Buying gold and silver is a great way to protect yourself and your family from the potential consequences of a major economic downturn. There are a few factors to consider before investing. This article will help you understand how to choose the right investment for your needs and circumstances.
Industrial demand
Besides its role as a currency, silver has long been used for day-to-day conveniences. This is because of its excellent electrical conductivity. Silver can also be used to produce useful industrial chemicals.
Silver’s industrial demand is primarily driven by the photovoltaic industry. This industry uses silver as an input in the production of solar panels. In 2000, the photovoltaic industry consumed about one million ounces of silver. By 2008, the industry had grown to 19 million ounces. In addition to the photovoltaic industry, silver is also used in the electrical and electronic sector.
The photovoltaic industry is expected to expand by more than thirteen percent in 2023. This is expected to drive a new record high for global silver demand.
In addition to the photovoltaic industry, the automotive sector is also expected to drive silver demand. This industry will overtake the photovoltaic industry within four years.
The energy transition is another major driver for silver. A variety of technologies are aimed at capturing carbon dioxide and other greenhouse gases. Silver will play an important role in the green revolution.
Photovoltaic demand
During the forecast period, solar photovoltaic demand in the United States is expected to exceed 125.2 gigawatts. In the second half of the forecast period, demand is expected to exceed demand in the first half.
The demand for solar PV is expected to continue to grow due to federal subsidies and incentives. However, the US solar market will remain largely obscure until the results of an anti-circumvention investigation are released in August.
While the US continues to lead the global solar PV market, Asia Pacific is the fastest growing region. This region accounts for more than half of global installations and is expected to account for more than half of global capacity in the future. The cost of solar panels has been reduced significantly over the past few years as technologies have been developed and costs have been reduced.
The demand for solar PV in Europe has also remained strong. Strong policy environments and a growing number of solar farms fuel growth in the European solar PV market.
EV production
EV production in gold and silver supply in the United States is a complicated issue. There are several factors working against the industry’s goals. The biggest obstacle is the lack of domestic mineral resource production. In order to meet the growing demand for EVs, mining operations must triple their cobalt production.
A key component of EVs is the electric drive motor. These motors are powered by alternating current induction and direct current. Other components include high-pressure hydrogen storage tanks, battery housing, batteries, and auxiliary systems.
Lithium is a key component in EV batteries. Most of the lithium deposits in the world are located in brines. Brine locations include South America and China.
In addition to lithium, other important metals used in EV batteries include nickel and cobalt. Because lithium is not widely distributed globally, it is subject to supply constraints.
Several domestic lithium projects are underway in California and Arkansas. Despite these projects, the United States currently has only one active lithium mine.
Ancient Near East uses of precious metals as a means of payment
During the Middle Bronze Age, the use of precious metals as a means of payment was widespread in the Near East. The main written language of the region was the Akkadian script. This script was used for nearly three thousand years. The last known cuneiform tablet dated to the first century AD.
The Akkadian script remained the primary written language of the Near East until the collapse of the Persian Empire 330 BC. In addition, the script was adopted by the Hittites and the Indo-European peoples of the region.
Early in the Middle Bronze Age, agricultural societies began to look westward for staples. This led to the development of cities that incorporated older towns. Now in modern day, IRA accounts with precious metals gives the asset a new use. These cities began to ship resources to the Near East. Merchants and traders used their capital to loan resources in the form of bullion to other traders. Liquid assets were always scarce in agricultural societies, so the use of precious metals as a form of payment was inevitable.