Cav - I get your point but I think Indian is right about this city. Settling on the gold gives us a greater final production capacity for the city (more grassland windmills). We also get +1 hammer from settling on a plains hill. Settling on the gold will also result in the city producing 3 gold (+1 in every city, +1 from gold, +1 from trait). While working the gold will produce a lot more gold it only generates that gold when we are actually working the tile. Settling on the gold is going to generate 3 gold (two more than the city normally would) every turn. Short term this is a bigger benefit as we will be working food tiles for the city to grow. Long term I am uncertain what the outcome is with respect to total commerce. But long term the location is certainly better for production.