One of the fundamental motives for people to buy gold is distrust of government.
For some, that distrust is based on conspiracy theories and a belief in government’s malice. For example, some see the federal government’s order for over 2 billion rounds of ammunition for “domestic consumption” (that’s 7 rounds for every living American) as evidence that the gov-co plans to intentionally collapse the economy, seize everyone’s bank accounts and institute martial law.
Others, however, distrust gov-co based on government’s incompetence. I.e., they don’t believe that gov-co is conspiring to collapse the economy, seize everyone’s bank accounts and institute martial law. Instead, they believe economic collapse, seized bank accounts and martial law will be the inevitable consequences of a government that’s simply too stupid to avoid such collapse.
But, no matter whether you distrust the government because it’s villainous or incompetent, one of the best “hedges” against “bad” government is gold.
As the ranks of the distrustful swell, so should the demand for gold. As demand increases, so should price.
Three recent surveys show the number of Americans who distrust government to be rapidly growing.