Trevor wrote:In the long term, I don't see anywhere that's completely safe. Whether we have a deflationary spiral or hyperinflation, gold and silver are in bubbles as well. I've heard claims that gold can't possibly go down in value because of its rarity, but it did just that in the early 1980's.
If we have hyperinflation then the price of gold will never again be below the current pre-hyperinflation price levels. I am sure that in over 100 cases of hyperinflation there is not a single one where the price of gold in the hyperinflating currency ever went below the pre-hyperinflation price once hyperinflation had started. In fact, I would pay you $500 if you could find a single example of this and post it to this thread. For this I will use 80% inflation per year as the cut-off definition of hyperinflation. So your goal is to find an example where after 80+% inflation the price of gold in that currency was lower than before the high inflation started.
You may be thinking, "how do I know that Vince would really pay up after I do lots of research and find an example?". You can see by my user information that this forum is a place I like to hang out (lots of posts over the last 2 years). I would not want the shame of not paying in a place that I like to hang out, even an online place. Really.