Category Archives: Economics
By: Tom Chatham
For those that are preparing for the worst in economic terms there are always the decisions of what to get now and what to get later. Your current economic situation may only allow you the option of buying necessary equipment and supplies at a slow pace. Primary items that you should buy first are food, water, fuel, clothing, household and sanitation supplies and if possible some type of shelter, either a primary structure or an alternative shelter you fully own. Only after taking care of these necessities should you put some of your money into silver or gold for wealth preservation. After these items you will want to acquire any large items you think you will need. If you cannot afford all of the items now that you feel you will ultimately need what are your options?
There is one option that while not perfect or guaranteed may work to your advantage in the near future.
When an economic collapse begins it will likely happen slowly over a matter of weeks or months. As paper assets are destroyed deflation will occur in some areas while inflation will occur in others. The things that are likely to see inflation immediately are those things that people cannot live without like food, water, fuel and clothing. Those things that can preserve wealth such as precious metals are items you should already have in your possession before the bottom drops out of the economy.
Those holding hard assets not considered wealth preserving but more like consumer goods will be liquidating those items to acquire inflating assets they must have like food. For those that have a store of wealth that can be liquidated and used to purchase other hard assets it could be a good time to leverage your limited wealth to acquire those items you could not afford before.
When paper assets begin to fail those that are holding mainly paper will rush to get into hard assets like gold and silver to preserve their wealth. This will rapidly bid up the price of these assets due to their very limited availability. The price of precious metals should appreciate much faster than inflation. Eventually gold and silver will go into a bubble before they drop a significant amount. This grey area between the metals inflated price and the actual inflation rate will give you extra buying power for a short period of time. This is the economic sweet spot. You may elect to liquidate some of your metals at this time to purchase other hard assets you are in need of but were unable to afford earlier.
Any prolonged economic collapse will make many goods hard or impossible to find as time goes on so buying in this grey area will assure you have what you need and at a price you can now afford. As the collapse gathers speed, those that cannot buy metals will shift into other types of hard assets just to be out of paper so you must act before this happens.
What type of hard assets will you likely be looking for? Things like tools, machinery, livestock, land and equipment you will need to care for your family longterm. These are the expensive items you may not be able to afford now but want for longterm viability. While it is best to get them now you may not be able to so a plan such as this may be your only hope. If this situation does not appear for you to take advantage of you will still have some precious metals to barter with at a later date and possibly acquire some of the things you need.
So for those needing to make large capitol purchases but lacking sufficient funds at this time, holding your funds in precious metals may be the best plan. Gold is good but silver may see the most increase over this period and is much easier for individuals with limited funds to accumulate. When trying to gage the market to get the most from your assets, don’t try to liquidate at the top of the market because you are likely to miss it. If you can get within ten percent of the top you have done well so don’t push your luck and try to squeeze out the last little bit. This will allow you to sell some of your PMs and get what you need before the prices begin to decline and panic sets in.
While not perfect this opportunity will allow you the possibility to get things that will be more important to you than precious metals as the crisis unfolds. There are no guarantees for the future so each person must decide for themselves how best to use their limited assets.
By: Tom Chatham
Stock market gurus and central bankers are always eager to tell anyone who will listen that they have all the answers and know how to create prosperity. In their eyes, prosperity is something that can be created out of thin air with the proper knowledge which they are privy to. This miracle of economics could also be called something for nothing. The greed of men makes this prospect particularly enticing. All honest people know there is no such thing as something for nothing. Everything in life has a price and that price will be paid at some point by some means or someone. It is this greed that has caused society to want the easy path to prosperity. Why work hard all your life and end up with very little when you can have everything the easy way. This is something the money printers and speculators have learned to capitalize on to get rich themselves the easy way. These people have found a way to use society’s tendencies against them. It is known as crony capitalism.
Free market capitalism involves the production of goods or services that are sold to society at a price the market is willing to pay. Society is the free market and will dictate the rate it is willing to pay based on supply and demand fundamentals. Supply is based on the availability of natural resources needed to produce the goods society wants. Prosperity in a free market can only occur as fast as natural resources can be developed therefore natural resources act as a governor to prevent society from living beyond its means. This acts to prevent inflation and debt from rising too fast. These forces allow society to prosper at a slow steady pace that is sustainable as long as the natural resources are available in sufficient quantities and can be extracted to meet supply. This means excess production can be stored for future use by workers because the excess production is held in hard assets.
