Reply #37: I don't really understand the value in gold.

[cbdo2007]

I admit I'm pretty stupid and highly dense. I've researched the Stock Market a lot lately and know quite a bit about it, but the "gold" thing is perplexing to me as an investment, especially as something people are falling back on if they're worred about the economy vanishing.

It seems like if the economy really did collapse, the value of gold would drop out as well because not all that many people own gold, so it's not going to become the new currency if 99% of the population has none. Then in order to disperse it, wouldn't the value greatly drop to pay for the small items needed restart the economy?

I don't know but it seems like the more the economy improves and as we move past the recession, it seems like the gold price is going to go way back down in another decade to bottom out around $600/oz.