Gold is honest money for the simple reason that "Governments" can not recreate it or reproduce it in any way, shape or form. Saying this, now how would the governments do without their printing machines, when they are short they just reprint more money causing our dollar to shrink even more and losing its face value.
So it is safe to say that inflation is a theft stealing money from one group so that another group can benefit from it. If we think back about inflation the only currency to create this was paper currency. If we accumulate an increase of Gold, it is much more different then an increase of paper money that is irredeemable. Just some food for though here, best possible example l can share that makes sense to investing in gold.
Paper money is wealth without a doubt but when things go wrong, as it did not so long ago with all the Major Banks, Financial Institutions, and many Major Brokerage Firms, declared and filed for Chapter 11 protection. All the major financial advisers did not see the paper wealth shifting at a pace that had lightning speed. They "all" had an idea something big was going to happen, with all the subprime financing that was on paper currency. We created this problem for the simple fact called "Greed," how many families got hurt over this mess, lost all they had and more.
Hey, l worked the industry, understood that subprime would come back and haunt you for years as the investors and as the client. We use bandages more often than we should, providing lousy, greedy advise is what happened. We are still in a dark mess over all that has occurred in the last 3 to 4 years. How did the government bail these great firms out of chapter 11? They had a very special friend; your wish is my command the printing machine. What many governments around the world did and still are doing it, they have stock options on ink and paper by the way.
So now you're starting to see why the economy worldwide is in the dire straits it is currently in at the moment, without any real solution that will work, the abuse of the paper currency. Paper currency just has no meaning or even fair value; it is like trying to pass a fake $100.00 bill, that is worthless. What governments having been doing applying a bandage on top of another bandage when the system needs major surgery.
The sad part will all suffer without any real fault of our own; we have a savings account we have investments, but somehow they do not have the same value it had five years ago. Why, pretty simple we created the shifting of wealth through greed, the more we had, the more we wanted, chasing a bad dream. The results are, it is an absolute nightmare, what we have done. The question is now what have you done to get back your wealth, that has depreciated and made you very depressed, l know that l am also.
All the Best,
Joseph F. Botelho One Gram at a Time
"Pay Yourself First Because the #Economy that Matters Most... is the One in Your Own #Home" https://t.co/wo7XWWjaFZ pic.twitter.com/VSVAtkJ6El— Joseph Botelho (@jfbmarketing) January 19, 2016