Why gold is so Expensive ?

[Esha]

Dear all ,

Out of curiosity , I always had a doubt that why gold is so costly compared to many other metal commodities ? As it had a very less role in infrastructural development of world.

One day , an idea struck my mind and it elaborated a theory. for which I am doing research.

Request you all to provide your views for the same

 

[krymnserniel]

the amount of gold available is very less. the purification techniques are costly too. maybe thats the reason for the high price

 

[Suryavanshi]

Why Gold is so Expensive?

The price of commodity depends on its demand and supply. If the demand is high and the supply is low then the prices of the commodity rises. Same is the case with Gold. First of all Gold is a metal that is scarcely available and the mining cost of this metal is high as lot of work in done in refining Gold from its crude form. Secondly the market demand today has made gold pretty expensive. The professions like, dentistry, jewelry designing and beauty care products have made this product expensive. Some times when demand is high, the gold owner’s deliberately hold gold to create more demand and therefore prices rise.

 

[Idiotbox]

gold has always been favorite of humankind. even if we look into the past, america was explored by foreigners due to presence of large gold mines. the reason for its notoriety is its richness in gold in the past. and slowly after all the gold has been looted and scattered, its availability has gradually come down and so the prices have gone up.

 

[R2India]

i think its just the scarcity of the metal which is causing such a high pricing of it. if it were largely available, it would not be of that cost though its alluring, and attractive. and some people are blindly crazy about it without any sane reason behind it.

 

[Leader]

Gold is becoming scarce in the availability and moreover the demand for the gold metal is rising high among people. All the two are the main reason of rising price in gold. God has almost gone 15 to 18 thousands rs in last 7 years. I still do not know how far it will go now, that a good increase.

 

[Greatindia]

Gold has always been the precious metal over the ages. Since the metal has got its glow and glossy nature, people longed more and more for it and slowly it turned into an ornamental metal. Due to its scarcity it is becoming expensive. People started investing into gold because its price is rising like any other stock markets. No wonder it would further continue to get costlier as people still want it more and more in spite of the fact that the gold mines are scarce on earth.

 

[Bupati]

I think that Gold is still not so expensive, but it will be more and more in future !

The monetary financial debt crisis in the southern-tier European nations stays a substantial component for that markets. Greece arrived at the forefront of the most present issues as problems flared it might not obtain its subsequent batch of payments coming by way of the Worldwide Financial Fund as well as the European Union. You will uncover also a number of ideas that China’s attempts to increase its sluggish monetary climate are starting to consider hold. As quickly as issues over the Eurozone have risen, which has on numerous events backed the U.S. buck, which at events can location stress on gold since it's dollar-denominated.

So, Gold is not the only one - Silver will have a challenging time making profits when it returns in the path of the $40 level. Silver is really caught inside a soft location in among industrial demands vs. precious metal needs. With present financial tales exhibiting slowness in the production sector collectively getting a dismal outlook for house sales report, the industrial component of silver could maintain it back again once more up once more. For that cause, the gold-silver ratio might broaden out once more in gold’s favor. This might set off gold to burst from $10,000 and silver to hit $100. I think that now is actually an outstanding time for you personally to purchase silver and purchase gold while prices are fairly affordable.

 

[Student]

Gold is one of the most expensive metal. The reasons for this are many. It is very scarce metal. Its colored metal, only after copper and germanium. It is shiny, glossy and attractive metal. It was used as currency in ancient ages which is the reason it has always been in demand and of such high value. Do you have any other reasons to share on this?