Crony capitalism is the ability to pull forward prosperity and utilize the potential value of future production now by means of speculation and money printing. It causes the market to signal a false prosperity caused by the misallocation of resources and false signals indicating increases in available natural resources. Those that are behind the speculation and money printing enable a system that provides them the use of future prosperity today at the detriment of society tomorrow. The false prosperity brought into the market is no longer based on developed natural resources but debt secured by future prosperity that will never occur. As currently available natural resources are used by those utilizing crony capitalism fundamentals, the producers in society that save current production, in the form of paper assets manufactured by the money printers, will one day seek to cash in their saved production for hard assets consisting of natural resources. When the day arrives that no natural resources are available for the conversion of paper assets, the system will cease to function. At that point all paper assets will be destroyed by supply and demand fundamentals that society injects and free markets will seek to rebalance all previous misallocation. This will happen by destruction of paper assets that were never backed by hard assets. The destruction of paper assets will be proportional to the amount of natural resources that do not exist in the markets. This means that those that hold paper assets at this time will lose all of their stored production. Crony capitalism is a way for money printers and speculators to utilize the excess production of workers now while depriving them of their saved production later. To put it simply, crony capitalism is the organized theft of society’s excess production in a way that most do not and will not understand which is why it is so effective.
Governments that engage in money printing and deficit spending are only able to do so because large portions of society save their excess production in paper assets. This allows the government to utilize natural resources that should be allocated to these savers. When paper assets begin to collapse due to lack of hard assets those that are able to convert some of their paper will find prices inflating at an ever increasing rate and they will lose a certain percentage of their saved production as a result. Those that are too late in converting their saved production will lose much or all of it. This is what is meant when people talk of investors heading for the exits.
There is increased talk by some that capitalism has failed but this is misdirection by those that know the truth. Free market capitalism has not been practiced in many years and those that thrive on crony capitalism must blame the ultimate destruction of paper assets on free market capitalism to hide a falsehood sold to the masses that will lose everything they have worked for. The only places you can find true free market capitalism today is in small communities scattered across the nation where barter and precious metals are utilized.
Any savings instruments that are not backed by hard assets are merely promises waiting to be broken. In the near future there will be many broken promises and hopefully society will survive to remember a hard lesson. The worst thing that could happen is that society is manipulated to believe in another system based on lies and promises. Free market capitalism must once again be ingrained into society to prevent future crisis. Unfortunately, many people do not learn from their mistakes until enough pain is incurred and a failure of fiat currency will inflict a massive amount of pain that society will remember for a very long time.
A smart man learns from his mistakes. A genius learns from other peoples mistakes.
By: Tom Chatham
One of the problems with the credit industry that we have is the fact that you often pay twice or even three times for the object you want to get. Many people do not take the time to calculate the true cost of the things they buy on credit or simply do not care. They want it now and are content to overpay for it as a result.
Another symptom of the society we now have is the demand for cheap products that only last a few years and seem to self destruct. Repairable metal has given way to disposable plastic and solid wood has given way to pressboard. The era of planned obsolescence has taken its toll on our society and we are poorer as a society as a result.
If you go around in life paying twice as much for everything you get and end up with inferior products that do not last, how can you expect anything but to be poorer. This is a fact that seems lost on the new disposable, must have the latest edition generation. Over the years the forgotten frugal ways of the past offer those in this collapsing financial situation we find ourselves in a way out if they choose.
When you are young you want to have the newest and most fashionable items available because things have become status symbols to our society. To have something old or out of date is repulsive to some. This is the mindset we have been programmed with by those who profit from our impulsive buying habits. We as a people must reprogram ourselves to regain the upper hand and free ourselves from this economic system we have created. We must reprogram ourselves to look upon objects that we use in a functional way rather than a fashionable way.
