They aren't going up, dollars are becoming worth less.
Here's the thing to remember -- the price of gold never changes. Gold is worth gold. What changes is how many dollars it takes to buy an ounce of gold. When they say "gold is up" they really mean "the dollar is down." When they say, "gold is down" they really mean "dollars are worth more."
Once you realize that okey-doke, much much more of economics makes sense.
They aren't going up, dollars are becoming worth less.
Here's the thing to remember -- the price of gold never changes. Gold is worth gold. What changes is *how many dollars it takes to buy an ounce of gold*. When they say "gold is up" they really mean "the dollar is down." When they say, "gold is down" they really mean "dollars are worth more."
Once you realize that okey-doke, much much more of economics makes sense.
That's a good point. I know exactly what you're talking about, the diluted soup analogy G. Edward Griffin used. I've not quite seen it play out this way before, the correction is gonna be nasty.
That's a good point. I know exactly what you're talking about, the diluted soup analogy G. Edward Griffin used. I've not quite seen it play out this way before, the correction is gonna be nasty.
Spot on.
Spot on.
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