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40 years what won gold silver, mutuals --check my math
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John Burns
Posted 12/28/2025 07:15 (#11486615 - in reply to #11486016)
Subject: ounce of gold, acre of land



Pittsburg, Kansas

Numismatic valure is a whole nuther ball of wax. I have zero knowledge about coin collecting.

My comments are about the commodity value. Coin premiums (the cost of minting) can cause the metal to be above or below its intrinsic metal value.

The farm I live on was bought at 20 dollars an acre in 1870. One double eagle coin (ounce of gold) or one twenty dollar bill per acre. 160 acres.

Today land in my area is selling somewhere around 5,000 dollars an acre, give or take. Pretty close to an ounce of gold, nearly 200 years later.

Has gold raised in price all that much? No, I would say it depreciated some. Takes a little more than an ounce to buy the acre of land. It is just that the US dollar has lost, closing in on 99%, of its purchasing power value. Gold didn't go up. The paper currency went downd in purchasing power. The power of fiat money inflation. The power of the printing press or today digital bank created checking account money.

I'm probably wrong. 99 out of 100 people will disagree with me. Carry on. I am probably wrong.



Edited by John Burns 12/28/2025 07:23
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