As I sit here and write this article I do so on my Dell laptop circa 2004 that still serves me well. I purchased an old rocking chair recently made of thick solid wood that cost me all of $25, a chair that would sell for over $100 if bought new today. My want of a good lamp led me to the purchase of an old Aladdin Lincoln Drape lamp for $50 which would have cost me over $150 if bought new. To get the most from the money you work so hard for, you must leverage it in a way that increases your net worth and supplies you with the items that provide the needed function. By doing this you will come ahead faster and with less money and that is crucial in tough economic times.
When you need a lamp, find a used one that you like that will last a lifetime or at least can be repaired if it breaks. Good quality used furniture can be found in many places today that provide the function you need at a cheaper price and much of it is built to last a lifetime. When you prepare to buy a large durable item you should look at it and determine if it is something that you could use and then hand down to the next generation.
Sometimes it is necessary to purchase new but you should always analyze the item for price and durability before making your decision. If it is not possible to buy a new item that you want due to price that is when you should search for good used items that are affordable and durable. By taking this approach you will increase your net worth by paying less and getting better items that will last. If you only have to buy furniture for your home one time in your life, that will save you a lot of money in the long run. If you only buy a car every ten or twenty years and get a used one at that, it will save you thousands that you may not have or can use for other things that you need. This is how you can come ahead in life much faster and with fewer worries and headaches that will keep you awake at night.
We are now in a situation that many younger people should take advantage of to insure a good quality of life in the years to come. Many of those from the older generations are retiring and down sizing their homes. Many of these people bought quality American products to furnish their homes when they were starting their families in the 40’s, 50’s and 60’s. These items are now starting to flow into the used market and those that want quality for a fraction of the price now have a golden opportunity.
One of the greatest stumbling blocks is the programming of the newer generation. Those in the know about what I am saying need to make an effort to educate the next generation before it is too late. If you have children in college and want to help them get a good start in life then why not buy them some good used furniture to give them a helping hand. If things continue to deteriorate that used durable furniture may be all they have to use for many years to come and they will eventually come to appreciate it.
I’ve said before that if you were to go back in time and find yourself living in the 1950’s you might not have all of the technology we have today but you would have a good quality of life even with that old technology and the products they had then. These older products should be a foundation you build on to insure a good quality of life while you work to improve your position. Some of these products are also a good way to store excess wealth until later.
With the decaying economic system we are faced with, it is up to each of us to make the best of what we have, and what we have will likely decrease with the years. By getting the most from our spending dollars we will be in a better position to weather the storm. While you may be able to buy more cheap stuff short term, if it does not last, you will be right back where you started from except without the funds you wasted. It is not always possible to buy the best quality but it should be a top priority when possible and buying used can help you with this. Quality is not expensive, it’s priceless.
By: Tom Chatham
In the pursuit of a control grid, for our own good, the global elite will need a global currency. This new currency will likely be completely electronic in nature. It will make it easier for the controllers to create, cheaper allowing them to keep more of the profits and easier to get their hands on what you have anytime they want. With a totally electronic currency there will be nowhere to hide any of your earnings. It will also be much easier for those in control to enforce payments for government mandated services. It will also be much easier for them to implement and enforce new taxes, for your own good.
So you say you don’t need any stinking health insurance. That’s too bad. It’s now mandatory so your account will be debited every week for your health insurance premiums. No way to get around that.
Green energy tax
Since everything is now electronic they will know how much gas you are buying for your car. If you drive too much you’ll be assessed an extra green energy tax for polluting too much. They know how much your electric bill is so if you are using too much electricity you’ll be taxed on that too. But don’t worry, they’ll just automatically deduct it from your account. No messy paperwork to keep track of. Isn’t that thoughtful of them.
Since everything you earn has to go through your electronic account, they will know exactly how much money you are earning. They can just deduct your taxes straight out of your account every week. And with a graduated income tax, they will just deduct more as you hit certain income levels. No more messy tax forms every year. Isn’t that nice of them.
So you want to buy a gun or ammo. Sorry, you don’t have the required permit so the transaction is prohibited. So you want to buy a bottle of wine or that fifth of bourbon?
Sorry, you are drinking too much as indicated by your purchases so this sale is denied. And if you have a DUI, don’t even think about it. Cigarettes are only for the global elite who can afford them so that’s a prohibited item as well. So you want to buy that new luxury car or SUV? Sorry but you don’t have the necessary carbon permits like the well connected people so you’ll have to settle on one of these smaller, more efficient models.
