- Dietary Supplements
- Health Conditions
- Healthy Nutrition
- Cardiovascular Health
- Skin Care
- Natural Remedies
Investing in gold coins: Will the FDB robbery ever repeat itself?
During the great depression the government took a number of extreme measures with the economy and the country to try to overcome almost insurmountable odds. In 1933, Franklin Roosevelt took one of these measures when, as part of the New Deal policy, he made an announcement that banks could no longer make payments in gold and later commanded all citizens to surrender their gold. Under the auspices of attempting to create more stability in the economy, this came to be known as the Great Gold Robbery. Today, gold coins as an investment are a number one priority, but the question remains: Could there be another gold robbery?
In the 1930’s, anyone who held more than $100 in personal gold were considered hoarders. This negative label was strewn across the country, displaying private citizens as greedy; with no consideration for their fellow American in those desperate times. The only exception to that rule was collectors of rare coins. While this was a situation was supposed to be limited to special emergency, it stayed on the books until 1974. The ironic part about all of this is, after Roosevelt seized all of the gold, he then announced the inflation of the value of the gold. This created a situation of the devaluation of the dollar paper money. We can’t blame FDR for the whole problem, as there were many private citizens and companies that were doing the same thing. FDR was just trying to offset what other citizens were attempting to do, but in the name of economic balance.
Historically, over the centuries, gold and gold coins investments has maintained and increased in value. The first major change to that was in 1914 when the United Kingdom went off the gold standard to fight World War I. This proved to be the beginning of the end of their government, as it devalued their currency to a point of almost no return.
The chances of the gold robbery happening again are fairly small. The lessons learned from history have shown that any attempt will reduce the value of paper money and throw the country into a worse recession or depression situation.
Gold coins as an investment remain strong. Coins might be a bit higher for the investment dollar but can be easily purchased. Gold bars usually include higher purchase amounts so the attraction and appeal of gold coins is an excellent choice for everyone. Coins are easier to store and keep compared to gold bars. Gold is also one of the most liquid of investments as there are always buyers available. Gold coins are also an attractive investment from a collector’s standpoint. For those that don’t want to have personal possession of gold, there are investments in gold mining companies that can reap some excellent rewards.
Everyone that buys gold knows the main rule: Buy when the price is low, but don’t try to wait until it hits rock bottom. You will lose out as the value will always rise again and the chance will have been lost.
The information supplied in this article is not to be considered as medical advice and is for educational purposes only.
One Response to “Investing in gold coins: Will the FDB robbery ever repeat itself?”