Evan!
Well-Known Member
Oh, what's that? When you tie gas prices to a stable currency and not fiat paper money that the treasury can print at will, then, hey, it's not crazy after all. :cross: What's crazy is the dollar crash.
Think Gas Prices are Crazy? Check This Out...
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Oh, what's that? When you tie gas prices to a stable currency and not fiat paper money that the treasury can print at will, then, hey, it's not crazy after all. :cross: What's crazy is the dollar crash.
Loweface
Well-Known Member
Impressive... Where did you find that?
Ryan_PA
Well-Known Member
I would assume goldmoney.com.
OP
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Evan!
Well-Known Member
Oh I see how it is...you were way to busy last night finding useless ish to post on the internet today instead of accepting my GTA4 Multiplayer invite....gotcha
whatever, *****. When I was on there playing MP last night, it said you was offline. I played one match thru, then got halfway through another one and everyone but me and another guy quit, and let me tell you, turf wars with 2 people teh suxxorz. Plus I'd been up since 5am and couldn't stay awake any longer.
Some day we'll actually end up on MP at the same time. Someday.
ohiobrewtus
Well-Known Member
That chart is just sad. I knew the dollar was weak, but damn...
Tenchiro
Well-Known Member
I just read a good rundown of many of the reasons why Oil & Gas prices are so high currently.
http://bigpicture.typepad.com/comments/2008/05/how-to-drive-oi.html
http://bigpicture.typepad.com/comments/2008/05/how-to-drive-oi.html
Dr_Deathweed
Well-Known Member
Hum, that chart is misleading. Sure the overall point mat have some truth to it, but think, you are dealing with grams of gold vs. the dollar. I bet if you were to zoom in and use a smaller scale on the gold part of that chart in the last 20 years or so, I bet there would still be a huge increase.
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Evan!
Well-Known Member
What do you mean zoom in on he last 20 years? Look at 1985-2005. Regardless of how much you zoom in, it still looks pretty flat to me, especially compare to the dollar.
And yes, you are dealing with gold vs the dollar; that's precisely the point. It's the weakness of the dollar. Inflation. Bernanke printing money trying bail out stupid lenders.
zoebisch01
Well-Known Member
I have to ask the question at this point in time...."what the *&$% is going on here folks?". This begs the question, how long can we continue like this?
Glibbidy
Well-Known Member
the chinese own us.
Dr_Deathweed
Well-Known Member
Look at the y-axis, the scale is in the thousands, if you were to "zoom in" or look at just the gold value of crude oil (y-axis scaled down to the 1's or 10's range) especially focusing on the last 20 years, I bet you would still see a steep upward trend. Not near as fantastic as the trend the dollar has shown, but if you were to "zoom out" enough (increase the y-axis scale) even the dollar would look pretty flat.....
Just saying the chart is misleading because they are trying to compare two items whos fluctuations are on completely different scales.....
EdWort
Well-Known Member
you also have to realize that both gold and oil are scarce comodities that recently have been in high demand in developing countries, so they would map almost perfectly and stay relatively close. The gold to dollar exchange is at an all time high right now, just the way oil is, it is just not everyone talks about gold as it is a luxury good, not something required to keep people working, warm, etc.
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Evan!
Well-Known Member
I understand what yer saying, chief, but again, the point that's being made here is that when a fiat currency is juxtaposed on a more stable currency (and gold is historically one of the most stable), and then extrapolated for a particular good or service, you can learn a lot about what's really going on. Of course I'd like to see a more zoomed-in view for the last 4 or 5 years---I'm sure that there would be SOME rise in the price of crude even per gold standard---but regardless of whether that's the case, you have no choice but to acknowledge the reality of the collapse of the USD over the past few years, and also acknowledge that it has mysteriously coincided (somewhat) with the rise in crude oil price. I mean, there's no shortage in supply, which is normally what would drive a price increase. There's no lines at the pumps, I could full 10 tankers by myself if I had the money and nobody would say word one about it. At the same time, prices for gas have been high in other parts of the world (those not on the USD) for a long while now, and our "catching up" to them seems pretty obvious in the context of the falling dollar.
Back to your point, though: just because a chart expresses a trend at a certain level of detail doesn't make it misleading. Yes, like I said, I'd like to see a zoomed-in view of the past 5 years, but that doesn't mean it's misleading. And yes, the two currencies are on different scales of fluctuation, but the fact that the graph goes back through the century gives you enough context to realize what those scales of fluctuation are and how most of the last 50 years compares to the last 10 years. If the "different scales of fluctuation" were really misleading then we'd see spikes, like at the end of that graph, all over the last 50 years. We don't. yes, you see more fluctuation in the USD than the gold standard, but you have enough of a timeline as it relates to our history with heavy automobile usage to get reliable context!
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Evan!
Well-Known Member
On that chart, gold is not expressed as a commodity by rather a currency. Obviously, if you could just wave a magic wand and make more of a commodity OR a currency appear, it would be devalued. Hence the problem with the treasury dept.
Kevin Dean
Well-Known Member
Evan! said:
I'll assume that was sarcasm, it seems the two are directly linked.
Evan! said:
Actually, there is a shortage, though "average consumers" don't know. The socialists want to slam "Big Oil" for turning record profits but fail to recognize that the reason they profit is that as crude oil becomes scarcer, the stockpiles the oil companies have become more valuable (there's certainly no shortage of demand!). The consumers tend not to see a shortage because the amount of refined oil is bottlenecked by refining capacity (which is stifled by the thuggery) but for the refineries there IS a shortage. OPEC is limiting output and the thuggery limits the amount we can import or drill for. Increased demand from China and India are driving up the price of the limited supply OPEC pushes out which in turn drives up how much refineries are buying at.
The shortage is, for now, entirely artficial no matter how you slice it, but there is indeed a shortage cause by tampering in the market.
Evan! said:
Don't givem ideas. The goons in the United Kingdom are proposing carbon offset rationing cards. I'm sure there are some power hungry folks somewhere on this side of the pond typing out the mirrored version...
Evan! said:
Difference is really only in the premium.
Commodity levels of gold tend to be difficult to handle as currency.Evan! said:
It's more the supply in use at any given time than the existance. Gold and silver (my personal favorite) supplies are increasing, but demand is too. That's the primary reason that PMs make excellent currencies because they have value aside from being currencies. FRNs just suck, not much demand for recycled FRNs... I bet ounce for ounce used Charmin is cheaper.
zoebisch01
Well-Known Member
I got me one of those thar Kung Pao pepper plants today...I think that's what the guy said. Yeah that's it. So I can make me some Kung Pows at home
HILARIOUS! Gold spraypaint...
Glibbidy
Well-Known Member
I got me one of those thar Kung Pao pepper plants today...I think that's what the guy said. Yeah that's it. So I can make me some Kung Pows at home
What kind of peppers do they put in that dish?
Good Kung Pao is hard to finds here in VT.
Alamo_Beer
Well-Known Member
Where do I get a gold nut? Oh and I REALLLLLLLLLLY want a gold can opener...poppit.....thingy
Where do I get a gold nut? Oh and I REALLLLLLLLLLY want a gold can opener...poppit.....thingy
he used gold spraypaint to paint a bunch of worthless stuff gold and sent it in, they sent him a dollar.
