As I see it gold has a single advantage, it is soft thus easy for a smith to work with. How much of your reserve will you spend to make your gold even less useful?
Start Buying Gold
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And do you know how to do carry out this process?
I think I'll just buy a bunch of psychology text books so that I'll know how to deal with a bunch of paranoid, delusional hysterics the next time the power goes out.
Replace "psychology text books" with "shotgun".
For when the power goes out next time, I'll be investing in prophylactics. Just to be sure.
All Seeing Eye
Admiral
Any further questions direct them to my public spokesperson
If you hedge properly you should be able to make a lot of money off the whole 2012 thing.
What a shitty way to conduct a thread.Any further questions direct them to my public spokesperson
I hope it includes Beef Stew. A post-Apocalyptic world would suck without Beef Stew.
I hope it includes Beef Stew. A post-Apocalyptic world would suck without Beef Stew.
Read the link...it has no meat at all, only textured vegetable protein.
I think you're saying the price of gold would drop if we pull out of the recession and increase if we don't? If that's correct, it's a little backward though the situation is a tad counter intuitive. US authorities have been issuing debt (money) like it's going out of style, mostly to try to keep pace with the tidal wave of defaults (debt destruction).
If the economy starts to pick up, the defaults will slow or stop completely and you have all this newly minted debt on the books driving the value of the dollar down (inflation). Commodities like gold would probably go up in price.
On the other hand, if the economy tanks again, more debt (money) would be destroyed than is created (deflation). The the absolute number of dollars declines thus it's value goes up. Commodities like gold would in theory go down in price.
This is of course a very simplistic explanation in regard to the dollar/gold relationship. There are many, many other factors to consider.
Well, folks, there's a big ole' WHAT IF in the idea of super-valued gold. Let me lay this out simple-ish, as I see it:
23.7 Trillion Dollars is the amount Mr. Bernanke said is going to total U.S. Bailouts. World Gross Domestic Product totals a bit over $50 Trillion each year (and somewhere around $160 Trillion is the total liquid value of all global assets). Essentially, we're talking about huge cash injection to prop up bad loans and such.
The idea is that this cash is poured into coffers at big banks and such. After a while, it starts trickling back into main street. That means more money; WAY more money; AKA HYPER-INFLATION. We're sayin' that it could mean that it takes $8 to buy what is currently worth $1. Bad news. Bernanke, Fed Chairman, however, has hatched a plan; simple: Start pulling cash out of circulation before it can cause aforementioned turmoil. If that works, we're good. Otherwise, we are in trouble.
Additionally, foreign debt. China has 800+ Billion USD in securities. That is actually the same value as, in estimation, ALL of our paper bills and coinage in circulation. That is just China. There's also Japan and a bunch of other folks around the globe. Also, every time the U.S. runs out of money, it just borrows more by selling additional securities to foreign Nations.
The fact is, at some point all the dudes around the world want their money. If we don't have it, then suddenly global trade starts falling apart BIG TIME. No petroleum products; logistics grind to a halt; imports stop; cash becomes litterally worthless. The markets collapse. Well, if the worst of the worst happens, we could be just like the Weimar Republic with its problems (Look it up) trundling cash around in wheelbarrows.
So, what's the bottom line? We're probably going to be just fine. The fine print? That's what they said a hundred years ago, sometime around 1909. Do the math. It could be a rough 21st century, and it isn't a stupid thing to start thinking about how to survive or profit from bad times.
Some folks say that Gold is a bad idea. Well, folks, quite simply it is not. Yes, it will always go up and down in value; but the key is that it will always HAVE value. Egypt, Rome, since the dawn of time; everybody has given gold value. It's got thousands of years behind it to prove this; so if you're going to buy one thing and hope that it is still worth something when you die, definitely buy gold.
...That said though, it isn't like you can just cash it out at the Safeway or the Wal-Mart... and there isn't anything to say it won't lose value in a year or two if you accidentally buy it on a high.
Not to worry though, since I (and probably most of us here) don't really actually have the cash laying around to buy the stuff, anyway.
23.7 Trillion Dollars is the amount Mr. Bernanke said is going to total U.S. Bailouts. World Gross Domestic Product totals a bit over $50 Trillion each year (and somewhere around $160 Trillion is the total liquid value of all global assets). Essentially, we're talking about huge cash injection to prop up bad loans and such.
The idea is that this cash is poured into coffers at big banks and such. After a while, it starts trickling back into main street. That means more money; WAY more money; AKA HYPER-INFLATION. We're sayin' that it could mean that it takes $8 to buy what is currently worth $1. Bad news. Bernanke, Fed Chairman, however, has hatched a plan; simple: Start pulling cash out of circulation before it can cause aforementioned turmoil. If that works, we're good. Otherwise, we are in trouble.
Additionally, foreign debt. China has 800+ Billion USD in securities. That is actually the same value as, in estimation, ALL of our paper bills and coinage in circulation. That is just China. There's also Japan and a bunch of other folks around the globe. Also, every time the U.S. runs out of money, it just borrows more by selling additional securities to foreign Nations.
The fact is, at some point all the dudes around the world want their money. If we don't have it, then suddenly global trade starts falling apart BIG TIME. No petroleum products; logistics grind to a halt; imports stop; cash becomes litterally worthless. The markets collapse. Well, if the worst of the worst happens, we could be just like the Weimar Republic with its problems (Look it up) trundling cash around in wheelbarrows.
So, what's the bottom line? We're probably going to be just fine. The fine print? That's what they said a hundred years ago, sometime around 1909. Do the math. It could be a rough 21st century, and it isn't a stupid thing to start thinking about how to survive or profit from bad times.
Some folks say that Gold is a bad idea. Well, folks, quite simply it is not. Yes, it will always go up and down in value; but the key is that it will always HAVE value. Egypt, Rome, since the dawn of time; everybody has given gold value. It's got thousands of years behind it to prove this; so if you're going to buy one thing and hope that it is still worth something when you die, definitely buy gold.
...That said though, it isn't like you can just cash it out at the Safeway or the Wal-Mart... and there isn't anything to say it won't lose value in a year or two if you accidentally buy it on a high.
Not to worry though, since I (and probably most of us here) don't really actually have the cash laying around to buy the stuff, anyway.
Then we must preserve civilization.I hope it includes Beef Stew. A post-Apocalyptic world would suck without Beef Stew.
Read the link...it has no meat at all, only textured vegetable protein.
All Seeing Eye
Admiral
The thing is, even if the Gold you buy loses value in your own lifetime and you never get to cash it in because you'd lose money you can at least give it to your descendants with a note telling them to sell it when the market value is high.
But the Inflation monster is very successful in eating the "gain" in "value".
^ It's all relative, but the key is that it will always be worth something. Dollars, stashed in a box and dug up in 300 years, may be totally and 100% worthless. Gold probably won't be.
I hope it includes Beef Stew. A post-Apocalyptic world would suck without Beef Stew.
And hot, steamy biscuits. With lots of butter.
Gold Prices Will Be Rising Fast! The gold will be rallying on Syria, bullion was already over $1,200 and futures $1.20
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