> “Real price of gold” is an interesting concept, probably showing a statistical quirk of backtracing CPI than anything useful though? I’d have to study how it was calculated.
I agree it's interesting. I'm invested in Gold, so I'm basically betting that it's going to go up. Instinctively, I'm looking for the best disconfirming evidence.
> If you’re going to step outside of the fiat viewpoint, gold is where I’d usually start.
> Maybe a VIX-adjusted price of gold or something like that could be useful to smooth it out.
yeah, I'm not really sure what the best way to look at it is. I believe Adam Smith used minimum price of labor, but that's distorted as a signal by minimum wage laws. I find the big mac index to be useful-ish. idk, perhaps something like median cost of an hour of labor per big mac, is a measure of prosperity.
I agree it's interesting. I'm invested in Gold, so I'm basically betting that it's going to go up. Instinctively, I'm looking for the best disconfirming evidence.
Here's where I got the chart. http://scottgrannis.blogspot.com/2022/03/inflation-net-worth...
> If you’re going to step outside of the fiat viewpoint, gold is where I’d usually start. > Maybe a VIX-adjusted price of gold or something like that could be useful to smooth it out.
yeah, I'm not really sure what the best way to look at it is. I believe Adam Smith used minimum price of labor, but that's distorted as a signal by minimum wage laws. I find the big mac index to be useful-ish. idk, perhaps something like median cost of an hour of labor per big mac, is a measure of prosperity.