monetary universe

Today I added a chart of US median sales prices for existing homes in gold grams, covering the years 1968 to 2006.  Data for this chart comes from the National Association of Realtors via the widely respected RealEstateABC.com site.  As you can see, homes were a real bargain in 1980, but have been falling since 2002, losing almost 16% of their value.

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I want every subscriber to the Priced In Gold newsletter to have a Custom Chart absolutely FREE.

If you're already a subscriber, this is my way of saying "Thanks!".  If you're not yet a subscriber, sign up today — the newsletter is totally free, you can unsubscribe anytime you like, and one free custom chart worth $9.95 is yours for the asking.  Give it a try on a stock in your retirement account, on your local currency, or on that "hot tip" you've been thinking about investing in… The chart you get might change your mind — or confirm what you're already suspecting.  Either way, it will be fun, and won't cost you a cent to try it out.

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Just a quick note — I still haven't found a good source for gasoline prices before April of 1993 (if you can give me a URL for this data, I would very much appreciate it!) but I did find the peak price for gasoline in California in March of 1981, the price point quoted in the news articles as being the highest "inflation adjusted" price (until now) for US gasoline.

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A few months ago, my mother in law sent my wife an old copy of Woman's Day magazine.  My wife loves dolls, and the January 1965 issue of Woman's Day featured articles on dolls and doll collecting (along with many other articles that would fit right in with today's magazines, such as "How to Have a New Figure for the New Year".)

What grabbed my attention, though, was the cover price of the magazine: just 15 cents.

I wondered how the price of magazines has changed over the last 42 years, measured in dollars and in gold.  And it didn't take long to find out!

Woman's Day is still being published, and a quick trip to it's web site showed that the current cover price is $2.79.  Using the London PM gold fix for 4/27/2007 of $21.78/gram, we see that today's cover price is about 0.128 gg.  And in 1965?  Gold was $1.14/gram, so the 1965 cover price was 0.132 gg.

Let's see… looks like the price is virtually unchanged over the last 42 years when measured in gold, but up a whopping 1,860% measured in dollars!

I don't think the magazine is 19 times bigger, or 19 times better… I think the dollar has shrunk to 1/19th of it's former self.

It's a great example of why I like to track prices in gold!

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This site will help you see through the fog of depreciating currency so you can really see how your investments are doing. The point is not that you should keep your wealth in gold, but that unless your investments are growing when measured in gold, you are not doing as well as you could by simply holding gold.

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