Infographic: Is Gold A Bubble?

Tyler Durden's picture

Yes, another infographic, and yes, another answer (always the same) on whether gold is a bubble.

Courtesy of

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francis_sawyer's picture

It's not in a bubble... It's in a "BAUBLE"... (get your facts straight)...


Nouriel Roubini


ACP's picture

I like the "Central Banks Have Turned Net Buyers" graph.

Buy high sell low. Shows how stupid these banker academics really are.


But then this point, the money printing cannot stop until the financial system implodes...

engineertheeconomy's picture


everybody knows that a taco is worth at least 2 ounces of Gold

 No one would be fooled by that trick

nope-1004's picture

Roubini, what an idiot.  I remember him 2 years ago saying the current stock market rally was a "sauckers rally".  Then last year he jumped in with both feet.  Oops.  A little bit Dennis Gartmanish?

Some of those "economists" just like to hear themselves, like a dog that barks into the darkness.  People hear it, but no one is listening.


SAT 800's picture

Lord, I hate sauchers rallies. They're so, I don't know; "popular" or something.

akak's picture


I like Saucher torte though.

But flying sauchers scare the bejeesus out of me.

traderjoe's picture

I've argued with you about this clip before. Of course a cashier at a chain won't accept a gold coin for a taco. They don't want trouble, they just want a FRN that fits in the cash register.

Take that same coin to an owner of a taco truck, and you'll get a years worth of tacos.

TruthInSunshine's picture

I don't understand your argument.

The experiment clearly shows the depths of how clueless people are regarding the value of gold.

If you were her, would you have given him $49.01 in change in the form of FRNs and paid for the taco yourself with a FRN out of your pocket?

SAT 800's picture

Congratulations; you are a modern citizen. You have avoided the entire question and the lesson contained therein by falling back to the uber-modern model; what is your opinion? It doesn't matter what the opinion of the individual idiot is.

TruthInSunshine's picture

It would appear you're addressing me.

If so, your point is logically flawed.

I am aware of the value of the gold eagle in question, and would have gladly given the man $49.01 in FRN change, paying for his taco with 99 cents from my own pocket (assuming I was dishonest, which did not appear to be the reason why the clerk declined to take said gold eagle in the video; in fact, she appeared to have absolutely no clue as to its value, and was relieved when he whipped out his BenankBuck).

Am I in the distinct minority or majority of individuals?

If you assume that I'm in the distinct minority of individuals, then you are necessarily conceding that the majority of the population lacks any fundamental understanding of the value of an American Gold Eagle.

If that's the case, how can it be argued that the mania historically associated with bubbles has begun, let alone peaked?


Acet's picture

There are a couple of flaws in that "experiment" and in trying to extrapolate it's results to the wider US population:


  1. Even if she recognized the coin, she had no easy way of knowing for sure the coin was real gold. Given her job, she probably gets paid peanuts, so for her, risking $50 (the $0.99 she had to pay Taco Bell and the $49.01 she had to give as change) in what might very well just be a scam is a big thing.
  2. She works in one of the lowest paid jobs there is. How likelly it is that she ever saved enough money to have even considered putting her (likelly) meagre savings in gold and thus how likelly is it that she ever tried to learn about gold coins? That person is hardly representative of the kind of persons whose savings are high enough that gold is a viable option for wealth preservation.

While I do suspect that most people know very little about gold (mosty because most people don't have enough savings to be able to afford it), that specific experiment was designed to have that specific result:

  • A proper experimental setup using randomly select people would be much more likelly result in him loosing a 1 ounce gold gold coin and getting $50.



donsluck's picture

Personally, I think this clip is a useful, if experimentally flawed, illustration of the emotional risk/reward calculation. Her risk was about $50. Her reward was potentially $1,400. She could have spent a few seconds feeling the weight of the coin in her hand and observing it's fine workmanship (the golden eagle is one of the world's most beautiful coins). It is obviously not a toy.

This reveals the source of poverty. You must take risk. Opportunity truly knocks ONCE. Not knock, knock, knock. It's just...knock.

AnAnonymous's picture

If you were her, would you have given him $49.01 in change in the form of FRNs and paid for the taco yourself with a FRN out of your pocket?

The speculative prospect of such move has to be good because it is a fire cause for anyone trying this.

TruthInSunshine's picture

The stupidity of your comment is so severe that it doesn't deserve a specific response.

AnAnonymous's picture

Really? So refraining from moves that will cost you your job, in an environment where unemployment is rising, is stupid?

What you are calling for is a book keeping manipulation through the cash register, an operation clerks usually have no authority for.

Pocketing the gold coin for yourself while filling the gap with your own money is theft as you use the property of the store to speculate.

