Gold vs. Silver

The value of gold vs. silver can vary widely based on a number of factors. There is more gold in the world, but silver is more widely used. Here we will evaluate the value of gold vs. silver, so that you can determine the best way to invest in precious metals.

To date, there is more than 4.5 billion ounces of gold in the hands of mankind. This amount includes what is in bars, coins and jewelry. Gold is non-perishable, highly portable and valuable, because it is rare. Due to the fact that it is rare, and because of the properties of the metal itself, gold has a higher dollar value per ounce.

Silver is much more rare than gold. There is approximately 7 times more gold in the hands of mankind than there is silver. The reason for this is that we have consumed more silver. Silver is used in things like jewelry, electronics and photographs. In fact we would not be able to take photographs without silver. Since such a small amount is used in the manufacture of electronic devices and photography, recovering that small of an amount from each item made is not possible.

The dollar value of gold vs. silver is about 60 to 1. It will take the value of 60 ounces of silver to equal the value of 1 ounce of gold. Either metal is a good investment, as the value of both silver and gold is likely to increase as world markets fluctuate. Gold will continue to have a higher “shelf” value than silver, but silver will go up in value as it has a greater overall demand in manufacturing.