Friday, March 11, 2016

Gold Performance In Deflation

During the Great Depression, America’s last period of real deflation, gold did quite well. It doubled in purchasing power. But back then the dollar was pegged to gold. Its price was fixed. And it still bought you twice as much! If we go through another round of deflation as Harry Dent and Mike Maloney think we will, imagine what could happen. Today, the value and price of gold is determined by the market. Gold’s purchasing power could rise dramatically as the price of everything falls around the world.