{"id":19731,"date":"2016-04-10T13:03:59","date_gmt":"2016-04-10T18:03:59","guid":{"rendered":"http:\/\/olduvai.ca\/?p=19731"},"modified":"2016-04-10T13:03:59","modified_gmt":"2016-04-10T18:03:59","slug":"gold-still-misunderstood","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=19731","title":{"rendered":"Gold: Still Misunderstood"},"content":{"rendered":"
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Gold: Still Misunderstood\u00a0<\/a><\/h3>\n<\/div>\n
Myths That Just Won\u2019t Die<\/strong><\/div>\n
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Gold just had its best quarter in 30 years. Not surprisingly, gold bears are coming out of the woodwork\u00a0en masse<\/em>\u00a0in the mainstream media and the analyst community (see e.g. this recent\u00a0write-up by Mish on the Goldman Sachs analyst<\/a>\u00a0who has been screaming \u201cshort gold\u201d since\u00a0right before it started rocketing higher in early February<\/a>). Below we will discuss a specific assertion that tends to be repeated over and over again.<\/p>\n

\"1-best<\/a>Gold had a very strong quarter, but skepticism over the durability of the advance remains quite pronounced \u2013 click to enlarge.<\/p>\n

If there is anything in this world that definitely has more lives than a cat, it is bad economics. Just think about it: Here we are, nearly 300 years after John Law drove France and most of continental Europe into utter ruin, and our central bankers are still doing the exact same things Law did. The only difference between John Law and the trifecta of Draghi, Kuroda and Yellen is really the modern-day level of obfuscation and the fact that there is far more wealth that can be destroyed, so it is taking a lot longer.<\/p>\n

In terms of economic principles and the goals allegedly achievable by their policies, the difference between Law and today\u2019s central bankers is precisely zero. It is astonishing that after 300 years of supposed scientific progress, atrociously bad economics has shown such persistence in surviving. We were reminded of this agan when reading a recent comment on gold in the Wall Street Journal. No matter how often and how convincingly they are refuted, unsound economic ideas keep being resurrected with unwavering regularity, as if they were a horde of zombies.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Gold: Still Misunderstood\u00a0 Myths That Just Won\u2019t Die Gold just had its best quarter in 30 years. Not surprisingly, gold bears are coming out of the woodwork\u00a0en masse\u00a0in the mainstream media and the analyst community (see e.g. this recent\u00a0write-up by Mish on the Goldman Sachs analyst\u00a0who has been screaming \u201cshort gold\u201d since\u00a0right before it started […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[218,374,13379,3676,1225,536,6170,861,868,4069],"class_list":["post-19731","post","type-post","status-publish","format-standard","hentry","category-economics","tag-draghi","tag-gold","tag-gold-myths","tag-john-law","tag-kuroda","tag-money","tag-pater-tenebrarum","tag-wall-street-journal","tag-wealth","tag-yellen"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/19731","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=19731"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/19731\/revisions"}],"predecessor-version":[{"id":19732,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/19731\/revisions\/19732"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=19731"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=19731"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=19731"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}