Throughout history mankind has had two precious metals. They are gold and silver. In 2000 to 2001 the market took about 70-80 ounces of silver to buy 1 ounce of gold. Today in the uncertain and very troubled economic times it now takes 50 ounces of silver to purchase one ounces of gold. In comparison, it only took 15 ounces of silver to buy 1 ounce of gold in 1980. The two metals since 1980 have had varied values but historically gold outperformed silver in the period of 1980 to 2000. Since 2001 silver has outperformed or increased its purchasing power more than gold.
Gold and silver are both valuable but historically gold is harder to find than silver which makes it more rare. Historically you can find silver sixteen times easier than gold. Silver is less valuable than gold due to this ratio and makes you ask why you would carry 50 ounces of silver in today market when you could carry a single ounce of gold. Silver is used in electronics because it is a great electrical conductor; better than gold and does not spark. This makes the demand for silver grow while the demand for gold has decreased since the world went off the gold standard.
The facts are that silver is worth less than gold but the demand for gold is dropping, where as the demand for silver is steadily increasing. These facts lead to the conclusion that silver in the long run is the better investment as the prices can only go up. Gold and silver are both good solid investments but which is the better investment has no clear answer as long as the world economies are in trouble, which makes the value of gold rise.
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