| Posted: November 26, 2009, 2:30 am - IP Logged | |
"imagine if 20 years ago someone won the Zimbabwean Lotto for $10 million and took an annuity?"
How would that be different than having taken the money up front and invested it? Inflation affects the money you have now as well as the money you earn in the future. Of course you can eliminate effects of Zimbabwe's economy by investing on other countries because Zimbabwe's economy is far too small to have much effect in other countries. If you live in a country with a major economy and that economy suffers major dispruptions other economies will also be affected. That means that investing in those other economies may not do much to shield you from the economy at home. If you think that now is a good time to buy gold as a long term strategy you're being very optimistic about future prices of gold compared to historical prices.
