Why is Gold so expensive?

Answer 1

Gold is expensive Because it's rare and delicate therefore it's classified for a lot of money .I think it is because,

1) can make ornaments.

2) it wont rust or spoil by its own like other metals.

3)Not easily available like other metals.

4) ladies are like to wear gold ornaments.

Gold is expensive because there is very little found in what is mined and extraction costs are high. Moreover, gold is running out.

Another aspect to gold being expensive is you are looking at it from the perspective of what it is priced in. For U.S. citizens it is priced in dollars. As our government via the Federal Reserve prints more dollars, things become more expensive.

Too look at it another way, if all the money in the world bought all the goods in the world, and then you doubled the amount of money, you haven't created any more wealth, you've just made goods twice as expensive.

All the Gold ever mined in human history could only build about 1/3 of the Washington Monument. If all the gold mined on earth was distributed equally to the 6+ Billion population each person could only have 20 - 25 Grams. Gold has exceptional chemical stability is only reacts with a few combination of highly concentrated acids, in the normal environment it never wears down or changes in any way. Its the 2nd best electrical conductor we know of, silver is 1st. Its one of the best thermal conductors. Its one of the most reflective materials known when polished. Its one of the 3 metals that have a unique color, Copper is another being Red-Orange, and Germanium is greyish-blue. Gold has a history of being used as Money back to ancient times. Gold has to be recovered from widely distributed small amounts, randomly dispersed across the globe. Gold recovery uses large amounts of manpower, industrial and chemical equipment. Gold is lost in electronic products when they are disposed of, as the small amounts of gold per item and not economical to recover. Its also used in satellites and space technology. Most high technology items use a significant amount of gold for sensors and electrical contacts. Gold has been stolen, used for bribes, and sought after by diverse cultures for all of human history. Gold is cool stuff.