Your Financial Bomb Shelter

Spooly

Your Financial Bomb Shelter


This is a really good article.

tneig

That was a certainly interesting article and view. I like how it helped me see how PMs could help during periods of high inflation.

I just don't know how most of us or anyone could have or store that much pms to meet the needs as shown in the charts.
Whether you have dollars or PMs, in the cases depicted in the article theme, most of us will never have enough.

Articles being articles, which have to pay for themselves, have some bias, and after the charts the author recommends
the Big Gold recommendations on where to buy pms.

I just don't know how one would make it through the inflation scenarios depicted without holding land and growing you own
food and the like. Sometimes ignorance is bliss.

thanks!

Spooly

tneig,

I just don't know how most of us or anyone could have or store that much pms to meet the needs as shown in the charts. Whether you have dollars or PMs, in the cases depicted in the article theme, most of us will never have enough.


I agree....... having 3 to 4 years of expenses in PM to weather a Financial Storm is a different take. I always fall into the % of assets view. You save PM's for the "just in case"...... but the real question is how long can those PM support you in a time of need. I will be looking into my personal "burn rate" to see how it pencils out.

ricko

Interesting... deserves further study as Spooly indicates.... Cheers, RickO

Mesquite

Interesting. The numbers do sound larger than I would expect. I wonder if he's making the assumption that your monthly income goes to zero? If that's the case then the numbers will be considerably lower if you're using your gold and silver as simply a supplement to your income to maintain a lifestyle. I need to give that article another read or two. But, very interesting.

cohodk

If PMs are currency, then expect them to be devalued just like any currency. People WILL find that it will take more ounces of gold and silver to procure basic goods and services. This you can be assured of.

PerryHall

<< <i>If PMs are currency, then expect them to be devalued just like any currency. People WILL find that it will take more ounces of gold and silver to procure basic goods and services. This you can be assured of. >>



How do you inflate the quantity of gold or silver? Alchemy?

jmski52

If PMs are currency, then expect them to be devalued just like any currency. People WILL find that it will take more ounces of gold and silver to procure basic goods and services. This you can be assured of.

I've never heard that one ever before. Please elaborate.

derryb

gold and silver are not currency, they are money. While all currency is money, not all money is currency. Devaluation of any money is a result of drastic increases in supply. A large increase in supply of PMs can affect their price (value) as demonstrated when central banks sell a lot of their gold. The laws of supply and demand affect all market price equilibrium, especially when it comes to PMs.

dpoole

cohodk does make an interesting point. I hadn't considered that, either.

But when you think about it, what you have in your hand is never worth more than what the other guy has in his hand. If you have a bar of gold in your hand and he has a loaf of bread, it doesn't matter what you think your gold is worth. It depends on what you think his bread is worth.

That means he's talking about the ol' SHTF scenario, though.

cohodk

Dpoole gets it.

derryb

<< <i>But when you think about it, what you have in your hand is never worth more than what the other guy has in his hand. >>


only if BOTH you and the other guy want what is in his hand more than what is in your hand.

cohodk

<< <i>

<< <i>But when you think about it, what you have in your hand is never worth more than what the other guy has in his hand. >>


only if BOTH you and the other guy want what is in his hand more than what is in your hand. >>



Hunger and thirst are VERY powerful desires.

derryb

<< <i>

<< <i>

<< <i>But when you think about it, what you have in your hand is never worth more than what the other guy has in his hand. >>


only if BOTH you and the other guy want what is in his hand more than what is in your hand. >>



Hunger and thirst are VERY powerful desires. >>


there are more important reasons to be in PMs than waiting on Mad Max to appear. Those that stack strictly for the apocalypse are wasting there money. When that time arrives even food and water will keep you alive only for so long. Why drag it out?

tneig

I'm not thinking that PMs 'ensure' your (safety net) any more than then holding cash or anything else- with all the possible caveats, selling/buying environments, risk, and big economic trouble. They provide a chance for this, but don't ensure it, because of so many variables. I still support it as 'one' of the good methodologies. I'm wise enough to know, that there are so many possibilities, I don't have a handle on it.