Since every purchase is monitored, everything you buy at the grocery store is monitored. You scan your card before your goods are rung up and anything you shouldn’t have is flagged. Obesity a problem? Not any more. You will be barred from purchasing certain products. Not eating what the government says you should? You will have limits on the quantity of certain items you buy forcing you to buy what they want you to eat. Buying more canned goods than they estimate you are eating? That could get you a visit from the food police to insure you are not hoarding. And don’t get caught growing your own food without the proper permits, you don’t even want to know the penalty for that.
Since you are too stupid to save money for your retirement they will just deduct a little every week from your account and “keep it safe” until you need it for retirement. And when the time comes for retirement if you have too much money saved up they will just redistribute some of it to the less fortunate, bless their hearts.
If you live in one of those wealthy countries you’ll have to pay an extra tax for that as well to be redistributed to the poorer countries. That’s only fair, right? Since everything you buy is recorded the tax assessment for property taxes will be much easier as well. How convenient!
Yes, a new electronic currency would solve a lot of problems and free us of all of that messy paperwork we have to do. And since we are too dumb to make our own decisions, the government can help steer us in the right direction in everything we do. Doesn’t that sound like Utopia?
By: Tom Chatham
The U.S. banking system has been in defacto default since 2008. But since everyone needs U.S. dollars to continue commerce around the world it has been put on delay. Everyone has been playing lets pretend. That will not last much longer. The events in Cyprus tell volumes about what is coming to other nations around the world.
As the banks tumble in domino fashion around the world everyone will head for the U.S. as the last safe place to store money. That may be by design. Once in the U.S those assets may have no safe place else to go so they will be essentially trapped. It will be a tempting target for the bankers and politicians to loot. A collapse then could force everyone into a one world currency. But not everyone wants to play with that marked deck.
The BRICS nations just held a meeting in South Africa and one of the things they discussed was the formation of a BRICS equivalent of the IMF and World Bank. They want to establish their own bank to aid emerging economies and they have agreed in principle to collectively finance it with a 100 billion contingency reserve arrangement for starters. These nations have a lot of gold and are increasing supplies as fast as possible. It is likely this new bank will be financed with gold backed currencies at some point. That will give the IMF crooks a lot of heartburn. It may also be the spark that ignites another world war.
The western bankers cannot afford to have a competing currency to anything they create so some type of action will be forthcoming. If people were able to shield their money from the corrupt bankers by moving it to another currency or bank out of the western bankers control it would prevent their plans to force through a one world currency which they would control. It always comes back to they money doesn’t it.
What would stop someone from moving large amounts of money from the U.S. to a BRICS bank? How about the imposing of capitol controls after all of that money is here. That seems likely. And if you are thinking of pulling that money out of the bank and hiding it under your mattress consider this. If a bank holiday is declared in the U.S. they can close the banks on say Friday night and reopen on Monday morning after having locked you out of your accounts all weekend while taking a “fair” percentage for the national good. But it might not stop there.
Suppose after you regain access to your accounts you find they have also devalued the dollar by 20 or 30 percent. They may just forgo the actual theft of money and devalue alone. In any case, they will have succeeded in stealing a large percentage of your money even if it were not in the bank.
I can’t tell you what to do but I don’t keep any more than a weeks worth of operating funds in my account and only about 30 to 60 days worth of cash on hand. Everything else I have is in highly liquid forms like silver. If they pull this I would take my cash on hand and go shopping that weekend before they have a chance to devalue. That would limit my losses and put me ahead of the general population. But that’s just me.
What would you buy in a crunch like this? Anything you can use to take care of yourself. It might be impossible to buy anything on line or through wire transfers but with cash you might visit coin shops, pawn shops, local merchants or look on craigslist for things worth something to you or for later trade. If you need to “store” money why not do so in gold and silver coins, a good used wood stove, a generator or possibly in extra fuel storage. All of these things will become much more expensive after a devaluation.