Indeed, the hope is stupidity, that the management is stupid enough to let those kind of moves slip through.

akak's picture

I am the Great Stoolman Mousy Tongue, running dog imperialist and warmonger extraordinaire, and I approve this Chinese citizenism message.

zhandax's picture

Hey dumbass, they are given a till at start of shift and it is counted at end of shift.  This corporate 'merica.  Nobody cares what happens in between as long as the end of shift till tally's with the register and none of the customers complain. 

As soon as someone official starts raising hell about MF Global misplacing $1.5 billion, come back and try again.

akak's picture

You're forgetting that Anymouse is a Chinese citizen and a docile sheep and subject of a totalitarian regime, and as such it is beyond his grasp to fathom doing anything that is neither expressly forbidden nor usual in his controlled, conformist, cowed society.

zhandax's picture

OK, I tend to speed read the comments section, and blink past the bag people, so now that I know who Ananonymous is, I can keep this in mind.

Disenchanted's picture

zhandax said:


As soon as someone official starts raising hell about MF Global misplacing $1.5 billion, come back and try again.



They are "struggling" to find criminality...


Doubtful Signs of a Criminal Case Against MF Global


Indeed, a number of federal prosecutors have expressed doubts to others involved in the case that anyone at MF Global — including the firm’s chief executive, Jon S. Corzine, and back-office employees in Chicago — intentionally misused customer money, said people involved in the case who were not authorized to speak publicly about the investigation.

Confused's picture

Gold coin is worth losing that job. Lets face it. Its probably worth more than the monthly pay.....


.....soon to be worth more than the yearly salary. 



akak's picture

The speculative prospect of such move has to be good because it is a fire cause for anyone trying this.

Severely molten parsley computers, longing for draconian Chinese citizenism hot worm portfolios, will forever squeeze blue hurtful penny calm under all enslaved chrome apples, banishing corrugated eggplant sodomy six times.

Likstane's picture

Just you because him don't the understand the language, doesn't mock is re-apprpriate enough...jerk

akak's picture

He known troll, raging anti-American bigot, deserve all he get in nastiness, should be shot by Chinese firing squad for incompetent trolling.

AnAnonymous's picture

raging anti-American bigot,


Apparently, US citizens do not appreciate much debates of ideas.

Outlining a set of beliegs is now being raging anti something bigot, ah, well...

akak's picture

I am the Great Stoolman Mousy Tongue, destroyer of freedom, hater of all round-eyed foreign devils, rampant anti-American bigot and outliner of beliegs, and I approve this Chinese citizenism message.

Poor Grogman's picture

Hey any mouse leave the beli egs alone they are a protected species.
No poaching from the wild tut tut.

traderjoe's picture

@TIS - pocketing the coin would be theft (she's appropriating her employers benefits) and I'd bet they'd prosecute her. If she puts it in the till she's benefiting her employer but risking the coin being a fraud - which maybe she gets fired for. And I don't know store operations, but I bet she's recorded on a security camera. So she risks prosecution or termination with no reference. And you think this is a fair trial?

Take that coin to the owner of a taco truck. Spend some time with them, and I'll bet you'll come away with a fair value barter at least half the time.

flacon's picture

Mark Dice is the bomb! :)

JW n FL's picture




I am a jew.

I come from a large family of Eastern European Jews.

Some observant, some not.


It is racist, anst-semtic, 3rd reich scapegoating, CRAP.

I believe in free speech. I try and stay out of ignorant, racist, lowest common denominator debates. However, if i believe that the debate has become disrespectful, to Zerohedge and what it stands for, i will have the debate temporarily halted. That is not a threat, it is a statement.


Let that be a Lesson to ALL! of You Goy Slaves! It is a Statement! of Authority!

Freedom of Speech!

And Censorship of the Truth!

Are at her finger tips!


Honestly! You Goy Slaves should have known better than to Anger Your Owner Lizzy!


If this sounds familiar! Here is why! Barbra Specter and Lizzy have that same “Jewish Authority over the Rest of us Goys!” We Goys can be silenced whenever it suits our Jewish Masters! And that is NOT! a Threat.. Per Lizzy! That is a Statement! See the video below and see if you can as well recognize the similarity between Barbra and Lizzy? Maybe Lizzy is Barbra? Who knows.


and for those of you wanting to know.. TruthInSunshine

 shares these views of Lizzy’s! and backs up Lizzy’s power to Silence the Goy Slaves! Truth be Damned!


Given the Fact that Lizzy has used Lobby Dollars with Tyler.. to provide herself with a Bully pulpit! And of course more sway than the rest of us.. Because of the Lobby Dollars.. I would implore you Goy Slaves to behave.. shy away from the Facts and the Truth for fear of being politically incorrect by AIPAC’s Standards!