Its a balance, between PMs, other valued tangibles, land/property, cash, and the e-money investments (bulk of most peoples retirement investment), possible pensions, community/family, and health. I'm just hoping the system stays intact. If the tree shakes enough, many will fall hard. And if you are prepared enough, odds in your favor may increase. Utimately, you only have your wits to rely on. All of it is simply relative security within the limits of that things capability.

cohodk

<< <i>

<< <i>

<< <i>

<< <i>But when you think about it, what you have in your hand is never worth more than what the other guy has in his hand. >>


only if BOTH you and the other guy want what is in his hand more than what is in your hand. >>



Hunger and thirst are VERY powerful desires. >>


there are more important reasons to be in PMs than waiting on Mad Max to appear. Those that stack strictly for the apocalypse are wasting there money. When that time arrives even food and water will keep you alive only for so long. Why drag it out? >>




Doesnt investing in PMs seem like a slam dunk?

roadrunner

<< <i>If PMs are currency, then expect them to be devalued just like any currency. People WILL find that it will take more ounces of gold and silver to procure basic goods and services. This you can be assured of. >>



Was this the experience during the numerous currency contagians of the 20th century? (ie Weimar, Hungary, Argentina, Zimbabwe, etc).

derryb

<< <i>

<< <i>

<< <i>

<< <i>

<< <i>But when you think about it, what you have in your hand is never worth more than what the other guy has in his hand. >>


only if BOTH you and the other guy want what is in his hand more than what is in your hand. >>



Hunger and thirst are VERY powerful desires. >>


there are more important reasons to be in PMs than waiting on Mad Max to appear. Those that stack strictly for the apocalypse are wasting there money. When that time arrives even food and water will keep you alive only for so long. Why drag it out? >>




Doesnt investing in PMs seem like a slam dunk? >>


Has been, for a few years now. Will it end? Sure, but not today or tomorrow.

jmski52

But when you think about it, what you have in your hand is never worth more than what the other guy has in his hand. If you have a bar of gold in your hand and he has a loaf of bread, it doesn't matter what you think your gold is worth. It depends on what you think his bread is worth.

I disagree. Both of your opinions matter equally, about the bread AND about the gold.

You also imply that there will be as many bars of gold floating around as there are loaves of bread. That is probably never going to be the case. Ah, I see that derryb already said as much.

roadrunner makes another good point. The destruction of a currency doesn't negate the value of gold. People were burning their fine furniture for heat in Weimar, but only because they didn't have silver or gold to buy fuel oil or coal with. Granted, our society is alot different now than Weimar was - both fuel and food are still much more plentiful here.

It's hard to kill a market for anything. Markets will seek their own equilibrium, and you'll have to do a better job of convincing me that food will be as scarce as you implied.

Spooly

jmski52 is correct, America is the bread basket of the world. We have plenty of food. It just might not be Mac & Cheese in a SHTF event.

Texas:

Rich in Gas & Oil
5 million Cattle
1.5 million Feral Hogs
4 million Deer.
Billions of Fish
Millions of hunting birds.
ect...ect...ect..

In a "grocery store" shortage........ Hunters and Fisherman could make a pretty penny! People will adapt.

Who can't boil water?

City people will kill each other..... country people with a rifle, shotgun and fishing pole will eat good.

fiveNdime

<< <i>City people will kill each other... >>


" It takes all kinds of critters to make Farmer Vincent's fritters."

cohodk

and you'll have to do a better job of convincing me that food will be as scarce as you implied.

I never said anything about food being scarce, however if there are disruptions to the supply chain the food could and probably will be scarce in many areas. An ounce of gold might have much less purchasing power for food in NYC than Des Moinesa and in Minneapolis vs Houston for energy.

streeter

I do not ever see a SHTF food scenario in this country UNLESS,

virus's or bacteria are introduced into the food supply as an attempt to undermine the USA.

If people are thirsty or starving, citizens will feed other citizens. If a starving person in NYC doesn't have food, he surely doesn't have gas for his vehicle either to drive to the farm. I have seen many undernourished people in this country but never a starved person unless they did it by choice.

_______________________

Food is cheap right now. Cheap as in "REALLY CHEAP". Smart people are putting 30+ days supply away if possible and rotating it. Mark the items with a date and price if you want to see real inflation numbers.