What If Hyper inflation hits and currency`s all over the world Crash?
CoinMaster1229
Posts: 1,092 ✭✭
Then a new world currency is established. Just my thoughts! A new world currency would likely be backed by precious metals.
To back all the currency in the free world, Metals would have to be valued much higher than there are now! Governments would most likely call in all bullion precious metals and pay you for it with the new world currency. But how would precious metals be priced in new World Dollars?
Then what about debts like home mortgages? would they revalue your mortgage in the new currency and reset your payments. If so
providing your able, should you try to pay down your mortgage or even pay it off with old inflated dollars before a new currency is established?
There`s a lot of gray area if the worst possible scenario comes into play. What if they choose not to back the new world currency with
precious metals, they could then reset metal prices very low! ( gold $400.00 & Silver $4.00 ) Then all the precious metal holders would be
Out of Luck. Big Time!!!!!
The only thing I can think of that might be safer all around is REAL ESTATE. No mater what happens, its usually always valuable.
Whats your thoughts on this!
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A New World Currency will also never work.
We MIGHT see a new U.S. currency......maybe even backed by metals. Not sure if that would cause the government to call in all bullion though.
A few well respected members here feel there will be some type of "mortgage protection act" passed to shelter banks from massive loss in the event of hyperinflation. That would be a real shame.
I dont understand your question about "they" resetting the price of metals. No single entity or government sets PM prices.....the prices are set by the world's "popular vote". Right now, that vote is $1500 gold, and $46 silver......and there isnt a thing any single country can do about it. It is what it is.
You talk about real estate being the "safe bet". Well my friend.....in dire circumstances, the government can confiscate (or try to) your metals. It can also jack up property taxes to the point of basically confiscation. There really is no true safe play to protect one's wealth in a time of a government desperation move. All the rules we play by currently are subject to change drastically!
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A New World Currency will also never work.
That doesn't mean they won't try to force it on us.
It hasn't stopped the Euro from being formed by the globalists (big banks & politicians), and it hasn't stopped them from using their fiat currencies against us.
I don't think anyone can predict what will happen, but I feel that something is being planned. We'll not see it coming but you can bet that those who have the power and the big money are very interested in keeping it and getting more of it. That being the case, you can bet that there is planning in the works.
Gold is a money of refuge. People all around the world recognize it as a way to resist government edict, because people all over the world and throughout history have seen how crappy living under government edict really is.
Owning real estate puts you in the position of being a target for "taxes on the wealthy". If the American Dream is alive, that's not a problem. If the ones who want to re-distribute wealth take over every aspect of this country, it makes no sense to become a tax target unless you really can afford it.
I knew it would happen.
precious metals, they could then reset metal prices very low! ( gold $400.00 & Silver $4.00 ) Then all the precious metal holders would be
Out of Luck. Big Time!!!!!
A world-wide black market behind the scenes would quicky come up to speed to handle the PM's trade at much higher levels than whatever the confiscationists would determine.
Not much different than what happens today with the illegal drug trade. Even though gold was "fixed" in price world wide in the 1960's at $35 the international price
of gold floated up to around $42-44 in 1968-69 because of inflationary effects and foreign gold redemptions. That was the first sign that you can't decree a price on a commodity as it
will just trade higher elsewhere. And that value rose despite the actions of the London Gold Pool from 1961-1968 that sold 3,000 or more tons into the market to depress prices. In 1973
the "fixed" price of gold was adjusted up to $42/oz but it was already trading at >$65 and headed to >$100 later than year.
roadrunner
Absolutely - Just ask any Russian who was around in 1917 how safe their real estate holdings turned out to be.....
Member ANA, SPMC, SCNA, FUN, CONECA
<< <i>The only thing I can think of that might be safer all around is REAL ESTATE.
