If a man and his wife purchased a $100,000 life insurance policy on the life of their newborn son in 1929 and their child died this year at the age of 85, his beneficiary would receive $100,000 which would have a present value of only $2,000.
If the parents had purchased one ounce of gold per year for 85 years instead of paying insurance premiums, their son's heirs would have 85 ounces of gold with a present value of over $100,000.
By purchasing gold instead of paying insurance premiums, the beneficiaries would've received benefits that were 50 times greater.
Replies
I When hyperinflation hit Zimbabwee in 2008 it would have taken 100 trillion Zimbabwee dollars to purchase what 1 dollar would have purchased in 1968. A Zimbabwee dollar in 1968 would have purchased 3 or 4 loaves of bread, but in 2008 the price of a single loaf of bread has risen to $35,000,000. Even if a loaf of bread cost $1.00 in 1968 the same loaf would have cost $35,000,000 in 2008. To have the equivalence of $100,000 you would need $35,000,000,000 in cash value.
Click Here