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 Replies: 24 / Views: 3,013 |
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Valued Member
United States
103 Posts |
Read this in a book the other day - forget the name of the book - it was in the doctors waiting office lol
"Hearing a lot about about "when the dollar fails, precious metal prices will skyrocket"
Or..."I'm investing in precious metals for when the dollar fails."
My questions is....
who cares if the dollar fails
Lets say it does fail, and all our precious metals are worth 10,000 dollars an ounce.
Yeah....so....
What are we gonna do with it?
No one's going to be able to buy it off ya....because "the dollar failed"
Food, clothing, shelter, and other necessities won't take precious metals because they can't sell it for anything.
What's all this talk about "when the dollar fails" "
Edited by Forum Mom to remove asterisks used to circumvent the bad word filter and undesirable word from title. This is a reminder that circumventing the bad word filter will not be tolerated and to consider your titles before posting. This is a family-friendly forum.
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Moderator
 United States
16679 Posts |
This is again, the armageddon theory. The worst case possible scenario is the U.S. economy will collapse, and PM's will be the only bartering power to buy goods and services. Here is my theory. If it really came to all that, moving to a desolate area with your seeds, water, firearms, clothing, and survival supplies, would be the way to go. Again, I know it's bad right now but, I don't think it will get to the last resort stage yet. Buy key dates  swcoin.ecrater.com
Edited by vermontensium
07/29/2011 04:51 am
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Pillar of the Community
United States
931 Posts |
If precious metals are the richest retainer of fiat currency value you will simply have more fiat currency than the guy that never protected himself. You will maintain the buying power of the currency that you traded for the gold. The dollar will still have some value and there will be people to buy our gold. The Swiss and the Canadians and other similar frugal nations will be the fat cats licking their chops and picking the meat from the bone of anything worth having.
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Pillar of the Community
United States
1391 Posts |
"Food, clothing, shelter, and other necessities won't take precious metals because they can't sell it for anything."
You do realize that just because a currency fails it doesn't mean commerce fails. People still need to make a living after a collapse. It's not like people magically disappear after a country fails. There were still farmers after Rome fell. There were still people selling swords and plows. People selling seeds to the farmers. Contractors building houses and people buying land. Commerce will continue going on, and people will be paying for guns, food, seeds, land, cloths, medicine, labor, etc. with gold and silver. Just like they have done for millenia. Just like they have done after all the previous failures of government. And just like they will continue to do long after our nation is a nation that children read about in their history books.
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Valued Member
 United States
103 Posts |
allranger - this is a (as best I can remember) a quote from a book I read. I believe it was called, "Why the economy sucks....and other stuff"
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Moderator
United States
189222 Posts |
Quote:
...and people will be paying for guns, food, seeds, land, cloths, medicine, labor, etc. with gold and silver. Or people will trade guns for food, food for clothes, clothes for medicine, etc. Bartering existed long before money, and that includes the use of gold and silver. In my opinion, stocking up on necessary commodities will help you in the collapse just as much as (if not more than) stockpiling precious metals. Think about it. Were those bomb shelters from the cold war filled with gold?  |
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Pillar of the Community
United States
830 Posts |
Quote:
stocking up on necessary commodities will help you in the collapse just as much as (if not more than) stockpiling precious metals. I agree with that   |
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Pillar of the Community
United States
1391 Posts |
Fair enough. I went back and re-read your post and think I misunderstoond the tone the first time... I blame it on being early in morning the first time I replied. Although I am also worried about the economy I don't think we are headed to a Mad Max senario anytime soon. I also suspect that if the government were to collapse a new one (or multible ones covering smaller areas) would take its place. Sure the transition period may not be all that awesome, but things will rebuild.
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Bedrock of the Community
United States
14454 Posts |
the thing isn't no one will be able to buy the precious metals, its that if the dollar fails the dollar is no good and all you will have is the precious metals to swap for the things you need instead of the dollar. That is what all these doomsday people are saying Quote:
No one's going to be able to buy it off ya....because "the dollar failed"
Food, clothing, shelter, and other necessities won't take precious metals because they can't sell it for anything.
You are wrong, if you look back in history the ones that had precious metals could pay for the things they needed because the US is not the only country in the world, so there will be plenty of people that trades with other countries that will take the precious metals because the other countries money system doesn't fail just because the US Dollar does |
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Pillar of the Community
United States
4008 Posts |
Nice hoard, Thunder. Well done. Quote:
Bartering existed long before money, and that includes the use of gold and silver. Yes, indeed. Gold and silver are convenient forms of exchange, though. Far easier to drag around a small pouch filled with gold and silver coins than a herd of cows, 500 chickens, or 6 tons of wheat. Quote:
Think about it. Were those bomb shelters from the cold war filled with gold? Maybe not, but US bomber crew members carried gold coins as part of their survival kit for decades. These can be traded for food, water, shelter, medical care, or anything else a downed pilot might need. On top of that, the US government once offered $10,000 in gold for the return of any living downed crewmen as extra incentive to get those men back alive. Doubt if they still do that these days, though, but who knows? |
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Pillar of the Community
United States
1150 Posts |
We should all be prepared for any possibility.
Gold and silver are UNIVERSAL forms of payment. They are better than mastercard, because they truly are 'accepted everywhere.'
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Valued Member
United States
103 Posts |
mitchhailey I've already given you numerous situations where gold and silver have no value
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Pillar of the Community
United States
931 Posts |
I have a nice low mileage Z06 Corvette. In a Mad Max scenario this car would definitely outrun all of those bad guys roaming and scavenging. Would I sell it for gold or silver? Absolutely.
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Valued Member
United States
299 Posts |
Most of these "Armageddon" scenarios I read presuppose an "Event" that takes place in a day or a week causing institutions to topple suddenly and violently.
I do see this happening to the dollar, our political system, and society, BUT I see it happening more slowly, bit by torturous bit. The Event is happening now already, but like the frog in the hot water brought to boil, most folks are not noticing it
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Pillar of the Community
United States
4008 Posts |
I agree, Piffin. Events like this are so obvious in hindsight but at the time take on the appearance of slow-motion train wrecks.
I don't believe that the US dollar will fail but that it will be devalued, either voluntarily by the US government or involuntarily by the world markets. It could lose its world reserve currency status and be replaced by a basket of other currencies. A basket currency would be more stable and less prone to being devalued. For lack of a better example, the G8 countries plus a couple of others could be included in the basket. One advantage to this is that it prevents any one country from unlimited currency printing. While such a limitation might be hard in the short term on countries that do print lots of currency, it would be a stabilizing influence on world markets in the longer term.
I am not happy about having a devalued US dollar, not by any means. I can recognize the possibility, though, and take whatever steps seem prudent to protect myself and my family from the worst of whatever financial problems result.
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Pillar of the Community
United States
667 Posts |
I don't know why everyone is so fast to say in bad times even gold is not good.
Back in the 1930's even normal everyday Americans knew the difference between the dollar and gold.
One of the biggest problems Roosevelt faced was that a large number of people had lost confidence in paper money and were going to their banks to exchange their money for gold.
By 1933, the U.S. was in big trouble and people all over the country were trading in their dollars for gold.
Edited by mkfarm
07/30/2011 8:07 pm
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Replies: 24 / Views: 3,013 |
Posted 07/29/2011 08:33 am
