Gold holds its buying power, its value, better than paper currency.
For example, just to give a little history lesson: in 1913, when the Federal Reserve Banking System was authorized by Congress, pushed through in the dead of night, Christmas Eve, when everyone wanted to go home, the Federal Reserve Bank Note was created to become the national legal tender, the new currency of the realm, ultimately replacing the use of gold coin by act of Congress during the Great Depression.
In 1913, some costs of goods were:
|Item||Average price (dollars)|
|January 1913||January 2013||% Increase|
|Bread||$ 0.056||$ 1.422||2439%|
|Fresh milk, per gallon(1)||$0.089/quart (or $0.356/gallon)||$3.526||890%|
|Eggs, per dozen||$0.373||$1.933||418%|
|Note: All average prices are per pound, unless otherwise noted. Source: U.S. Bureau of Labor Statistics.|
It is important also to note that this is not a discussion regarding whether Americans are worse or better off now. Considering that the average household, single-earner, income in 1913 was between $700-$800/year and in 2012 the average household income is reported to be $32,880, an increase in income of between 4100% to 4697%. This is evidence of growth of the economy and some increases in lifestyle.
Again, the growth of economy is not the focus of this discussion. Here we are discovering what retains its purchasing power best, paper currency or gold. Let's take a look.
The Federal Reserve was founded In 1913. One of its main purposes was to protect the value of the dollar. Since 1913 The Federal Reserve dollar note has lost about 96% of its value. What does that mean to you? If you had received one million of those Federal Reserve $1 Notes from opening day in 1913 and saved them, today those notes would have a purchasing power of only $40,000.00. This means that those million notes today will buy what only $40,000 would have purchased in 1913. It would have been far more profitable to have spent the notes when they were new.
If, in 1913, you had traded those million $1 notes for $10 gold Eagles and stored them in a vault, today its pure gold purchasing power would be $62,790,000. Antique value of the coins could exceed $5 Billion dollars. How does that compare with $40,000 in paper currency?
If I could show you a way to acquire gold and make 6 figures doing it, would you be interested?
If you are call Cameron (801) 788-4228