RE:RE:RE:Price Target for Gold is $1000 and Under in 2017!!OK, Gollum, sorry I was so harsh on you.. I see what you are talking about, but still disagree with you.
You are right, gold is not used up, but it is put in vaults and guarded. It is not available. Try to buy some of gold in the Chinese, or Russian vaults, it is not for sale. It is used as backing for their currencies. Try to buy some of gold in Fort Knox, not available.. It may not be used up, but it is being used as a backing for their paper money.
The printing presses all over the world are printing paper currencies like crazy and devaluing their currencies. Their devalued currencies will make their exports cheaper to the world and make imports more expensive to their citizens. They do this to have a favorable balance of trade.
When citizens no longer have faith in the value of their currencies or see them being devalued almost daily, such as Venezuela, they will turn to gold and not paper gold.. Then we turn to supply and demand fixing the price. It is starting to happen now on the Shanghai gold exchange where real gold is sold at a premium to the paper gold of the London and NY markets.
Gold and silver have held their value for centuries and coins were made out of them. It is only in the last few decades that coins (currency) has also been devalued and made from base metals.
Paper loses it's value as governments can and will produce an endless supply, Gold and silver have a limited supply and much of the mined metal is not available. They will only increase in value compared to paper currencies.