Mustang for change

Miscellaneous General
1

While walking through a classic car rally in my hometown of Lombard Illinois, I came upon a 19641/2 Mustang with the original price sticker posted in the window. That price was roughly an even three thousand dollars.

This set me thinking about a couple of other facts. The first is that the middle range MSRP, according to the Ford website, is $32,740. The second is that junk silver is trading at about the same ratio as those two prices. For instance, Northwest Territorial Mint is today (11/3/2009) buying at $11,233 for $1000 face value. Multiply by three and we get $33,699.

Thus it seems that, in regard to the last openly circulated U.S. commodity money, Ford has not changed its price structure in forty-five years. I’m sure other such correlations have been made but this one struck home to my baby boomer mindset.

2

I saw a very interesting article one day (and I’ve since been unsuccessfully trying to track it down) that made a lot of correlations like this. Ceteris paribus, commodity money (whether gold, silver, etc.) is actually a very stable store of value over the long-term, no matter how fiat money might inflate or fluctuate.

3

[double post]