[lbo-talk] 12%, plus

[Mike Ballard]

Marta Russell wrote:
> What about gold investing?  I was told by someone who is trying to  
> get me to buy gold bricks that gold has increased 30% a year for  
> about 6 years now.  He claims inflation is at about 11%.  Is anyone  
> buying gold or have any insights on that one?
> Marta
>   
I bought at four hundred and happily watched it double. Opinion is 
divided as to where it's going to go.

Some say it will continue up because of global currency inflation; 
others say it will go down because it's a commodity.

I'm betting on up.

Joanna
*********************

Money is a commodity.  The diff is that gold is tied to actually existing
socially necessary labour time, so it has some exchange-value outside the
control of a State which can just print more paper in order to solve its
monetary crises....but not too much paper or the currency tanks, like it is
doing in the USA now.  You gotta have that socially necessary labour time in
your GDP to back up the amount of money you're printing.  Zimbabwe for
instance, doesn't have it for the amount Mugabe is having printed.  

My 12 cents,
Mike B)

"Would you have freedom from wage-slavery.." Joe Hill
http://www.shelfari.com/o1516968161

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