It's interesting that when gold bugs talk down the dollar they always say how much its lost due to inflation. They'll also mention how false the inflation figures are as inflation is always much higher than officially reported by the government.

But the above statement that gold bugs who bought gold in 1980 at $800 have just broken even is ludicrous. In nominal terms yes, but in real terms gold would have to rise to well over $2000 before they would break even due to inflation. Anyone who bought gold at any time during the 1980s and most of the 1990s is still sitting on a large loss.