Safe course of action given economic collapse possibility
Here is an edited version of a letter I sent to my father (some portions deleted/re-written)
Father,
I think it would be wise to avoid paying too much attention to relatively unimportant matters--such leads to insufficient attention being paid to relatively important matters.
Large numbers of intellectually impressive, well informed people in the US are advising that people should purchase storable durable survival food, water purification equipment, replacements for electrical power, gold, silver, guns, and ammunition etc in preparation for the imminent economic collapse in the US. This collapse is expected to be world-wide and is expected to reduce stock investment type wealth by at least 50%. It is expected to involve hyper-inflation. It is expected that there is a high probability that the national and worldwide collapse will lead to at least temporary inability to obtain foods and other goods from stores.
The idea is that since the US has been importing more than it exports, printing up money, borrowing money from foreign nations, selling its assets such as ownership in companies and ownership of roads to foreign nations, things have reached the point of collapse.
It is predicted that the value of invested type wealth like stocks and trust fund accounts will decline radically in terms of its ability to purchase things in the future; thus it is advised that such wealth be used before hyperinflation drives up the price of things like survival foods.
A minority sees a possibility of deflation, falling prices, as opposed to inflation in the future. The real issue regardless of whether deflation or inflation occur is, to what extent incomes derived from wealth employment and govt benefits will keep pace with prices, and things do not look good with regards to such.
There are various alternatives for funding the purchase of things like survival foods:
I can use [deleted].
I can use [deleted].
I could [deleted].
You could use [deleted].
It seems the probability that buying some survival foods type stuff would be a good idea is higher than many think it is. I think it is more likely that buying survival foods type stuff is a good idea, compared to the likelihood that investing in gold and silver is a good idea; that does not mean I am now convinced that it is very likely that investing in gold or silver is a bad idea. Alot of the smartest sounding investment gurus have been saying that the value of stocks and bonds will fall dramatically while at the same time the value of gold and silver rises dramatically.
Root causes of possible collapse in investment wealth values that come to mind: declining sales and profits for companies; declining value of money as money is printed and counterfeited; declining ability of borrowers to repay loans; increasing riskiness of lending money; gold not degrading in value like a car kept in a garage for 30 years or milk kept in the refrigerator for 5 years; the importance of gold not declining in value due to storage being increased due to a decline in demand for stored goods.
Some countries produce much more gold than others. Some countries store much more gold than others. The question is whether the nations that are not big gold-producers and gold-hoarders, take steps to insure that they do not suffer financially due to an artificial overemphasis on gold as a defacto form of currency. Gold is of limited value in the actual practical industrial sense.
Re Apple and its iphone, and how some trust money is invested in Apple, a scary development is that the great Google company of search engine fame has come out with some competitor to the Apple iphone.
Looking at the situation I think of the reasonableness of playing it safe.
If survival foods do not end up having to be used due to societal economic collapse, they can still be used even when the society has not collapsed, as a result one has to spend less on food due to having the survival food. Similar situations can hold re equipment that replaces electricity, warm clothing that staves off lack of heating, and transportation devices that function using minimal fuel energy purchased with a view to energy scarcity scenarios.
Even if survival foods end up not being needed due to societal collapse, the future is a situation featuring continued demand for persons with expertise in subjects such as survival foods.
As far as the guns and ammunition thing is concerned, one can imagine that economic breakdown could result in: underpaid corrupt police; insufficient numbers of police; large numbers of criminals; criminals being financially powerful compared to law enforcement; criminals overwhelming law-enforcement. Such creates a vacuum into which step gangs that collect tribute and keep the peace.
Some do not want to or are not allowed to own or operate a firearm. A solution could be to be part of some group of firearms owners, even though not operating a firearm oneself.
Some do not have a garden to grow food in as advised by the experts who predict doom. I suppose a solution to this would be to join some group of gardeners and work with them despite not having a garden. Problem is that in a state of societal collapse one must be able to secure one's garden and its produce from confiscation and seizure by criminals.
Seems from the gloomy survivalist's perspective, an ideal solution would be to merge a gardener group with a firearms group.
