The Intrinsic Value of Stocks, Real Estate, and Precious Metals

by Tom Murcko
Stocks have intrinsic value, because they represent partial ownership of an entity with the power to earn money and eventually distribute it as dividends. Real estate has intrinsic value, in that its owner can charge a rental fee for its use. Gold and other precious metals do not have intrinsic value, nor do art or other collectibles. Their prices rise and fall based on whatever people are willing to pay for them.
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