In Answer to the Fear That is Debilitating the American Investor and Small Business Owners, Paul Winkler Shares How the Decline of the American Dollar can be Beneficial to Commerce and Why Gold is Not a Good Investment

Paul Winkler, The Investor Coach, shares enlightening video excerpts on his website on finances and investing in sharing strong, positive benefits to the decline of the American Dollar. See excerpts on why would it not be advantageous to buy gold as an investment.

Nashville, Tenn. (PRWEB) October 26, 2009 -- What if the government should default on loans and there is a great loss of the value of the American dollar? If that is the case, how does it affect the American public? Are there any positive points to be seen in this scenario? And why would gold not be a good investment? Paul Winkler, the Investor Coach, shares interesting insight in video excerpts on his website:

Paul Winkler offers encouragement to the business owner on how to capitalize in a down-turned market:

"When owning a small business, the owner is not necessarily concerned with the level of debt held by other entities. If the government is in debt, it is not necessarily their problem. If they try to raise taxes, the government knows that businesses will simply move out of the country and avoid those taxes. We've seen this time and time again," shares Winkler.

What is another possible result of the American dollar in decline? The dollar may drop in value if other nations lose faith in the government's ability to pay their debts. The result? - The drop in the dollar's value versus other currencies. "The drop of the American dollar actually leads to advantages for US exporters and an increase in the value of international investments," Paul reveals.

A smart investor, however, has these bases covered. The business owner is still selling their wares and servicing customers. The earnings of a company are a result of sales minus cost of goods, minus operating expenses, minus interest expenses, minus taxes, equaling the Company Earnings Balance.

Positive results are that the costs of operation would move to overseas as the dollar drops. International currency purchasing power is greater thus driving export activity.

Thus the positive in this scenario is that company balance sheet gets better and assets are greater than liabilities.

There has been question as to whether or not gold is actually an investment. Most investors believe that without doubt, gold should be in an investment portfolio. Paul Winkler says differently, "Gold doesn't fit the true definition of an investment. Historically some of the biggest losses that investors have suffered have been at the hand of the popular commodity of the day. Some of the most brilliant people in their fields lost a great deal of their net worth in the 'investment bubbles' of their day." An investment bubble is marked by an excessive interest by the public after an investment or commodity skyrockets in value.

Then why would gold NOT be an investment? The answer lies in the concept of cost of capital.
Winkler contends that capital markets provide multiple tools for protecting investors against inflation with far lower risk and greater expected returns than are likely to be provided by gold.

For more information on the benefits of the decline of the American dollar and more information on gold investments, visit www.paulwinkler.net.

About Paul Winkler, Inc.

The mission of Paul Winkler, Inc. is to coach people to achieve their 'True Purpose for Money™' by emphasizing shared belief systems and using one-on-one meetings, regular education seminars and workshops to stay on the right financial track through good and difficult times. Paul Winkler, Inc. offices are currently located in the middle Tennessee areas of Goodlettsville, Cool Springs and Murfreesboro. More information may be obtained by visiting the company website at www.PaulWinkler.net or by calling 615.851.1950.

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