-- David Virgil
@2008 David Virgil Hobbs
Father,
I think it would be wise to avoid paying too much attention to relatively unimportant matters--such leads to insufficient attention being paid to relatively important matters.
Large numbers of intellectually impressive, well informed people in the US are advising that people should purchase storable durable survival food, water purification equipment, replacements for electrical power, gold, silver, guns, and ammunition etc in preparation for the imminent economic collapse in the US. This collapse is expected to be world-wide and is expected to reduce stock investment type wealth by at least 50%. It is expected to involve hyper-inflation. It is expected that there is a high probability that the national and worldwide collapse will lead to at least temporary inability to obtain foods and other goods from stores.
The idea is that since the US has been importing more than it exports, printing up money, borrowing money from foreign nations, selling its assets such as ownership in companies and ownership of roads to foreign nations, things have reached the point of collapse.
It is predicted that the value of invested type wealth like stocks and trust fund accounts will decline radically in terms of its ability to purchase things in the future; thus it is advised that such wealth be used before hyperinflation drives up the price of things like survival foods.
A minority sees a possibility of deflation, falling prices, as opposed to inflation in the future. The real issue regardless of whether deflation or inflation occur is, to what extent incomes derived from wealth employment and govt benefits will keep pace with prices, and things do not look good with regards to such.
There are various alternatives for funding the purchase of things like survival foods:
I can use [deleted].
I can use [deleted].
I could [deleted].
You could use [deleted].
It seems the probability that buying some survival foods type stuff would be a good idea is higher than many think it is. I think it is more likely that buying survival foods type stuff is a good idea, compared to the likelihood that investing in gold and silver is a good idea; that does not mean I am now convinced that it is very likely that investing in gold or silver is a bad idea. Alot of the smartest sounding investment gurus have been saying that the value of stocks and bonds will fall dramatically while at the same time the value of gold and silver rises dramatically.
Root causes of possible collapse in investment wealth values that come to mind: declining sales and profits for companies; declining value of money as money is printed and counterfeited; declining ability of borrowers to repay loans; increasing riskiness of lending money; gold not degrading in value like a car kept in a garage for 30 years or milk kept in the refrigerator for 5 years; the importance of gold not declining in value due to storage being increased due to a decline in demand for stored goods.
Some countries produce much more gold than others. Some countries store much more gold than others. The question is whether the nations that are not big gold-producers and gold-hoarders, take steps to insure that they do not suffer financially due to an artificial overemphasis on gold as a defacto form of currency. Gold is of limited value in the actual practical industrial sense.
Re Apple and its iphone, and how some trust money is invested in Apple, a scary development is that the great Google company of search engine fame has come out with some competitor to the Apple iphone.
Looking at the situation I think of the reasonableness of playing it safe.
If survival foods do not end up having to be used due to societal economic collapse, they can still be used even when the society has not collapsed, as a result one has to spend less on food due to having the survival food. Similar situations can hold re equipment that replaces electricity, warm clothing that staves off lack of heating, and transportation devices that function using minimal fuel energy purchased with a view to energy scarcity scenarios.
Even if survival foods end up not being needed due to societal collapse, the future is a situation featuring continued demand for persons with expertise in subjects such as survival foods.
As far as the guns and ammunition thing is concerned, one can imagine that economic breakdown could result in: underpaid corrupt police; insufficient numbers of police; large numbers of criminals; criminals being financially powerful compared to law enforcement; criminals overwhelming law-enforcement. Such creates a vacuum into which step gangs that collect tribute and keep the peace.
Some do not want to or are not allowed to own or operate a firearm. A solution could be to be part of some group of firearms owners, even though not operating a firearm oneself.
Some do not have a garden to grow food in as advised by the experts who predict doom. I suppose a solution to this would be to join some group of gardeners and work with them despite not having a garden. Problem is that in a state of societal collapse one must be able to secure one's garden and its produce from confiscation and seizure by criminals.
Seems from the gloomy survivalist's perspective, an ideal solution would be to merge a gardener group with a firearms group.
-- David Virgil
@2008 David Virgil Hobbs
Labels: economy collapse economic, foods, survival, survivalist
posted by David Virgil at 4:42 AM
0 Comments:
Post a Comment
<< Home