But even a simplistic analysis indicates that while in the 1980s gold was a hedge to runaway inflation, in the current deflationary regime, it is a hedge to central planner fiat money printing as a response to runaway deflation.
In other words this time around it is a hedge to the trillions in central bank reserves currently being printed (at last check approaching 30% of world GDP).
For those who are only now contemplating the topic of gold for the first time, the following brief summary from futuremoneytrends.com captures the salient points.
Hat tip to Zero Hedge for bringing this to us.
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