The Real Gold Mine

For those of us that do want to have some level of financial security we try to save and invest our money at any opportunity. Some people do this on their own, while the majority of people have some sort of financial professional offering them advice. I personally have an account set up with a financial advisor. Most financial advisors will tell you to “diversify” your money and investments. But, do they really mean it? Yes, they mean it as long as it makes them money.

Gold Mining And Production

After the key gold mining discoveries in the United States and Australia around 1850, those two countries remained significant gold producers.

However, South Africa has larger reserves, and by 1930 was producing 53% of the world’s new gold. That was the start of the Great Depression, which slowed down economic activity around the world, beginning with the 1929 Wall Street stock market crash, the failure of the Credit Anstalt Bank of Austria in 1931 and Great Britain’s suspension of the gold standard in 1931.

President Franklin Roosevelt raised the official price of gold (in effect, inflating the value of the US dollar, which had been suffering from the deflationary effects of the Depression) from $20.67 to $35.