[daemin]

Though the catch is that gold itself does not have any purchasing power in the real world. You have to trade it for real currency before you'll be able to pay for other goods and services.

Additionally it doesn't actually provide you with a fixed income, like you can with cash in an interest bearing account, or with shares in companies that pay a dividend.

Suffice to say now would be an excellent time to turn gold into cash given the high current gold price. Just do it through a reputable dealer.

[robotrout]

I disagree of course. Even 3% inflation is more than most people get in interest. But, of course, the good old days of 3%, or even 6% inflation are firmly behind us, aren't they?

What burns me is the capital gains tax, which, even in the best of times, is a slap in the face. But now, as we enter this period of extremely high inflation, anybody lucky enough to not be in cash, is promptly charged a nice fat capital gains tax the instant they convert their asset (gold/land/etc) into the inflated currency. Now, even if you are a good socialist and believe in capital gains taxes, I wonder how you feel when there's been no real gain at all? When all you did was preserve what used to buy a loaf of bread, so that you could still buy a loaf of bread after the inflation, and even then, are deemed worthy of confiscation.

My $0.02.