It should be as well noted that Tyler has been threatened with a Law Suit for Liable! By the Jewish Lobby here at ZeroHedge!


The Truth it seems will not set you free! With regard to your Jewish Owners!


Let this be a lesson to ALL of You Goy Slaves!


Let us ALL! try to NOT! get Tyler or Fight Club in any Trouble.. even if the FACTS! Are being put forth for discussion!


Thank You for Your Time!


P.S. You will notice that 50,000 plus reads and over 600 comments later that Lizzy Allowed the Goy Slaves to have their Rant! LULZ!!

TruthInSunshine's picture

JW, you're free to say whatever you want on ZH, as it's one of the few uncensored forums around, which I actually appreciate (I'm very much a fan of free speech), but you really lessen your personal credibility by mistating what others have written and by digging so deep down the conspiracy well.

The irony is that, unlike your confused paranoia, I am able to separate jews from the Israeli Government (criticizing Israeli Government policy often and vehemently), and judge people on their individual qualities, rather than assume incredible things about individuals who I've never met nor had a chance to converse with. I sure do hope that I'm not individually blamed for all the unjust and inherently flawed policies of the government that legislates the land where I was born; guilt by association.

But feel free to keep spamming the forums with all manner of tripe, in bulk mail and rambling fashion.

p.s. - I'd love to see your claims about Tyler/ZH being threatened with a lawsuit by the "jewish lobby" or Lizzy somehow managing ZH's actions, or "Lizzy putting up lobby money with Tyler," something or other. Put up or shut up - now is the time to prove your credibility (or not).

JW n FL's picture



I quoted Lizzy.. that is not what I said.. it is what she said.

Tyler himself said he was under threat of Law Suit from the JEWS!

Only Sourced and Sited Material is ALLOWED when discussing the JEWS! no personal opinions what so ever!


So what do you mean put up or shut up you coward?

P.S. I would really love to meet you face to face. So YOU! can put up or shut up!



SubjectivObject's picture

.... you got to have some fun before you die ......



SAT 800's picture

Well, no you don't, actually. I know several people who never had any fun before they died. But it seems like a worthwhile project to try to have some fun before you die. Of course, this may be merely "living" predjudice.

ultimate warrior's picture!

Don’t give yourselves to these unnatural men, machine men, with machine minds and machine hearts. You are not machines. You are not cattle. You are men. You have the love of humanity in your hearts. You don’t hate – only the unloved hate. Only the unloved and the unnatural. Soldiers – don’t fight for slavery, fight for liberty.

rich_wicks's picture

Bankers want to cause inflation.

What better way to do it than to drive the price of gold up and intentionally creating a bubble in gold?

I don't think we're in a bubble for gold yet, not by a long shot, but we will be.

SAT 800's picture

This is indeed, very likely. The circumstances and the price behaviours; will, as they say, "blow your mind".

tocointhephrase's picture

Last night I thought of a song for my football (soccer) team. Our official song is 'I'm forever blowing bubbles' see here and came up with this. "ONE SONG! We've only got one song, Gold and Silver going gone, blowing bubbles all day long! Wuuuuuuuun Song we've only got one song!"

Gold and silver are not yet in a bubble but if 70000 fans start to sing this every Saturday it soon will be!

akak's picture

Being a blobble is the eternal nature of Universal citizenism gold.

palmereldritch's picture

Do you think there's any chance they're going to remove the suicide net from his dormitory?

akak's picture

Dormitory, sweatshop, prison, re-education camp ---- such concepts are both fluid and essentially interchangeable  in the People's Republic of Nose-Picking and Blobbing-Up.

AnAnonymous's picture

Ah convenient exterior.

Can US citizenism exist by itself?

It is a capital question when you factor in the fact that US citizen is meant to be universal and global.

So as US citizenism spreads, it eliminates its exterior.

What will happen when the exterior no longer exists?

The answer is already known as US citizen draw a world of quasi certainty.

When the world population in its majority follows US citizenism, the world population will split in true US citizens and false US citizens, proper followers of US citizens and the others, the deviant ones.

True scotsman fallacy type.

US world order is such that the future has to be better tomorrow.

akak's picture

I am the Great Stoolman Mousy Tongue, renowned public nose-picker, psychopath and sexual deviant, and I approve this Chinese citizenism message.

viahj's picture

oh man, go easy on our Chicom poster seeing how he/she has probably been when he/she talks of "US Citizenism" he/she has the moral high ground [/sarc]

-In China, 80 percent of the major rivers have become so horribly polluted that they do not support any aquatic life at all at this point and 90 percent of all groundwater systems under major cities in China are contaminated.

Every Third Word's picture

The only gold thing Nouriel has was was likely pawned, er, sold, long ago.