, for it is people's beliefs in their currency or medium of exchange that governs the majority of their actions.

Anyhow, take care and be well.

-Sapiens