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The problem started before World War I. The gold standard was working fairly well. But it broke down because of the war and what happened in the 1920s. And then the U.S. started to become so dominant in the world, with the dollar becoming the central currency after the 1930s, the whole world economy shifted.

In reality there is no such thing as an inflation of prices, relatively to gold. There is such a thing as a depreciated paper currency.

Historically, there hasn't been a significant correlation between gold prices and U.S. elections. Furthermore, history has shown that gold prices tend to fall just before U.S. elections and rise immediately after, and this goes on until the next election.

The dollar used to be a gold standard currency. And the dollar is really good in the last century, I mean in the 19th century.

Gold has intrinsic value. The problem with the dollar is it has no intrinsic value. And if the Federal Reserve is going to spend trillions of them to buy up all these bad mortgages and all other kinds of bad debt, the dollar is going to lose all of its value. Gold will store its value, and you'll always be able to buy more food with your gold.

After the 1929 crash, the Federal Reserve mistakenly focused its policies on preserving the gold value of the dollar rather than on stabilizing the domestic economy.

But then in April of 1985 the dollar began a sharp decline. The dollar's trade weighted value fell 23 percent in just 12 months and by a total of 37 percent by the beginning of 1988.

On Friday, October 28, 2016, the FBI disclosed that they were reopening Clinton's email probe, and the same day, gold hit $1280/oz. Conversely, oil dropped by $1.33 to $45.34 per barrel, while stock prices also took a tumble.

If we did go into a recession, something that's always possible for the U.S. or Europe, we could lower interest rates and expand the money supply without worrying about the price of gold.