The question I have is ,why do people buy gold?
and the only answer can be "because they expect it to rise in value and hence make a profit".
The next question then is "what do they do when it makes a profit?"
The answer,"they sell it".
So what do they get in exchange for its sale?
the answer "Paper money"
So the whole thing is circular.
And the result is that in the end paper money has more value.
