What is Money When the System Collapses?

[Jonas]

[Mortblanc]

I thought everyone was going to throw everything they needed in a big black plastic bag and head for the nearest hedgerow?

This past week has been illuminating with gold falling by 20% on top of it's already steady decline. Some analysts are predicting gold will be below $1000 by year end.

As the economy improves, and it is improving very slowly and in a different way than we wished, silver will decline further. Much of the silver supply is recycled during other manufacturing processes. As manufacturing increases silver supply increases and price declines.

Amazing that the world markets went into a steady and purposeful plunge two weeks after the Bilderburg meeting!

For the average prepper cash is still king. While we envision a barter society after SHTF the rest of the society will not realize their economy is not going to recover until well into the event. Your money is going to be in demand for several weeks or months after SHTF, or at least until everyone realizes the shops are not going to open again and they are going to have to go to the source for commodities.

This also asks the question, do you have a safe in your house and money in it? (rhetorical question, do not post your financial details)

I am not talking about a cash box with a little key and twenty dollars, euros or pounds inside. I am talking about a secure safe bolted to wall or floor with enough money inside to pay your way for a month or two, or at least get you out of town!

SHTF, banks are going to be closed, ATM devices shut down for lack of power or smashed in the first wave of looting. What you have on hand is going to be all there is.

Your carefully developed "skills" are not going to kick in as needed commodities for a year. Everyone around you will have to decide that things are not going back to normal before you become a valued contributor because you can juggle, make faces or sing and dance.

Even farming and gardening skills may not be of recognized value for up to 1 1/2 years after SHTF, especially if the event happens at the end of the growing season and you have to endure a winter, then find seed to plant, tend the fields all summer then harvest.

Perhaps what we should really be prepping for is the slow decline into the permanent poverty of 3rd world status as TPTB take from the "haves" and give to the "have nots" until everyone is equally poor and starving. We may look back and find that what we endured was not a "crash" but a carefully controlled lowering of life expectations.

[SierraCharlie]

Im my opinion, and from info Ive received from very very good sources, the economy is not recovering at all, in fact for the fed res to consider "quantitative easing" as a measure of trying to maintain the dollars power, is basically like giving an alcoholic another beer !this action speaks for itself, its a dire measure. What I am told and from research Ive done very thoroughly I might add, mathematically the u.s.dollar cannot recover. I was told just last week by a professor of economics that he predicts that the dollar will have crashed before Christmas !! Now then due to the fact that nearly every other country in the world keeps its reserves in dollars, and the world trades in dollars, when this happens the world will go into a crisis never seen before by mankind. It will affect everyone.
A good source of info right now is bloomberg tv, I don't have a tv but stream this, and on there most days there are trend analysts, ceo's of central banks etc etc well worth keeping an eye on. Having said that of course there is still a certain amount of spin goes on, yet many many of these analysts predict dire consequences, and thats mainstream. The world banks are all frantically propping up the dollar right now,as well as the aforementioned quantitative easing from the fed.res itself. So when we're told "the economy is doing better that we thought" or similar statements, it is nothing more than giving false hope and warranting governmental extreme measures they are taking on their own people. Heres a quote to think about....
"Through out history, no nation has ever abandoned a sound monetary system. However no nation has ever taken on the F I A T banking system until now, without having its economy completely destroyed. There are no exceptions. The United States will not be exempt from this law of history"

[Straight Shooter]

SC check out MAX KEISER REPORT ......if you have ,t already on YT or RT

[Steve]

Perhaps what we should really be prepping for is the slow decline into the permanent poverty of 3rd world status as TPTB take from the "haves" and give to the "have nots" until everyone is equally poor and starving. We may look back and find that what we endured was not a "crash" but a carefully controlled lowering of life expectations.

Nail on the head !

[SierraCharlie]

SC check out MAX KEISER REPORT ......if you have ,t already on YT or RT

Yes I have seen it. He's as mad as a ships cat !! however he does have a certain mad style in his presentation, yet always hits the spot when it comes to the truth about whats happening. He also says what just about 99% of analysts Ive seen are saying. The most important part in this interview, I feel is the huge, well beyond huge U.S. debt. Now to me this really is the joker in the pack. Analysts of all kinds are saying the dollar could crash within the next 4 - 6 months, and thats a lot of them all agreeing on this time scale, however were the United States debts to be "CALLED IN " well the balloon goes up right there and then.

[Mortblanc]

They do call economics "the dismal science" for a reason.

The end scenario of any academic economic system analysis and extrapolation is inevitable collapse as the cycles of correction grow more intense as the system becomes larger.

Every model ends in failure.

My Economics professors back in the late 1960s were completely baffled that the system had not collapsed by then.

[Skean Dhude]

They do call economics "the dismal science" for a reason.

The end scenario of any academic economic system analysis and extrapolation is inevitable collapse as the cycles of correction grow more intense as the system becomes larger.

Every model ends in failure.

My Economics professors back in the late 1960s were completely baffled that the system had not collapsed by then.

That is probably caused by the fact that the politicians change to rules. The models kept some variables within reasonable bounds. I bet they never envisaged how much this lot would borrow to keep the ship afloat back in the 60s. Even in the 80s we were amazed at how much it was then. Compared to now it was chicken feed.

[SierraCharlie]

Couldn't agree more with you on this one SD. I think most people can see very clearly that this situation is very much out of hand, and is inevitable. Consequences dire. There is a real further concern though. We all know the real reason the Iraq war was waged, Saddam stopped trading oil in $. We see politicians now laughing about "smoking gun" scenarios at after dinner speeches,yet tens of thousands died in that conflict.
Recently both Russia and China have stopped trading oil in dollars!Now Im not trying to assume the U.S will invade these countries, however the massive pressure it will put on them financially will only lead to worsen this dire situation they are in. It makes me wonder(especially if you look closely at recent U.S armed forces deployments, not only men, but their navy, and newly armed missile systems in Eastern Europe) if due to the dollar being the real power of the U.S.,subsequently crashes, what options are then left open to them, which keep them as a major player on the world stage. Personally I feel that just as in the Iraqi conflict some smoking gun scenario will be sold to the general populace, and away they go. Problem is China and Russia in the last three weeks have both warned the US of "dire consequences" if they interfere with either Syria or Iran in any way. Warnings such as this, do worry me, as American governments are not known for "not interfering" in fact quite the opposite is true. This time however I feel the U.S will see themselves as having no choice, due to this massive fear of losing the world control they have enjoyed for so many years,therefore ignoring any consequences and taking us all into the abyss of war.

[Arnie72]

Agree with most of your comments SC except for the 'smoking gun' scenario sold to the general populace - everyone I know thought it was bunkum from the offset.