By Bruno Venditti – Visual Capitalist
The gold-to-silver ratio shows how many ounces of silver equal one ounce of gold. It is the oldest continuously tracked exchange rate, dating back to 3200 BCE. Historically, the ratio played an important role in ensuring coins had their appropriate value, and it remains an important technical metric for metals investors today.
This graphic shows the gold-to-silver ratio since 1869. Data was compiled by Longtermtrends.
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60% of silver is used in manufacturing, just 40% for monetary purposes. Of the 60% industrial usage, a full 80% ends up in landfills. There is only as many investable grade oz’s of silver above ground (not in landfills), as there is of investable grade oz’s of gold.