Under a so called Gold Standard the money supply can only increase at the rate of the increase in gold reserves with a few exceptions. The money supply can legitamately increase with an increase in productive capacity as well. We are now under a credit based monetary system which has no solid foundation and can be increased to infinity making the monetary unit worthless. Thus, any asset that is in fixed supply or not growing in quanity as quickly as the creation of the monetary unit will command a higher amount in that "currency".

Gold and Silver are examples of the above. Remember an asset that must be financed to produce more (housing) is losing value while the neccessities of life are increasing in value. We do not need to consult the experts for this fact. Use your common sense. Most so called experts will bankrupt you if you listen to them. Critical thinking must be a lost art these days.

Gold and Silver can not be suppressed forever. We are close to a relization that we have been had. Tyhee is a solid bet!

Thomas A Russell, Woodstock, VT