And always remember, if it isn’t in your direct possession you don’t own it. This will become brutally obvious to those with safety deposit boxes in the future. When they finally pull the plug on U.S. banks you should consider anything you have inside the bank as lost. If you get anything at all back consider yourself lucky. If you keep these things in mind it might not be as painful when it happens. Good fortune favors the prepared mind.
By: Tom Chatham
The modern day survival movement grew out of the cold war era of the 60s when nuclear war was seen as the ultimate nightmare scenario that humanity had to protect itself from. That evolved in the 70s when a host of other threats were realized. For over 40 years Americans have sought to protect themselves from nuclear war, asteroids, earth changes, solar flares, economic collapse, civil breakdown and a long list of other crises.
Those that prepared in the 70s were sure doom was only a short time away. Every year they continued to prepare and expected the event at any time. Forty years later we are edging ever closer to doom but it still has not happened yet. This is not to say the doomsayers were necessarily wrong, they just misjudged the timing and failed to realize that some of the things they imagined were controlled by human actions that are somewhat unpredictable.
One of the things survivalists have prepared for is an economic breakdown along with all of the connected systems. If a system breaks and living conditions take a sudden and catastrophic dive it becomes evident to even the ones in a media induced coma.
When a break from normality happens suddenly it can cause chaos and riots as people realize they have been sold an illusion. When a breakdown comes slowly over the years, people have time to adjust to this new reality and learn to accept it. This is the boiling frog syndrome where a sudden shock to your system will evoke a response but a slow, steady change will not be perceived as danger until it is too late.
The breakdown of our economic system is a mathematical certainty. Many realized it in the 70s but they failed to realize how long government machinations could stretch it out. The government has known for years the day would come when the system would break and has pursued a boiling frog strategy to prevent a violent reaction from the population.
We are nearing the end of this system but it is in the governments’ best interest to keep it going a bit longer. The closer they can get the population to poverty and misery while the system still appears to work, the less of a violent reaction there will be when it ceases. When people finally find themselves broke and miserable, the majority will accept it as the new normal because they will be acclimated to it.
If you were to look at life today and compare it to the same day in years past, you would probably see a great deal of difference and the negative impacts the changes have had on your life. If you had went from that days reality years ago to today’s reality in only a few days time it would have been brutally obvious something bad had happened to you and this would have spurred you into action. Those that have been awake and those now awakening see this.
Because the masses have been lulled into their new reality it is hoped they will readily accept it when the system breaks. That is why as close as we are to disaster, they will continue the slow decay of society a while longer because it is to their advantage to have the masses accept the new reality and avoid violence. By the time the masses realize what has happened it will be too late to get out of the boiling pot and that is the way the government wants it.
By: Tom Chatham
If you talk to a number of people preparing for bad times eventually you will hear this comment. While it is an accurate observation, it misses the point of a well rounded plan. If you have some wealth and your plan for catastrophic situations is to buy and hold gold and nothing more then essentially you have no plan. That is what this comment really means.
For a person that feels the need to prepare for situations that force you into a survival position you need to place your eggs in several baskets. You need to take care of absolute needs first to get through the situation you perceive. A person needs food, water, shelter, clothing, sanitation, security, heat and light as a minimum to get through difficult situations. You need to determine how long the situation may last and how extensive your preparations need to be to get you through it.
In a normal functioning world a person may be able to get by in a situation with just money. Someone displaced by a hurricane can relocate to an undamaged area and just buy what they need until things are repaired but what good is money if money as we know it collapses?
That is the problem with other than normal disasters where supplies are in short supply and those with them refuse to sell at any price. A proper plan addresses this type of breakdown and prepares you for it. So why do so many people say buy gold and silver if it may not buy what you need in a catastrophic disaster?
Gold and silver are a way to store your EXCESS wealth until the situation stabilizes and commerce resumes in some form. You should not be dependant on PM’s to acquire goods DURING the crisis except in emergencies where something out of the ordinary may be needed such as a tire for your car or medicine for an unexpected illness. The things you must have to satisfy day to day needs should already be in your hands when this type of situation emerges.
This does not mean you may not be able to buy goods at all. Producers such as small farmers, fishermen and producers of other goods that people need may still have a production capability and will still need to sell those products to earn a living. Those that have a medium of exchange they will accept will allow the purchase of these items to bolster the items you already have and extend your supplies.
