Why is gold so important ? It's only a metal - right?


2 Answers

lucek chuck Profile
lucek chuck answered
Gold's chemical properties and rarity are what dive it's price. First gold is noncorrosive so it never tarnishes, meaning jewelry and coins of actual gold retain their luster for Thousands of years. Next gold is malleable meaning it was simple for ancient people to work with it. Applications like gold leaf aren't options with other metals. Next gold is a very good conductor so it's application in electronics results in a noncorrosive power efficient device. Another thing is golds weight. Gold has a high molecular weight and because of that it is used in applications like particle accelerator and early geiger counters. Finally rarity comes into play. An example of this is aluminum. When aluminum was difficult to produce and there for suplies were low aluminum cost upwards of $115 per pound, but today with new ways of refining aluminum the rarity dropped and it now costs 90 cents per pound.
Arthur Wright Profile
Arthur Wright answered
It's what backs up the US currency and without the gold in Fort Knox, our money would be worthless totally.
thanked the writer.
View all 6 Comments
Tony Newcastle
Tony Newcastle commented
Arthur is worthily wright about this... Have you never seen the movie GOLDFINGER...????
lucek chuck
lucek chuck commented
Again no no material backs the dollar. If it was then first we'd have more gold then we have spent. We have. And our creditors could demand gold for payment. They can't. Reagan said it best when he said the dollar was backed by the goodwill of the american government.
Arthur Wright
Arthur Wright commented
Wrong all money has to be backed by something or its useless and its all the tons of gold in Fort Knox but there is only so much so we cant print anymore money and creditors dont get paid in gold til the US defaults on its loans and hasnt happened yet. What Reagan was saying was about the excess spending of our Government in spending actually more than we have

Answer Question