{"id":14731,"date":"2013-09-10T15:06:35","date_gmt":"2013-09-10T22:06:35","guid":{"rendered":"http:\/\/www.itmtrading.com\/?p=14731"},"modified":"2013-09-10T15:06:35","modified_gmt":"2013-09-10T22:06:35","slug":"wages-inflation-and-price-comparisons-in-the-u-s-pre-and-post-gold-standard","status":"publish","type":"post","link":"https:\/\/www.itmtrading.com\/blog\/wages-inflation-and-price-comparisons-in-the-u-s-pre-and-post-gold-standard\/","title":{"rendered":"Wages, Inflation, and Price Comparisons in the U.S. Pre and Post Gold Standard"},"content":{"rendered":"

Remember the old stories about a nickel candy bar and ten cent gasoline? My, how far we have come, and the trip has only cost us $17 Trillion.<\/p>\n

When referring to the chart below, ask yourself this question: “How can I maintain my purchasing power when these long-term trends show that the Dollar loses a substantial amount of purchasing power over time?” To discuss this in issue in-depth and develop a strategy that can work for you, call your ITM Trading Representative at 1.888.OWN.GOLD.<\/p>\n

\"Inflation<\/a>

Inflation Statistics From 1913 to 2013, Pre and Post Gold Standard<\/p><\/div>\n

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As the old Dan Akroyd Saturday Night Live skit said, “Think of inflation as your friend.\u00c2\u00a0 Wouldn’t you like to own a $4,000 suit, and smoke a $75 cigar, drive a $600,000 car? I know I<\/i> would! ”<\/p>\n

Let’s take Saturday Night Live philosophy a step further. If we were to extrapolate this data forward 42 years, lets see what we get:<\/p>\n

The average wage earner will make $132,587.00, he or she will drive a $244,390.00 car and live in a $2.5 Million Dollar house, and will buy a cart of groceries that costs $1133.00. These numbers are simply astounding, and they certainly don’t seem feasible. By this point we will need $1000 and $10,000 bills to carry in our wallets. Your daily ATM withdrawal limit will probably be $5000. The cost of a tank of gas will probably be around $200.00, and I don’t even want to think about what the car insurance will cost. Expect taxes to be higher as well, all of them.<\/p>\n

If you would like to save for this extrapolated financial catastrophe, may we suggest gold and silver. Using the same data, we can extrapolate gold to $53,799.00 an ounce, and silver at $388.00 an ounce. At this juncture, trying to call the future value of rare U.S. gold coins is an exercise in market fantasy. Currently, it is not uncommon at all for a rare coin to trade at 2-4 times the spot value of gold bullion. If this relationship holds true over time then $100,000 – $200,000 Rare U.S. Mint Double Eagles may be the norm in the rare coin market.<\/p>\n

While these forward numbers are based on historical data and may or may not be accurate 40+ years from now, one thing we do know for certain is that Gold and Silver are a store of value and they maintain their purchasing power over time and have done so for thousands of years.<\/p>\n

All portfolios should have a very certain amount of diversification, and portfolios that are 100% in Dollar denominated assets truly have no diversification at all against Dollar collapse. Perhaps 10% – 20% of your assets set aside in rare gold and silver will pay-off like a 40 to 1 long-shot at the Kentucky Derby, but on thing is for certain, staying 100% invested in the Dollar is tantamount to betting on the old grey mare, she just ain’t what she used to be.<\/p>\n

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Remember the old stories about a nickel candy bar and ten cent gasoline? My, how far we have come, and the […]<\/p>\n","protected":false},"author":9,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1207],"tags":[73,81,83],"class_list":["post-14731","post","type-post","status-publish","format-standard","hentry","category-blog","tag-gold-values","tag-hyperinflation","tag-inflation"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/posts\/14731","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/comments?post=14731"}],"version-history":[{"count":6,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/posts\/14731\/revisions"}],"predecessor-version":[{"id":14739,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/posts\/14731\/revisions\/14739"}],"wp:attachment":[{"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/media?parent=14731"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/categories?post=14731"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/tags?post=14731"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}