people dont believe the price surge will last, page-16

I said gold has a role to play. That is not the same as a straight gold backed currency. Another point is: you don't believe it. A majority of people don't believe or see it. That is perhaps another reason it will come: the final collapse or a major restructure of current international currency/trade system. You can't avoid something you don't see coming. The USD system will need to be replaced at some point, just like any fiat money that has collapsed in history. Only difference for USD is that it is circulated globally instead of being confined to one country. The time will come when people have completely lost their faith in the USD. They no longer have trust in the discipline of politicians and bankers. They want to put constraint on the system. Gold will play the role of that constraint on the new monetary system. The US government has never sold any gold out of their gold reserve of 8000 ton plus. Why not if gold is just a barbaric relic? The US goverment debt has climbed to USD$9 trillion. Why don't they sell their gold for debt repayment, like what Spain has done last year? It serves no purpose and it costs a lot to store these gold bars/bullions. it makes no sense. So why they are still keeping all their gold? Because the big money families who control the US Fed know full well that "the one who has got the gold will make the rule" (something like that). One day, the US government will need their gold reserve to restore confidence in the USD (a new USD maybe). What Paul Volcker did in the 70s is no longer viable now.