googoo, You completely miss it, if you extraoplate the right most part of the chart, you will see that within 10 years the DJIA will be at -15,000!!!! Who wants to owe money on all their stock, only idiots want to pay money now for something that will be worth a negative amount baed on the current growth rates of the last year.
Gold is the only salvation, it has gone up ~100% per year the last couple of years.
you pick: In ten years do you want to have million$ of dollar$ in gold , or owe money on your stocks
See the choice is simple... just like going to Zimbawee, everyone there is rich because they are all billionares!!!
I think you completely miss it, because you can choose any two time periods if you wanted to do so and get different numbers. Forget about the right chart. look at the whole chart and what do you see? you see a sustained upward trend. so historically, yes the trend has been upward. you seem to think the us economy is going to keep continuing to sink. if i invest now and the DJIA goes to 15k in 10 years, how am i paying money now for something that will be worth negative? let me do simple math: today DJIA is around 10600, in 10 years you say DJIA will be 15k, add in dividends and compounding, and that doesn't seem like i'm losing money. or how are you defining growth rate? are you defining growth rate as economic growth rate or DJIA growth rate, because going from 10600 to 15000 is a pretty good growth rate.
For your premise of negative growth rate to hold true, the u.s. economy has to be like zimbabwe and have negative or depressed growth and hyper inflation in your ten year scenario, which is highly unlikely, even with the mess we are currently in. even if the u.s. suddenly collapses, the rest of the world would precipitously collapse as well, and the ratios would still be in our favor. if we were like zimbabwe, gold would be meaningless as there wouldn't be a market to trade gold.
gold isn't the only salvation and it too will precipitously drop. if you looked at gold prices historically, you would have lost out since not only was it flat, but the price wasn't keeping up with inflation and in fact until 2002, it was decreasing. just like in late 70s to early 80s gold bubbled and precipitously dropped and dropped hard. gold is at a bubble now as well and will invariable drop and drop fast. if you bought gold when it was rising early this year and spiked over $1000/oz compared to now, you would be at a serious loss, too. in ten years, let alone 5 years, tell me how you feel about gold. again you can use any two time periods you want to, but that isn't always going to lead you to anything. you shouldn't be basing your investments on a chart by itself anyways and shouldn't be basing it off of hindsight, which you seem to be doing. the biggest reason gold will plummet is because the fundamentals of supply and demand for gold just don't justify the price and has not justified the price, that is why gold prices have been historically flat and depreciating. the only reason we see a spike is because of people's antiquated notion of gold. when there was a gold standard, the case for flocking to gold may have been justified, but not anymore since we aren't on the gold standard. moreover, gold prices aren't necessarily the true cost of gold, because what you can get for gold is scrap cost. i think you should look at the fundamentals before making vast generalizations like you will lose your shirt on the market and be rich off of gold.
last, i don't get your last comment about all Zimbabweans being billionaires. everyone is billionaires in zimbabwean dollar because inflation is well over 100,000% and it takes a billion zimbabwean dollars to buy a glass of water.