It used to be that gold was the basis of a nations' economy. A nation that would have more gold reserves would be considered as having better wealth. Having more gold reserves means a country is in pink financial health! That's the reason conquering countries, during wars, try to get all the gold from a country they reign supreme. Yes, I think it's better to use the word wealth here instead of economy in referring to the stature of a country when it comes to economy. The reserves are in gold bullion that has a specific weight, shape and purity.
My father and older brother were mining and metallurgical engineers respectively, but they never told us how the gold they mined was refined, smelted and delivered to wherever it ended. With that alone, we are made aware on how valuable gold really is! As far as I have been aware of, it is delivered to the Central Bank or Government Bank where they melt the gold and shape them to bullion with corresponding codes or serial numbers, whatever. There is no way to directly buy gold bullion from the mines that produced them!
As of late, the city we are in is no longer a center for gold mines. Well, most of the mines that surrounded our city were primarily copper mines and gold was only a by-product. This means that there was, or is, more copper produced than gold! The City of Baguio was a product of copper and gold mines around it. A city or locality's wealth is based on its produce. Simply said, our city thrived from these mining firms and was virtually made from gold.
Gold has an intrinsic value that means it will never go out of 'style' or demand. From its use as jewelry to electronics, it will stay and forever be there. Compared to diamond, I believe gold has more use and should be more valuable in the long run.