What makes gold valuable?

[spidey07]

I mean it had it's place way back for currency. But why the value today?

Is it because it can be universally traded all around the world?

Interesting article on the US monetary system and how gold played a role:

http://www.infoplease.com/ce6/bus/A0859734.html

 

[dullard]

It is valuable because people want it.

 

[leftyman]

like pogs

 

[MX2]

I thought it was partially due to limited resource

 

[spidey07]

Originally posted by: dullard
It is valuable because people want it.

aw crap. The simple answer is always best.


But why the role in our currency system/money? I mean is the value determined by country?

Let's say you have a country with a 1.0 exchange rate.

Can gold be worth 100 dollars in the US and 175 cocopuffs in the other country?

 

[FoBoT]

it has value because it is used in industry

other than that, it is just due to people deciding it is valuable. other than use in electronics etc, and it being more rare than other things, its value is arbitrary

 

[Hammerhead]

Originally posted by: leftyman
like pogs

or pokemon cards

 

[Xyclone]

Supply and Demand.

/thread

 

[firewall]

Don't question me why your computer stopped working after I extracted all the gold used in your motherboard/CPU...... See the importance?

 

[spidey07]

Originally posted by: Xyclone
Supply and Demand.

/thread

While true to a point I'd like to understand it's role in the world as well.

One might think that it could have been the first real world currency.

 

[firewall]

What makes gold valuable?

Girls/Women love shiny, sparkly stuff....

 

[MrChad]

http://en.wikipedia.org/wiki/Gold_standard

 

[Jzero]

Originally posted by: spidey07
One might think that it could have been the first real world currency.

It's certainly among the oldest forms of currency.

 

[Dualist]

It's the shiny look that makes it valuable.

 

[JDrake]

Its SHINY

 

[pontifex]

Originally posted by: MX2times
I thought it was partially due to limited resource

ding ding ding

 

[OhioState]

because there isnt that much of it really. If it were as common as say steel or quartz it would be worth lots less.

Same with oil.

 

[Howard]

Rarity. That's a pretty good anti-counterfeit property.