|
I read something recently that said there had been two or three other occasions in the last 100 years where the amount of US cash in circulation had greatly exceeded the amount (in dollars) of gold held in the US. In these cases, eventually the price of gold was driven up so that the value of the gold matched the value of the paper money.
We are long over due for one of those corrections now and with the tremendous amount of cash that has been printed, gold would have to rise to over $15,000 per ounce for the value of the gold to match the value of all of the cash.
So maybe $1000 per ounce gold is still a bargain?
|
