Gold In Italy

This story is interesting.  In Italy, economic conditions are very bad.  People are selling gold jewelry.

Gold is a store of value.  No matter what the economic conditions, gold preserves its purchasing power.

Most of these people are selling gold jewelry and family heirlooms.  They don’t have large hoards of gold.

If you do have a large hoard of physical gold, you are at risk of being robbed.  If you use the State financial system, you also risk being robbed.  There is no safe investment.

At every opportunity, State comedians spread propaganda against gold.  When times get tough, gold reserves help people survive.

7 Responses to Gold In Italy

  1. I think that the only relatively safe investment is a political power because no matter what happens it is always possible to turn things one’s way. Look at American political families that are entrenched in the top positions for generations – there is almost no chance that they will ever lose as long as US is in existence. Of course political power is not bulletproof – there is always a chance of fall from power due to conspiracies, coups and revolts.But in any case – political power is probably the safest investment that one may be capable of obtaining.

    • Some businessmen made a study. They concluded that lobbying is the best investment, with an ROI of 1000%-10000% or more. However, that is only accessible once you’re already a multimillionaire.

      It also is valuable to have the political connections to get appointed CEO. A CEO lines his pockets at the expense of shareholders.

      I don’t own any politicians. They’re out of my price range. The next best investment is gold and silver, taking physical delivery and hiding it someplace safe.

      With the modern State, insiders pass power on to their children more reliably than at any point in history. However, when the State collapses, that will be worthless.

      Insiders are getting too greedy. As they increase the rate of theft, they help accelerate the collapse. On the other hand, if the scam is ending soon, why not steal as much as you can in the meantime?

  2. Thank you, FSK. I agree with you that system may not be able to sustain too many greedy insiders, however look at what happened in the former USSR – the system collapsed but the majority of the people who were in power during communist times remained in power in post-communist Russia. I am not saying that collapse cannot occur – there may different scenarios.

    Although gold may be a good investment – it worthless in itself – I think that if the US magically switched to gold standard the power to create money will be moved from Federal Reserve to gold miners. Effectively money supply will simply be controlled by different people. Yes, it is slightly more difficult to create gold than to print the money, however it is not as difficult as one might think. If there was a real necessity to mine a lot of gold then I am sure a technology that enable to do that cost effectively will be there.

    • Now you’re pro-State trolling. Gold has real intrinsic value. It has industrial uses, in computer chips. However, the primary demand for gold is monetary/investment.

      Gold/silver is a better medium of exchange than paper, due to the *MUCH* increased difficulty of counterfeiting.

      In a really free market, gold and silver and copper would be used as money. If there was a real shortage of gold, people would switch to other metals.

      If I had a free choice between metal money and paper, I’d pick metal every time. With paper, you’re robbed by inflation. Metal preserves its purchasing power.

      There is massive State propaganda for “Gold and silver do not make good money. The free market discredited the gold standard.” Real money was not ruined by the free market. It was ruined by the State, by printing more metal-redeemable paper than the metal they had.

      If the US government did return to a gold standard, they would do it wrong. They would fix the exchange rate between paper and gold, leading to the same problems as occurred in 1933 and 1971, due to inflation of paper. The only way to have a paper and gold monetary system in parallel is with a floating exchange rate.

      Depending on the collapse and the new system, the same insiders may not keep their power. If it’s a change to a really free market, insiders’ power would be limited to resources they already stole. They wouldn’t be able to use a really free market to steal more. If it’s a change to another corrupt system, like in the USSR, insiders may keep their power.

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