Ruf,
POG $5000 sounds scary, but the world didn't stop spining in 1980 when POG shot up from $200 to $850, or $4000 at current time with depreciation adjusted.
My simple math model, that infers POG $5000 is based on the linear relationship between dollar index value and the POG. So dollar index value is the key. I really believe dollar depreciation of 50% in 5 yrs is the only exit for US $14,000B debt, other than the US declares default, which is worse. The bottom line is US has no way to reduce that much debt with huge interest aggregating every min. If dollar loses half of the value, that just means gas is $5/gallon and milk is $6/gallon. So what, it just means middle-class cut their annual vacation to be bi-yearly vacation, and as to the poor, they will always live in the gov run shelters downtown and use foodstamps, no difference. As to the rich, they will get richer. I don't see the hell like chaos occuring. The unlucky president may get kicked out at the election, but who can replace the whole elected elite group that leads the blind public to this disaster step by step ? They work together to get to the end. The Bell tolls for EVERYBODY.
As to gold, it is just a means of storing and exchanging value. As long as it can reserve value, 100 onces or 50 onces standing for 10 yrs's savings, doesn't matter. It is always less 1% of the population that owns gold in their wealth portfolio.
JMT and we will get there yr by yr.
