b'By Jim and Bobbi Jeen Olson,WesternTradingPost.comT here is an old saying which goes something like this, A good pistol is always worth an ounce of gold. Having heard that many times in the past, and in reviewing articles written over time, this author decided to revisit the subject from a slightly different angle.Looking back over the last 150 years or so, the saying has remained true for part of the time. However, there were also discrepancies in the price of an ounce of gold and a good pistol (even a good Colt pistol, as was commonly used as the benchmark). At times the spread was fairly substantial. But when reviewing the collectible versions of each, namely a Colt Single Action Army pistol and a $20 Gold Double Eagle (both of late 1800s vintage), they seemed more closely related. Our focus in this article will be on the antique $20 Gold Double Eagle and Colt Single Action Army pistol because they are of greater interest to collectors.In 1873, an ounce of gold was worth $20.67 (as set forth by Congress under the Fourth Coinage Act). At that time, the dollar was officially put on the Gold Standard by President Grant (replacing silver) and this remained the case until 1971 (when President Nixon took the dollar off the Gold Standard).Coincidence or not, it is an interesting fact. And it Coincidentally, in 1873 when the Colt Single Actionis good news to people who collect as a potential Army came out, it cost roughly a $20 Gold Doubleinvestment. While the purpose of this article isColt Single Action Army, 1876Eagle to purchase one ($17.50 to be exact, but withdefinitely not to give financial advice, it accessories, it could easily come to $20). And if you$20 Gold Double Eagle, 1897look over random times in history between then andis interesting to note that at pretty now, you will see a close correlation between the valuemuch any time in the past, of the $20 gold coin and the Colt pistol.if you invested in atook just under $4, to be worth about $20 Gold Doublethe same as a $100 bill today. Another Colt Single Action Army pistols (often referred toEagle, orway to look at it is, if you had $100 as the gun that won the west) are among the mostwhat wouldback then, it would be like having desirable revolvers to collect and are highly soughtnow beover $3000 in todays money when after. The same can be said about the $20 Gold Doubleconsideredgoing out to buy something. Eagle. Even though the value of the coin is closely tiedan antique Colt to the price of an ounce of gold on the open market,pistol, over timeSo back to our point that a $20 Gold Double Eagle or they also possess what is known as numismatic valuethe investmenta Colt Pistol, as a collectible investment, was better (which means they are more valuable than theirwould drasticallythan keeping it in US dollars, had you spent $20 on weight in gold because of collectability). At the timeoutperformeither of those items back in 1913 and sold them of this writing, an average condition $20 Gold Doublethe U.S Dollar.today, you would have over $2000. While if you had Eagle will sell for around the low $2000 range whichMeaning, thata $20 bill back then and just saved it, you would still is closely correlated to the value of a Colt pistol ofowning some goldhave $20, but would have lost 96% of your purchasing average condition from the same era. Of course,coins or Colt pistolspower between then and now. Even assuming you there are exceptions. There are certain coins that sellleaves you betterhad put it in an interest-bearing savings account, you for many times that amount, just as there are certainoff financially thanwould still have less than $200 today (assuming a 2% pistols that will sell for many times that amount (andjust saving money.Accordingaverage rate over 100 years). Not that we are telling poor examples can go for less). But in general, theto statistics readilyavailable online,you to go out and invest in $20 gold coins or Colt average gold coin and average Colt pistol are stillbetween the early 1900sand now, the U.S.pistols, but facts are facts and these are interesting worth approximately the same amount of money todollar has lost more than 96% of its purchasing powerones. There is another old saying which comes to collectors that being around $2000 each, with finerit once had, largely due to inflation. For example,mind, God, gold, and guns is what made America and more rare examples going up from there. 2022 metrics show that $1 in 1913 would equate togreat. Whether you agree with the statement or not, over $30.00 in purchasing power today.it is a hard argument to overturn without making up Is this just a coincidence? While the actual price of analternative facts and using opinion. And historically ounce of gold and a brand new pistol often vary fromWhat does the purchasing power of a dollar mean?gold and guns have definitely outperformed US each other over time, in the collectors world, the priceSimply put, it is how far your money goes whendollars when it comes to beating inflation. Why have of a $20 Gold Double Eagle and a Colt Single Actionpurchasing goods or services. You see, it really doesntthe two collectibles remained so closely correlated Army (of the late 1800s period) have remained closelymatter how much money you haveas it does how farthough? Perhaps it is because both are considered correlated (when researching random time periods).it goes when you spend it. In 1913 the Federal Reserveto be desirable to collectors at about the same rate. Act created the Federal Reserve Bank and back then, itHappy Collecting! 32 March 2023'