Silver – Does It Glitter Like Gold?

Silver and gold are both precious metals, but gold has always had a certain appeal to prospectors, investors and collectors which is almost always categorically greater than silver. So does silver, metaphorically speaking, glitter to the likes of gold?

Gold and silver are similar in a lot of respects. They are both metals, easy moved, difficult to counterfeit for those that know what to look for and exchangeable. But what is the appeal gold has over silver that makes it so much more valuable in monetary terms?

Gold is more transportable in that it takes more ounces of silver to purchase one ounce of gold. Also, silver will tarnish so care needs to be taken to keep the metal shiny and glittering. However, even the fact that silver tarnishes is not inherently a bad thing. Tarnishing is, for the most part, on silver coins very minor. It is important to note that silver coins have been found which date in excess of 2000 years. Silver tarnishes and this actually works to make it more useful and valuable. For example, silver and tarnish helps to create photographs. As a result, without this process taking place it wouldn’t be possible to create photographs. This makes tarnish a benefit and can actually help to raise the value of silver.

There is not as much silver in refined form as compared to gold. This means that, when it comes to supply, silver is more valuable. The vast majority of the gold mined from the Earth is held by mankind. When compared to this, there is far less refined silver available to individuals. Since it is more rare, when it comes to supply and demand, there is more of a demand for silver because the supply is so low, comparably.

Silver is also used far more than gold. For example, silver is used in photographs, as discussed above, but also in electronics and jewelry as well. Gold is used in jewelry, but less so in electronics and the like. Silver is used in electronics, such as as switches, because it is such a good conductor of electricity. Because of this, it is also used in batteries.

Still, it comes back to the problem of ratio costs. It is so difficult for individuals to see the sense in carrying around more of a certain metal when they can carry around less of another. In this respect, gold comes out ahead of silver. However, this does not mean that silver cannot hold its own, nor does it mean that silver cannot glitter in the manner that gold does. There are so many uses and functions of silver, making it a perfect metal for so many endeavors in its own right.

Manni Countreau is a car insurance broker in Cambridge, and an avid investor.  Although many people have been aggressively investing in gold in recent years, silver has a great deal of lustre as well.  There are plenty of wise investments out there.  It usually isn’t wise to invest with loans or credit cards.  The cost of precious metals has been growing quickly in recent years, but compounded interest usually grows much more quickly.

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