Q: You wrote a column about gold some time back, and now I see the price is more than $1,000. How do I buy gold?

A: The very fact that so many people are now asking how to buy gold has me a bit worried. After all, the idea of investing is to buy low and sell high! Back on March 2, with gold trading at $940 an ounce, I wrote my most recent column on gold. (You can find it in my archives at TerrySavage.com; go to "Read her columns" and search for gold.)

My views haven't changed, even though gold recently traded at $1,020 an ounce -- and closed Wednesday night at $1,014 an ounce. Gold prices reflect uncertainty over the value of the dollar.

There are many who say the role of gold is limited in our huge global economy. They point to the fact that during last fall's credit crisis, the world wanted dollars, not gold. In fact, there was so much demand for the safety of dollars a year ago that the price of gold fell to $725 an ounce in November.

But in the intervening months, the Federal Reserve and Congress have created so much credit, literally "printed" money out of thin air or legislative vote, that the world is having second thoughts about the future value of our money. The value of the dollar has been sliding, and the value of gold has been soaring.

Like any other market, there will be ups and downs, and sometimes wild changes of direction. So whether you buy gold bars, or coins, or stocks, or mutual funds, or futures contracts, you'll want to understand that there is some degree of risk when you buy gold.

That said, here are a few ways to buy gold:

Gold coins. The most popular gold coin currently minted by the United States is the American Eagle, currently being made only in 1-ounce coins. Several other countries mint gold coins, notably the Canadian Maple Leaf, Australian Kangaroo and Austrian Philharmonic.

The daily price of these coins changes, depending on the price of gold. On Wednesday, with gold trading at around $1,013, a 1-ounce American Eagle cost about $1,075. Continued...