Dear All, there has been a lot of nonsense written by so called financial journalists about the price of Gold and Silver continuing to go in a downward spiral. If this is the case, why are the Central banks around the world continuously buying Gold Bullion hand over foot? Even an uneducated financial buffoon from Fox News will understand that there’s been to much money printing. I am a great believer in Occam’s razor, also known as Ockham’s razor, and sometimes expressed in Latin as lex parsimoniae (the law of parsimony, economy or succinctness), is a principle that generally recommends selecting from among competing hypotheses the one that makes the fewest new assumptions. You’ve probably heard it before: The simplest explanation is usually the right one. Detectives use it to deduce who’s the likeliest suspect in a murder case — you know, the butler did it. Doctors use it to determine the illness behind a set of symptoms.
- The Principle of Plurality – Plurality should not be posited without necessity
- The Principle of Parsimony – It is pointless to do with more what is done with less
Without constant new money to keep pushing up the price, ANY asset will eventually go into bust – no exceptions this time, before, or in the future. QE won’t last forever after all, and that’s the only thing keeping stock markets, inflation, and commodities including fuel, food, & GOLD up right now. Even if gold doesn’t fall, what if your deposit take goes under? – There have been plenty of scandals over the years where investors’ segregated assets have been plundered by the very institutions looking after them!
So if you apply Occam’s razor to the current financial crisis, you will deduct from logic and reason that Gold and Silver is the best hedge against inflation, and will never ever lose value in the true sense of the word.
Categories: News mix