The value of gold and silver become important when the situation stabilizes and you want to improve your living position. They allow you to preserve your wealth and take advantage of bargains when others are unable to buy and acquire property, equipment, businesses and income producing investments such as rental properties. They allow you to get your hard earned savings from back there to up here where they will be needed to insure a good retirement. Precious metals are your life raft when everything else sinks. They allow you to stay afloat along with your other floatation supplies and reach safety.
When someone asks you if they should buy PM’s to get them through difficult times you should ask them what their plan is for food, water, shelter, clothing, sanitation, security, heat and light. If they say gold then you are correct for stating, you can’t eat gold.
By: Tom Chatham
The people that have an understanding of the current financial situation have already begun their plans to stay solvent and provide for their families. They have stored food and seeds, bought some silver or gold coins and looked into alternative sources of power and energy for their homes. These are the logical starting points, but is it enough?
With the downturn in the economy many are doing the best they can to prepare but smaller paychecks, higher taxes and rising prices are making it difficult to stay ahead of the growing problems in the world. Even though you may have a limited amount of money, you need a long range plan to get through the potential troubles ahead.
The best way to navigate economic troubles is to be as free from the economic system as possible. This means you must be able to provide as many of your own goods and infrastructure as possible to limit the needed financial resources you have available. The act of building a self sufficient homestead is a large and often expensive task. It is beyond the ability of most to do it in a short period of time.
For those that see the need for self sufficiency but lack the financial resources, a long range plan must be devised to get you there. In devising a plan you must decide what resources are critical and which are the most readily attainable with the financial resources you have.
A raw piece of land that you can grow food on and build a structure from locally available materials is a critical piece of the plan but you may lack the financial resources at this time to buy what you need. You must look at your financial ability to buy this piece of land and determine how long it will take you to save up to get it. You want to buy it in full with no debt obligations which will make it more difficult.
After determining how long this will take, you must decide if the length of time will leave you vulnerable to economic shocks while saving this money and what the best use of your money short term would be. If it will take you several years to save up the needed money for purchase, some of your funds may be better spent short term on infrastructure to equip your homestead when you finally get it.
The purchase of gardening tools, grain mills, canning supplies, alternate energy systems, carpentry tools and production equipment may offer you more for your money now if prices are rising fast. The stocking of materials you will need later is one way to beat inflation. This must be done as part of a well thought out plan though to insure your goal of purchasing property is not undermined.
Many of these items are useful even if you do not have your own property yet so you will be able to get some use from them and even save some money as a result to put towards your land. If you grind wheat you buy in bulk and can as much as you can from a kitchen garden, it can do a great deal for your cash flow. A wood stove that you can use now and relocate later to your new property can be a good investment. Something as simple as collecting tree limbs from around your yard during the year and from your neighbors providing free fuel may allow you to use much less fuel or electricity during the winter allowing you to put that savings toward your property.
The purchase of production equipment will detract from your land fund but the ability to use that equipment now may allow you to save as much or even more to put into that fund. This will provide a compounding effect if planned well that can see you to your goals even sooner.
You may decide getting some livestock is advantageous. A few pullets and a rooster are easy enough to care for and once moved to your new property you have the capability to hatch more chicks and expand your flock with little expense. The same can be said for pigs. Buying a pair of piglets cheaply several months before you move will provide you with the ability to expand your hog numbers shortly after arriving at your new homestead providing a good source of extra cash. A livestock operation can be expanded very economically once the breeding animals are obtained.
This is the value of having a well thought out plan. It will help you determine what you can purchase now and what financial savings and impact it will have. A good plan is the key to economic security and your future happiness. While you accumulate your tools, you may want to study the economic situation and determine the best method to preserve your savings until you buy your property. If it will take you several years to save enough, during that time high inflation may rob you of a lot of your purchasing power.
You may decide it is best to store this money in gold or silver until it is needed for the purchase. As long as the government continues to print money it is a safe bet that paper assets will take a big hit over time. This may allow you the opportunity to leverage the value of your savings up allowing you to purchase sooner.
