Economics

Thursday Fun Link—Just Like Friday Fun Link, On Thursday: How Much Goldbuggery Is Going On Out There?

|

Because I follow monetary policy and live within a five-minute walking distance of seven pawn shops, I believe I hear more arguments for making gold a key part of my investment portfolio than do most people. But if you get enough false positives, doesn't that make it a national trend? When you search for "Godsend 1980" on the YouTubes, you get this February clip of expert Shakaama, a.k.a. Kevin Cardinalli (spelling NA), explaining the collapse of the dollar and the meteoric rise of gold and silver (which have never gone to zero; I repeat: they have never gone to zero). In this clip, the host recommends a short position on gold, and also gets the recession start-date wrong:

Everywhere you go, people want gold and silver

Beware: The sound-picture lag is so off that the whole thing looks dubbed; it's eight and a half minutes long, and the hunched-over-talking-head style needs to end…in 2004. Nor is Shakaama a reliable narrator: Dig his full channel, which includes a surreal and jingoistic defense of the tire tariff. Like all the best hard currency believers, Shakaama lives in Las Vegas, the U.S. (formerly world) capital of Monopoly money.

I cite Shakaama only because I've had the same experience many times now. I say to myself: "Self, there's a bunch of normal people. They're going to be talking about Lady Gaga's ass or how cute their kids are. Maybe they'll be exchanging recipes or favorite inspirational quotes." And instead they're all het up about the collapse of the dollar and precious metals.

Advertisement

NEXT: Now Playing at Reason.tv: Tom G. Palmer on Libertarian Theory, History, and Practice

Editor's Note: We invite comments and request that they be civil and on-topic. We do not moderate or assume any responsibility for comments, which are owned by the readers who post them. Comments do not represent the views of Reason.com or Reason Foundation. We reserve the right to delete any comment for any reason at any time. Report abuses.

  1. If you can’t trust G. Gordon Liddy, then who CAN you trust?

    http://www.youtube.com/watch?v=sZ9rQgWousU

    1. When I read (which have never gone to zero; I repeat: they have never gone to zero) I ‘heard’ it as H. Gordon Liddy’ voice!

  2. G. Gordon (and I even used preview!)

  3. I understand that a certain unnamed commenter is replacing the body of his/her Rolls-Royce Silver Ghost with gold.

    1. I saw that episode of Speed Racer, but it was a big giant truck.

      1. You well know that I’m talking about Goldfinger. He’s the man, the man with the Midas touch.

        1. A spider’s touch.

  4. Whoa, I think you found Lady Gaga’s good side.

  5. Goldbuggery — the scourge of the British Navy!

  6. I don’t know who Lady Gaga is, but that is one tasty ass.
    I’ve got my horde of silver and gold buried where you’ll never find it.

    Oh and if you’re in the market, I recommend APMEX. If there’s cheaper metal to be had I ain’t found it. And it’s a HELL of a lot less expensive than the highway robbery prices at Goldline.
    YO Fuck Glen Beck

  7. This little tale is over the top experience when Argentina went tits up. What’s interesting is about a third of the way through he discusses gold and how cheap gold jewlery was a better store of value and exchange than coins, since people were willing and able to use it. [otherwise it is just a bunch of survivalist stuff – NTTIAWWT]

    http://james4america.wordpress…..argentina/

  8. Beware the gold bubble.

  9. “Beware the gold bubble.”

    No shit.

  10. “Self, there’s a bunch of normal people.”

    That’s where you first went wrong.

  11. This is nothing…when there are three new cable channels that have nothing but shows about gold and silver bullion and where to store the coins and bars and how to pimp out your hiding places then we will be at the same point we were in the housing market last year. Until then, or until we get a bunch of people in power who seriosuly plan on cuting the size of government then I’m gonna keep buying silver every month like I have the past 5 years.

    1. I dunno, we didn’t see that kind of thing with oil last year, and some folks really took it in the shorts when that bubble popped.

      1. Oil futures were so 2008. Remember all those people that pre-purchased gas for their new cars? Locked in their price in a contract? Ooooh, that never gets old.

    2. I can’t wait for TLC’s new show, Flip That Gold.

  12. I wonder how many people are buying gold on credit.

  13. Well, at the coin shop that I frequent it’s cash only for bullion. Perhaps there are those taking cash advances, buying metal, etc. Talk about some high risk moves though.

    1. I suppose people buy gold jewelry on credit.

      1. Ah…heh, heh. Right.

  14. Just for my fellow reasonoids: PGMs is where it’s at. Buy low, sell high.

    1. Buy low, sell high.

      And you say this works every time? Interesting…

  15. I wouldnt own gold as an investment. I invest for the long term and gold cant beat inflation.

    Having gold as an inflation hedge, on the other hand….

