Posted Wed Feb 6, 2002 4:48 PM
I'm not sure about the silver thing, though it sounds familiar...
But think of it this way:
There are 5000 Gerfs in the world. Each one sells for $1 each. Total value? $5000.
Now, you start buying Gerfs, because you know they're going to be collectable. Pretty soon you've spent $2000 and have 2000 Gerfs. But now others start to come into the picture, and the price goes up to $2 each.
Okay, that's still good, so you drop another $2000 on Gerfs, only this time you only get 1000 of them for the money. Price goes up again.
How much are those last few Gerfs going to cost? And how much have you spent in total?
Sure, you've driven the price up, but you've been paying increasing prices the whole time. Now you want to sell them. You'll make peak price on the first 1000 or so that you sell, but then it becomes obvious that Gerfs aren't gone, so the price drops. And drops.
You may profit, you may not. With luck you at least break even. But you no longer control the Gerfs. Every one you sell takes that control from you, but that's why you bought them in the first place, right?