What should come first, the land or the tools? This is a question that you will need to answer. If you have the means to buy property now outright it might be the best idea to get it and work on the tools next. If you have property, you have the means to grow food and provide a minimal structure for shelter. In a worse case scenario, this might be the best insurance policy to have especially if you may lose your current home due to job loss or other economic shock. This is what your plan will help you to decide.
Nobody knows better than you what your needs are and what your capabilities are. A sound plan will help you through the difficult times we are facing. No two plans work equally well for everyone so your plan needs to be tailored for you and your circumstances to be most effective. It costs you very little to run some numbers and do some research now but the payoff can be well worth it. .
If you don’t know where to begin, start with this. Make a spreadsheet with all of your monthly purchases and bills. Do this for the whole year and include everything you know you will have to pay during the year such as mortgage, insurance and even clothing. Once you have this list you will see the payments that are somewhat set every month and those that vary. It is the variable items where you will save the money you need for your plan. You must look at these variable items and decide what is more important, entertainment and expensive foods now or financial peace of mind later. You must develop a plan to save as much of your disposable income as possible while still providing those things in a cheaper way such as growing and canning your own food or repairing your clothing instead of just buying something new.
The paradigm we all have built our lives on is coming to an end and those that refuse to plan for the inevitable changes will be devastated. The flexibility you have in future years will determine how well you will adjust and how much pain you will have to endure. Those that have no plan will suffer the most and will find it difficult to lead a normal life. If you have no plan it is not too late but time is very short. You must act now or live with the consequences.
By: Tom Chatham
Recently when the G20 met they discussed plans to deal with the devaluing currencies around the world. The same bankers that created this problem are going to fix it by creating another problem. When the system breaks down they intend to fix it by making the problem bigger.
The idea is to make the IMF the new Global FED and use SDR’s as the new world currency. Once the bankers do this they can start their Ponzi scheme all over again but on a larger scale. What the bankers don’t own when the system fails this time, they figure they will own by the time it fails again. Creating a world currency that is still under their control will allow them to decide who the winners and losers are in the world. They will be able to redistribute the wealth and resources of the world anywhere they want.
The bankers are counting on this to continue their looting of the world and are counting on a gullible public to go along with it. If the public stands by and allows this after the currency fails all I can say is, the people deserve to lose everything they have, which they will. When the currency fails it will mean that everyone that has produced excess over the years, and stored that excess production in the form of fiat currency for future use, will lose it and have to start producing and saving all over again. That will mean that all of your excess production ended up in someone else’s pocket. This is what fiat currencies are designed to do.
For anyone that has been keeping up with the machinations of this group of international swindlers, it is obvious that some sort of self preservation is in order. Before they can destroy the system as we know it, it would be beneficial for local communities to devise a medium of exchange they can use and have it in the wings ready to go when the system breaks. Gold and silver are preferable but most people will not get on board until it is too late so something else may be needed.
If most Americans held just $25 face value in pre ‘65 silver coinage, that would be enough to circulate and establish local commerce. That does not sound like a lot of money but keep in mind, this amount in the 1940’s was a weeks pay ($1,299 annually) to most people and prices reflected that fact. The minimum wage was 40 cents per hour and a quart of milk cost 15 cents. A recalibration of prices to 1940 values would be a starting point to get things moving again. These two small steps by the population could avert disaster and provide a foundation to return to a stable monetary system. Unfortunately, very few Americans will make the small sacrifice now to insure a transition can take place without a great deal of chaos.
Even if there is not enough pre ‘65 coinage available to do this, the purchase of 20 oz of silver bullion by individuals would have the same effect. Getting silver into the hands of as many individuals as possible is the only long term solution to this fiat madness. The use of gold coins in this situation would act as the medium for larger purchases.
The use of local barter currency is an alternative that would work well but would be limited to the locality where issued while silver would be universally accepted. Barter script could be used universally but it would take a great deal of coordination to make it accepted. This would take time and the chaos experienced would make it difficult initially.
When the current fiat currencies fail we must not allow a new fiat currency to take its place. This will be nothing short of knowingly selling ourselves into debt slavery for life. Any attempt to subvert this fiat transition will likely be met with force projected by the surrogates of the ruling class. When this happens you will have to decide how you will deal with these people. The future of this nation will be determined by the actions we take during this crisis.