Rockin' To The Golden Oldies

     It was a time to swoon to Frank Sinatra and Elvis, or head to the sock hop with Buddy Holly, The Everly Brothers, and Frankie Avalon. Post World War II brought the GI Bill, the advent of community colleges, the suburbs and affordable home loans.

     In 1950 the average family income was $3,300 and the median home price was $7,354. A Ford car ranged in price from $1,339 to $2,262 depending on the model. The average price of gold was $40.25 an ounce and it backed the value of the US Dollar.

     By 2015 the average family earned $53,657 while living in an average existing home priced at $215,000. A 2015 Ford ranged in price from $14,090 to $27,110 depending on the model. The 2015 average price of gold was $1,200 an ounce, but gold no longer backed the dollar. President Richard Nixon removed the dollar for the gold standard and tied its value to the price of oil instead.

     Let's look at the price of the two houses in terms of the relative price of gold. The cost of the house in 1950 was 180 ounces of gold. Care to venture a guess as to the cost of the house in 2015? The house in 2015 would have cost in current gold 179.16 ounces. Over the course of 65 years with inflation and the devaluation of the dollar, the gold required to buy a family home remained statistically unchanged. 

     Think about this. Why buy gold? The answer is obvious. Why buy gold now? There is no time like the present.
     Here's an interview with Bo Polny about the timeliness of converting fiat, paper money into gold now.

Listen To Bo Polny

   
     Know something else? Sinatra is still makes people swoon.

Do It For Yourself. Do It For Your Family. Do It Now.

Thanks to Thomas T. for suggesting this topic. If you have a question or a special topic you'd like me to investigate and answer for you here, let me know. I'm always on the lookout for new things to learn and share.