Dollar taking dive

[Cpt Caveman]

Look at whats happened historically to countries that have spent the way we have. Hyper inflation is the inevitable result. Once it gets too expensive for normal folks to buy what they need , then we'll start seeing an uproar.
Of course the Gov't will do it's best to placate folks somehow but they will no longer have the resources to keep all the welfare folks and unemployed satisfied.

 

[rideac]

Depends on what happens to our status as world reserve currency. If they decide to use the funny money as world reserve then we are BONED.

federal reserve notes are equal to funny money. we're already there. new world reserve currency is oil and precious metals.

 

[djl02]

Changing direction? I beg to differ. That course changed a very long time ago. Like a bullet leaving the muzzle, the ballistic curve has peaked and we are no longer in control. Gravity is pulling us down until impact.

I personally don't believe there is any way to turn this around without some level of a collapse. Maybe not a total meltdown, but there will, without a doubt, be much suffering when it does. Preparations are the only sensible thing to do at this point.

As far as precious metals are concerned, they should be a part of your preps, but not for the reason that most people think. Gold and Silver are a means to protect your savings so that you will have some initial buying power in the days just preceeding and just after the meltdown, not to use to buy your way to survival because you didn't cache supplies, food, ammo, water, etc. What many people don't realize is their 401K's and IRA's won't just be worth less because of hyperinflation, they will be GONE! The government does not consider the funds in those accounts the property of the person that put them there because they have not yet taxed it. You don't own it until Uncle Sammy gets his due. In a dollar collapse situation, just wave them goodbye.

Also, follow this scenario: You've put countless hours and money into your food supply, ammo, energy alternatives, etc only to be forced from your home by the banks who own your mortgage. History shows there were a great many people displaced after the Stock market crash in '29 because the banks called the notes in an attempt to stave off their insolvencies. Banks are debtors too and their loans were called. The ball started rolling down hill from there. Foreclosures were eventually halted, but it didn't do the displaced people any good at that point.
Here is where those precious metals come in to play. With hyperinflationary prices, your Silver and Gold have inflated in value as well, however, your mortgage hasn't. Use these to pay off those debts before the banker man comes a knockin and tells you to vacate.

Couldnt have said it better.

 

[thompbarn]

Not doubting you, but can you point me to some articles about this?

Go to Chris Martenson - Information on the global economy, environment, and our energy challenges. Real estate, oil, community, homes, money. - Chris Martenson, ChrisMartenson.com, or John Mauldin - Renowned Financial Expert & Best-Selling Author - Investment, Economic & Financial Analysis, Research. There are plenty of charts and graphs and statistics to back it up. While SHTF could happen (and we should prepare, just in case), far more likely we slip into becoming a banana republic.

 

[Bill B]

Go to Chris Martenson - Information on the global economy, environment, and our energy challenges. Real estate, oil, community, homes, money. - Chris Martenson, ChrisMartenson.com, or John Mauldin - Renowned Financial Expert & Best-Selling Author - Investment, Economic & Financial Analysis, Research. There are plenty of charts and graphs and statistics to back it up. While SHTF could happen (and we should prepare, just in case), far more likely we slip into becoming a banana republic.

thanks. Kinda reinforces what others have been saying, but more points of view never hurt.