Gold has dropped $500 dollars over the past number of months. It's not going to make anyone rich. Yes, it will "never be worth $0 - but you can can say the same thing about any commodity.
Remember when people used to clamor about how the US Dollar will drop to the level of toilet paper? Have you looked at it recently? The US Dollar Index is over 82 - and is only that low since it is weighted against the currencies of other nations - many of whom are in a worse deflationary situation than we are.
Look for the US Dollar Index to keep rising (into the 90's) - and for gold and silver to keep dropping (even though there will be a few minor rallies due to emotion).
One can either acknowledge deflation, or face it unprepared - not a good idea.
I just want to make a few, quick observations. First, I can't believe anyone could be so ugly to another as this: They are only as worthless as the result of your upcoming labor. :-) That's just downright nasty! lol
Ben is an idiot.
And you know this how??? :)
We agree on quite a lot. I think we only completely disagree on "Fiat Currency." Frankly, IMO, it IS evil. Its only redeeming quality is its utility, of which today, there are currencies (i.e., crypto-currencies) that offer even greater utility while having similar qualities of gold in relation to manipulation.
The important facet of "money" isn't that it be gold and/or silver. It's that "money" should only be created through labor that has been completed - not created through the promise of future labor.
I believe we agree here. Almost anything else, besides that which is created out thin air (i.e., fiat) can meet those needs, and ARE created through labor or discovery. Almost anything else is a better vessel for containing/preserving value, be that an actual person's labor, or in exchange for something else of value. I'm not against the idea of labor as a measure of value. Actually, I would consider it as a basic element in determining value. I'm not against debt, if secured by something of value, or threat of bodily injury. lol
I certainly acknowledge deflation. Been expecting it for sometime now as a major indication of serious economic problems just below the horizon, and headed out way. That said, I also look for continued QE, forced upon us by an out of control government. What we don't know is how TPTB will react, or handle this. Like you, I think war is a possibility.
Where I disagree with you - maybe - is holding gold through ups and downs. As someone gone Galt, I really don't own it for trading purposes. I have it for insurance - likewise food, protection, tools, and implements of production of necessities.
There are better means of exchange besides fiat. Means of exchange much less able to be manipulated by a few powerful who like most all humans, are unable to resist the temptations to cheat, or to take advantage of those blind to their machinations. Heck, they're even open about it, as the king of fiat, Mayer Amschel Rothschild infamously proclaimed, "Give me control of a nation's money and I care not who makes the laws."
Biblical Scripture even makes a distinction between "money" and "gold". The great danger in "fiat money", as we're seeing, is the ease at which it can be manipulated by a few, and by that virtue the manipulation or control of the many... currency proclaimed, "