Absolutely - Just ask any Russian who was around in 1917 how safe their real estate holdings turned out to be..... >>
Reminds me of the movie Dr. Zhivago where the good Doctor comes back to his house and finds a different family living in each room of his house by the order of the Bolsheviks. Now that's community organizing.
Personal, residential real estate (your home) will be ever increasingly, a tax magnet. Property taxes, utility fees, and home services (through local, state, and federal taxes on services) are all vehicles that the governments and agencies will use more and more to balance their budgets for education, healthcare, constabulary, compassionate care for the underserved, etc. The same for business properties. You are somewhat of a "captive audience" if you are successful enough to own private real estate property. No doubt the banks have realized that by holding the actual mortgage (backed by the gov. via fannie) they can make modifications to the mortgage agreements that the mortgage holders may feel are necessary to maintain a profitable situation. Expect the banks and fannie to do that with the full faith and trust of our representatives, including dipping into it a little themselves by dropping the home mortgage interest deduction and limiting the deductions and expense write offs that the businesses can take (unless, of course, you're GE).
If it was just one bank that held a mortgage then there might be a way to deal with it but now mortgages are sliced and diced into investment packages aka mortgage backed securities and sold around the world as funds so everyone is in contagaion; if one takes a hit then all the investors take a hit and that isn't going to happen. It won't happen because there is some very big money that belongs to some very powerful instututions and individuals that make it their business to make sure it doesn't happen.
If you own property or a business, yep, you're a target but what are you gonna do, rent, like you did when you were 20? I've been practicing touching my toes, maybe that will help.
That's why they invented state's rights. If California, Nevada, New Jersey, Illinios and Florida get bailed out, you will know we've lost and you should plan accordingly.
I knew it would happen.
foreseeable future. What ever value above the mortgage , will soon be taxed
by a cap on interest payments and high property taxes. We are now entering
the age of renting as the smart move for smart people. It is true, desperate
Governments around the world, in concert with big money interests, will take
the wealth needed to continue the Ponzi Scheme by changing all the rules of the
game.
Something big is being planned and We The People, as usual ,will be the
last to know until it is too late. I really do not see much hope of a safe landing for
working people other then to rely on you own capacity to survive in a world of
declining wealth, opportunity and security. We appear to be approaching one of those
major turning points of history. I am not sure that Gold and silver stacking will necessarily
save us . However, I suppose, we must try to do what we can to survive and hold unto whatever
wealth we may still have.
Camelot
My mother is from Czechoslovakia which no longer exists. Now two countries. My grandmother was a merchant who owned three homes and a store-all confisicated by the Communists. Mom came to the U.S. with her two sisters with nothing but a suitcase. Luckily she had relatives in Canada who helped her with our trip over on the Queen Mary. She was 18 and worked as a nanny for 10 years saving $10,000 since her room and board were for provided. She worked for a Jewish family who owned some hotels. To this day she thinks of them as her second family, though all have since passed.
Box of 20
by gold or silver or both. This will prove more of a psychological factor for the masses then a true
gold backing ,as you will not be able top redeem the dollar for gold. Also this must be accompanied
by appropriate tax increases and elimination or reduction in ludicrous corporate welfare as well as
some painful cuts in programs impacting all the people of the Nation. I do not believe that any portion
of the population should be totally free from paying income tax. It is the price one pays for living in this
Land.
Republicans would be more ammenable to reducing the amount of deductions and reducing the existing
dollar caps as it could then be said " We did not raise taxes" even thou we all know a dollar out of ones pocket
is a dollar out of the pocket even though it is necessary to stabilize the economy and well being ofthe Nation snd
all of the people. I hope that our sad sack of elected officials can raise their sorry heads from the backside of vested interests
and lobbyists, to do what uis right and proper. Do what they were in fact elected to do. Enact legislation to guard and protect
the well being of the Nation and all of its people in a fair, reasonable and honorable manner.It is a consummation devoutly to be wished
for,but perhaps, unlikely to achieved.
Camelot