# OK, So, What About Investing in Gold **URL:** \ **Category:** Great Debates\ **Created:** [May 22, 2009, 4:03pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302 "2009-05-22T16:03:45Z")\ **Posts on this page:** 11\ **Page:** 3
**Author:** ![Little\_Nemo](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/little_nemo/32/3120_2.png) [@Little\_Nemo](https://boards.straightdope.com/u/Little_Nemo)\ **Post date:** [May 24, 2009, 12:33pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/41 "2009-05-24T12:33:07Z")
Gold isn’t really an investment. You buy a pound of gold and hang on to it for ten years, all you have is the same pound of gold you started with. It’s not like it was breeding little gold nuggets. The only way gold increases in value is relative. The value of your gold increases if the value of other things decrease. So gold’s a good investment if you think the general economy is going to decline. Otherwise, stick with the stock market. ---
**Author:** ![fruitbat](https://avatars.discourse-cdn.com/v4/letter/f/58f4c7/32.png) [@fruitbat](https://boards.straightdope.com/u/fruitbat)\ **Post date:** [May 24, 2009, 12:52pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/42 "2009-05-24T12:52:03Z")
> [@Little\_Nemo](#): > > Gold isn’t really an investment. You buy a pound of gold and hang on to it for ten years, all you have is the same pound of gold you started with. It’s not like it was breeding little gold nuggets. > > The only way gold increases in value is relative. The value of your gold increases if the value of other things decrease. So gold’s a good investment if you think the general economy is going to decline. Otherwise, stick with the stock market. Even if you think the economy in general is going to decline you should think twice. In times of economic stress there are great masses of people who believe that ‘this time it’s different’. They are almost always wrong. A diversified plan that hold different assets in proportions you are comfortable with is the only reasonable solution. Your gut or instinct or whatever is unlikely to do well for you over time. ---
**Author:** ![Early\_Out](https://avatars.discourse-cdn.com/v4/letter/e/6f9a4e/32.png) [@Early\_Out](https://boards.straightdope.com/u/Early_Out)\ **Post date:** [May 24, 2009, 1:13pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/43 "2009-05-24T13:13:23Z")
> [@Little\_Nemo](#): > > Gold isn’t really an investment. You buy a pound of gold and hang on to it for ten years, all you have is the same pound of gold you started with. It’s not like it was breeding little gold nuggets. But you could say exactly the same thing about an acre of land, or a Monet. An “investment” isn’t only something that pays interest or dividends. ---
**Author:** ![elucidator](https://avatars.discourse-cdn.com/v4/letter/e/8edcca/32.png) [@elucidator](https://boards.straightdope.com/u/elucidator)\ **Post date:** [May 24, 2009, 1:27pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/44 "2009-05-24T13:27:40Z")
But Scripture instructs us that a love of Monet is the root of all evil. ---
**Author:** ![E-Sabbath](https://avatars.discourse-cdn.com/v4/letter/e/e19adc/32.png) [@E-Sabbath](https://boards.straightdope.com/u/E-Sabbath)\ **Post date:** [May 24, 2009, 1:32pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/45 "2009-05-24T13:32:55Z")
> [@alterego](#): > > The question you should all be asking yourselves (especially if you are as naive about physics, chemistry and alchemy as I am) is whether exponential technological progress will soon produce a hitherto unconsidered method of producing real gold artificially. It’s already happened with diamonds. Asteroid mining, I sez. ---
**Author:** ![Chronos](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/chronos/32/134_2.png) [@Chronos](https://boards.straightdope.com/u/Chronos)\ **Post date:** [May 24, 2009, 7:24pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/46 "2009-05-24T19:24:49Z")
> [@](#): > > But you could say exactly the same thing about an acre of land, or a Monet. An “investment” isn’t only something that pays interest or dividends. Land is useful. You can grow crops on that land of yours, or build a useful building on it. Or, if you don’t feel like doing the work yourself, you can rent it out to someone else who will do those things, and get money out of it that way. A Monet painting isn’t quite as practical, but you can still get value out of it by looking at it and enjoying it, or maybe charging admission for others to see it. Gold, though, just gets you some lumps of metal that are almost as shiney as brass. ---
**Author:** ![Early\_Out](https://avatars.discourse-cdn.com/v4/letter/e/6f9a4e/32.png) [@Early\_Out](https://boards.straightdope.com/u/Early_Out)\ **Post date:** [May 24, 2009, 7:31pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/47 "2009-05-24T19:31:50Z")
Don’t misunderstand - I’m not saying that gold is a good investment. Frankly, I think it’s a lousy investment. I’m just saying that the definition of “investment” is not simple. It’s anything that might increase in value over time. A “good” investment would be something with a decent track record. A “bad” investment would be something with a lousy track record, or no track record at all. Flash to the Monty Python sketch, _The Idiot in Society_: Bank manager: “He takes bits of string, wood, dead budgerigars, sparrows, anything, but it does make the cashier’s job very difficult; but of course they’re fools to themselves because the rate of interest over ten years on a piece of moss or a dead vole is almost negligible.” ---
**Author:** ![Tenebras](https://avatars.discourse-cdn.com/v4/letter/t/977dab/32.png) [@Tenebras](https://boards.straightdope.com/u/Tenebras)\ **Post date:** [May 24, 2009, 8:13pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/48 "2009-05-24T20:13:16Z")
> [@Chronos](#): > > Gold, though, just gets you some lumps of metal that are almost as shiney as brass. But it’s inspired some good songs… _Gold gold gold gold gold gold gold gold gold!_ ---
**Author:** ![IAmNotSpartacus](https://avatars.discourse-cdn.com/v4/letter/i/cc9497/32.png) [@IAmNotSpartacus](https://boards.straightdope.com/u/IAmNotSpartacus)\ **Post date:** [May 24, 2009, 8:21pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/49 "2009-05-24T20:21:48Z")
> [@Chronos](#): > > Gold, though, just gets you some lumps of metal that are almost as shiney as brass. So all these companies that are making rings and jewelry, what’s that all about? ---
**Author:** ![The\_Tao\_s\_Revenge](https://avatars.discourse-cdn.com/v4/letter/t/73ab20/32.png) [@The\_Tao\_s\_Revenge](https://boards.straightdope.com/u/The_Tao_s_Revenge)\ **Post date:** [May 24, 2009, 8:38pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/50 "2009-05-24T20:38:29Z")
> [@Tenebras](#): > > _Gold gold gold gold gold gold gold gold gold!_ ITT: the dwarves of Diskworld. ---
**Author:** ![flonks](https://avatars.discourse-cdn.com/v4/letter/f/3ab097/32.png) [@flonks](https://boards.straightdope.com/u/flonks)\ **Post date:** [May 24, 2009, 9:00pm UTC](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302/51 "2009-05-24T21:00:05Z")
> [@Furious\_Marmot](#): > > What kind of upheaval would be necessary to make the US dollar completely worthless? According to Peter Schiff and others, the twin deficits are actually enough. [Previous page](https://boards.straightdope.com/t/ok-so-what-about-investing-in-gold/497302.md?page=2)