    1. Precisely what I have done, Rob. The gold shares I own are a hedge only.

  16. Buy stuff. Cars, TVs, whores, drugs, golf clubs. Other stuff. Whatever stuff you want. Stuff has value, regardless of inflation. Just Stuff It!

  17. I’m heavily invested in brass & lead.

  18. I’ve always wondered, when you by gold, do you get an actual chunk of the element or do you get a piece of paper that says you own so many OZ’s. of AU? I’ve alwway thought of the purpose of gold was to have some sort of tangaible wealth when the big economic collapse happens. If that happens, a piece of paper saying 5 oz. of gold stashed away in a cave in Kansas City is yours, doesn’t do you much good.

    1. I wonder the same thing. In a private-equity scam case I was working on a while back, the scammer had gold bars stashed around his home, but I never saw the bars or learned where he bought them.

      He actually got busted for “structuring” bank withdrawals in just-shy-of-$10k increments to avoid SarbOx reporting. They say he was planning to flee the country, and I believe Them, but I still don’t think structuring your withdrawals should be a crime. As Jefferson said, it shows that obeying the law is no protection.

      1. Never tried to purchase a gold bar, but gold bullion coins are a fairly easy purchase at most coin dealers and some jewelers, including conventions and bourses held in most large cities a few times a year. Naturally you pay a small premium for the coin version and as sage noted above you generally need to use cash, which helps cut down on the fraud.

        I look at gold as a store of value for a rainy day rather than an investment/speculation. If you’re into it for investment/speculation, an ETF is probably good enough, but set a sell ceiling and floor for yourself; gold is like a stock that doesn’t pay a dividend, it’s value is mostly transactional.

      2. Damn threaded comments.

    2. Depends how you buy it. During the big Silver runup in the eighties/late seventies, my dad actually purchased a bar of silver. We still have it. Yes, he lost a lot of money.

      1. You can buy 1oz. American Eagle coins or South African Krugerrands and store them yourself in a safe deposit box.

    3. I have a silver bar… and yes, it’s the bar itself. You can also buy bullion and have the people hold it for you in whatever vault they have, but that seems like it defeats the purpose…

  19. And I wonder if gold can buy you a proofreader?

  20. Besides stuff, I think we’re getting not to far from it being a good idea to buy a place to keep all that stuff. The market for places has about bottomed out, I think.

    Actually, maybe you should just take over homes that have been abandoned.

  21. So, is saying “goldbuggery” as offensive as “teabaggers?”

  22. Now you just know there’s a porn site dedicated to goldbuggerers.

  23. The gold:silver ratio has been out of whack for a while so I’ve mainly been buying silver in 2009.

    I’ve been wondering when do I sell this stuff. Best I can figure is when there’s a “Flip this House” but for precious metals. They still have a high kook factor right now.

    I’ve succeeded so far in not knowing anything about Lady Gaga but that was an painless introduction.

  24. Comedy of the day:

    http://www.google.com/hostedne…..gD9B6QSRG0

  25. They’re going to be talking about Lady Gaga’s ass

    I am interested in your ideas and wish to subscribe to your newsletter.

  26. There isn’t anything wrong with holding a gold position in commodity or equity. Those holding positions in gold are pretty happy now, if they are selling.

    There are several ways to hold a position in gold from futures to equities based in gold mines to the actual commodity, although taking delivery is rare. At least it was.

  27. This guy is a Tard with the big T in front. I’d trust my cat’s economic advice before his.

  28. I’ve succeeded so far in not knowing anything about Lady Gaga but that was an painless introduction.

    One of our Reason folks here pointed out that she might be a puppet of the Illuminati. Other than that, I’d never heard of her.

    1. Lady Gaga is a dude. Moving on . . .

  29. That’s one nice ass.

  30. Naga, according to Wikipedia, not only is she a woman, she’s bisexual. I like their version much, much, better than yours.

  31. it is great to save your wealth physically
    Thanks for the great reading, we buy gold bullion in a recession. I will pass this on to our ira clients to read

  32. Oh the interwebs and its many trolls.

    Where to begin? First of all everything in the video is accurate. Of course I was looking at data and citing my blog, which I was reading. Everything gathered that day was true.

    Second, I shorted gold that day or the next day, in 2 days on 10 contracts I made… a nice chunk of change. For that week gold fell steadily.

    I felt, and am now sure, that gold prices were being suppressed. But, of course your captive audience of yes men here all like to poke fun.

    Finally, my audience were the investment illiterate.

    I don’t know where you got the notion that I got the dates wrong on the recession. I didn’t mention a date at all in the video about this recession. I discussed Obama’s posturing with the Fed that the recession would have been over last summer, which I was laughing at, and presented the regular time table of an economic recovery.

    Behave.

  33. Throughout the years, the people have been modeling and looking to Inspirational Leaders as a source of inspiration for achieving goals for themselves. Inspirational quotes from great leaders have since become daily brain food for people wanting to create better lives for themselves.

Please to post comments

Comments are closed.