Let's now return to my previous question: "In what time frame will the current (and probably soon-to-be confiscated) nickel be worth more than a dollar?"
Aaron Krowne gave a couple of possible answers to that question on AutoDogmatic.com:
“If base metal values continue to increase by 5% per year on average, and the dollar continues to depreciate by about the same, then in about 26½ years, a nickel will be worth a dollar in inherent value. If the rates are 10% per year, then in a bit over 13 years, this milestone will be reached.”
Some might think Aaron is asking too much, others too little, and in the short term, I am still calling for a pullback in copper prices. But what's to lose by hoarding nickels? Oddly enough, hoarding nickels is a hedge against both hyperinflation and deflation. If hyperinflation kicks in, a nickel might be worth more than a quarter (in metal content) in no time flat. If deflation kicks in as I suspect, cash will be a good thing to have. If you are going to hold cash (change), it may as well be in nickels.
Tuesday, December 19, 2006
From the Whiskey and Gunpowder folks, some advice:
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2 comments:
Might be a good idea, but don't forget that the government has already banned melting them down for something worth more.
Maybe when the hand of the Stat of Liberty sticks out from the sand like the one in Planet of the Apes:o)
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