Pick a commodity, say oil, if you averaged out the cost of a barrel of crude oil over the last forty years, and compared it against the value of gold, and then USD, you might be surprised. http://www.kitco.com...f/au75-pres.gif http://www.wtrg.com/...ilprice1970.gif Yes there are other factors, fluctuation occurs, and money could be made, but I still wouldn't consider it much of an investment. 2002, 1oz gold = $350 2010 1oz gold = $1400 2002 1 barrel crude oil = $27 2010 1 barrel crude oil = $80 $350 / $27 = 13 barrels of crude oil could be purchased with 1oz of gold in 2002. $1400 / $80 = 17.5 barrels of crude oil could be purchased with 1oz of gold in 2010. The price of 1oz of gold in USD in 2002 was $350, and in 2010 it was $1400. So you think you made four times your money, yet you can only buy an additional 4.5 barrels of crude oil, so yes you did get a return, but it isn't anywhere near what you think you got (58.5 barrels). If you did the same thing as above for 1990 to 2000, you would have gone from 13 barrels to 9 barrels, so yes it fluctuates, markets aren't simple, but if you continue to do this over and over, you may have a different opinion on gold and investment.