I agree. Gold has properties that make it a good conductor and some other industrial applications. It also makes nice looking jewelry that doesn’t corrode. Platinum does the same.
However, neither metal, in and of itself, has any distinguishing property to make it more valuable than any other item of similar characteristics. Its value is based solely on people’s desire to posses it.
Money is a medium of exchange that represents work. Whether its wampum, seashells, gold, or US dollars, the only value it has is that people agree to use it in exchange for work.
While the US dollar and economy are under very serious pressures, there is no reason to chicken little the situation and demand gold be the silver bullet </very bad pun>.
Remain calm, demand a significant decrease in government spending, and keep working. Spend and save prudently.
...and be the bag holder like a good little sheeple.
The government is not working in your best interests. The Fed isn't working in your best interests. The banks are not working in your best interests. You are economic cannon fodder.
The only person who is looking out for your best interests is yourself. Prepare accordingly.
“However, neither metal, in and of itself, has any distinguishing property to make it more valuable than any other item of similar characteristics. Its value is based solely on people’s desire to posses it.”
Funny. It has been a preservation of value for thousands of years. Maybe there is a reason. What metal, paper, item would you think would be better?