True Inflation as Measured in Gold

History has also shown that, since 1750, about 80% of all currencies have disappeared and the other 20% have all been severely devalued

Ray Dalio

Inflation and Gold Discussion

Are we actually in a period of rampant inflation and we don’t know it? Are we in denial because assets like stocks, crypto and real estate keep going up and up when measured in dollar terms? What if we were to measure everything in terms of gold? Meaning, if gold is the standard of true value (or true money – see Ray Dalio article below), what’s a dollar really worth?

Background: Inflation Discussions

Is Gold and Silver the Real Currency?

But God’s favor is the coin of the Realm

I tell you, use worldly wealth to gain friends for yourselves, so that when it is gone, you will be welcomed into eternal dwellings

Luke 16:9

This chart shows that if gold were the preferred measure of inflation, we would see that the US Dollar is worth a lot less than the government reports using CPI. In fact, if measured in gold…$1 in 2000 is only worth $0.13 today

Contrast this to an inflation calculator which says $1 is worth $0.52 today by CPI. See the difference? It’s 4x. 

Actual inflation may be four times reported inflation (CPI)

This chart shows that real estate prices have actually gone down, not up when purchased in gold, a “real currency”.

This chart shows value of gold vs stocks

LinkedIn Article: Ray Dalio Answers Questions about Gold

I think most people make the mistake of thinking of gold as a metal rather than as the most established form of money, and they think of fiat money as money rather than debt and they think that fiat money will be created to prevent debt defaults

Ray Dalio

What does this all mean for our economy? For our nation?

We contrast everything to God’s Economy and the Storehouse biblical truths.