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 Replies: 338 / Views: 21,586 |
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Pillar of the Community
United States
4008 Posts |
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That's what PMs do! That's a fact, Angel. It is one of the best reasons to have some of our savings in this form of money. Inflation is practically always a paper money effect because those who print that stuff cannot resist the urge to print more than is needed to facilitate the efficient transfer of goods and services in a national economy. They ALWAYS want to spend more than they have, so they resort first to stealing er, borrowing, from future generations and then to printing more and more paper. Money that is created out of thin air eventually cheapens the entire money supply to the point that it is virtually worthless. The only real doubt about this outcome is in how long it takes. Quote:
I just can,t pass it up. Is the Grinch Mom? I don't have any idea what this means. If you are referring to my Mom, she is 84 years old and not in control of my life or finances.  |
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Pillar of the Community
United States
2168 Posts |
Our whole money system except coins (mainly nickels and pre 1982 pennies) is a house of cards just waiting to collapse. Very frightening
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Pillar of the Community
United States
4008 Posts |
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Our whole money system except coins (mainly nickels and pre 1982 pennies) is a house of cards just waiting to collapse. Very frightening If that was the extent of it we could probably work out that kind of a problem and move on. Unfortunately, we have a lot of problems in the economic / financial areas right now. They are not only very large but are getting larger by the day. Spending 40% more than we take in is absolutely insane. That does not work for an individual, a family, or a business. What in Heaven's name makes the politicians think that it will work for a country? It won't. By the time that they figure out that it won't, we will all be in for some terribly times. |
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Pillar of the Community
United States
2168 Posts |
Yes you are right. I just recall reading when Argentina s currency collapsed the paper currency was devalued and coin was kept and those with coins and of course PMs faired better than those that didnt
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Pillar of the Community
United States
4008 Posts |
Mexico has opted for another choice in the past. Rather than a collapse, they have devalued their peso, making it worth about 25-30% less than it was prior to the devaluation. This seems like a more orderly mini-collapse. It's bad for anyone holding that currency but maybe not as bad as having the system totally collapse.
As far as the US is concerned, we seem to be entering some uncharted waters in the financial realm. Lots of things are happening now that seem weird because they have never happened before. We just can't know what the eventual outcome will be from all this.
This is why collecting some PMs makes good sense. PMs are about the best insurance you can have against financial disasters. Having $10k worth of FRNs in the bank is fine but $10k worth of stacked PMs could mean survival if the dollar crashes and the banks are all closed. Not saying that this is likely but it sure seems possible. Isn't that why we buy insurance... to defend our wealth against the unlikely but possible big problems out there?
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Pillar of the Community
United States
2168 Posts |
Ed just wondering what your feelings are on the possibility of the govt confiscating PMs? Thanks
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Pillar of the Community
United States
1432 Posts |
Taking a detour back to the title of this post, I went to the local gold/silver buyer today to get a scale. Had no intention of buying any coins but while there I thought why not check into ASE's for the grandkid's birth years. Picked up a 1998 & 2000 for $35/ea. I thought I did OK - do you  |
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Pillar of the Community
Canada
1502 Posts |
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Pillar of the Community
United States
2168 Posts |
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Pillar of the Community
United States
4008 Posts |
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Ed just wondering what your feelings are on the possibility of the govt confiscating PMs? Thanks That's a tough question, Angel. We do know that the US federal government did have a gold confiscation via presidential order in 1933. The government did not steal the gold but they did require citizens to sell it to the government for the then current price of $20.67, IIRC. Anyway, we know that this is a possible outcome because it has happened before. Anything that happens once can happen again. It is hard to say what will happen when the government becomes sufficiently desperate for money. It is possible that they will do all manner of things that now seem impossible in order to get it so that the house of cards financial system can be maintained for a little longer. Gold ownership is not all that widespread these days, so seeing the gold owned by US citizens as a hoard to be grabbed doesn't make as much sense as it did back in the days when gold was MONEY and in wide circulation. Silver is more widely owned but it isn't all that common either. It also doesn't have the value that gold has per ounce, so might be more trouble to collect than it is worth. I'm more concerned about the government grabbing retirement plan money via a requirement for us to have "safe and secure" government bonds as a significant part of our portfolio. There's several trillion dollars invested here and mostly in concentrated form at a few dozen trustees. Grabbing this would be a LOT easier and a LOT more lucrative for the government than ferreting out our gold and silver. |
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Pillar of the Community
United States
2168 Posts |
Yes I agree on the retirement money. We were all guided to save for our retirement tax free and company match etc now that wonderful large some of money is just sitting there. The IRA money is a separate line item banks have to report so they know exactly how much is there and the Roth IRA is eveN worse for the govt no tax to be collected at withdrawal. Pensions are another thing I think they would like to mix in somehow as well
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Rest in Peace
United States
9104 Posts |
The gubmint can confiscate anything they want. The first way is called taxes. The second is inflation. When they have such simple "voluntary" ways to steal our money, why bother with something requiring fizzical exertion, unless they actually need the PM?
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Pillar of the Community
United States
2168 Posts |
Yes I agree. It just seems the more they get the more they spend and a lot of the spending is on watching us not any protection.
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Pillar of the Community
United States
3540 Posts |
I actually slacked off of buying bullion or 90%.....and buying coins with numismatic value.
The numismatic market is, IMHO, a BUYER's market right now.
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Pillar of the Community
United States
4008 Posts |
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The gubmint can confiscate anything they want. They sure can. The question is WHAT will they grab and how overtly are they willing to do it? There will be a political cost to be paid if they mess with retirement money, though. Millions of very angry voters will be difficult to deal with politically... unless they are ready to go all in on a full blow we-don't-need-no-steenking-elections-no-more tyranny. Not that they haven't done some of this already with their messing with the pensions of federal employees. Maybe that was just a test case for openers? Quote:
When they have such simple "voluntary" ways to steal our money, why bother with something requiring fizzical exertion, unless they actually need the PM? Not that any government action requires rational thought before it occurs. :-/ |
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Posted 12/04/2011 6:40 pm
