In 1980 the price of an oz of silver was about $49 , today it sits at around $25.
In 1980 $1 is worth about $4 equivalent now.
In 1980 if you spent all your money on silver - it wouldn’t have “frozen” your money in time , you would have suffered twice as much from inflation.
The reason is because as you astutely put it - you need to trade that silver back into the $ to buy the bread.
You not only get HALF the $ you paid for the silver. The $ itself has ALSO lost its buying power.
In that bread scenario here is how that plays out.
In 1980 a loaf of bread was $1. You bought silver at $50 for an oz.
Now, you sell that oz of silver today and get $25. Bread costs $4. You can buy 6 loaves. In 1980 you could have had 50. OR if you just kept the $50 in 1980 and bought nothing, you could still buy 12.5 loaves today. Better off freezing the fucking bread than “freezing your money with PM”
PMs are a hedge against inflation typically , sure , but the opportunity cost of -not- considering other asset classes with proven yields is huge.
You are an absolute Mong.
In 1980 the price of an oz of silver was about $49 , today it sits at around $25.
In 1980 $1 is worth about $4 equivalent now.
In 1980 if you spent all your money on silver - it wouldn’t have “frozen” your money in time , you would have suffered twice as much from inflation.
The reason is because as you astutely put it - you need to trade that silver back into the $ to buy the bread.
You not only get HALF the $ you paid for the silver. The $ itself has ALSO lost its buying power.
In that bread scenario here is how that plays out.
In 1980 a loaf of bread was $1. You bought silver at $50 for an oz.
Now, you sell that oz of silver today and get $25. Bread costs $4. You can but 6 loaves. In 1980 you could have had 50. Better off freezing the fucking bread than “freezing your money with PM”
PMs are a hedge against inflation typically , sure , but the opportunity cost of -not- considering other asset classes with proven yields is huge.
You are an absolute Mong.
In 1980 the price of an oz of silver was about $49 , today it sits at around $25.
In 1980 $1 is worth about $4 equivalent now.
In 1980 if you spent all your money on silver - it wouldn’t have “frozen” your money in time , you would have suffered twice as much from inflation.
PMs are a hedge against inflation typically , sure , but the opportunity cost of -not- considering other asset classes with proven yields is huge.
You are an absolute Mong.