financial collapseThe Fed is reversing course. Instead of talking about curtailing money printing, it is now extending it. This comes as no surprise to financial analyst Gregory Mannarino. He says, “There’s no way out of it. The Federal Reserve cannot and will not stop printing money. If they do, it is party over at that moment.” Mannarino points out people are running away from fiat currency and are pouring into gold and silver, and predicts: “There is going to be a mania in metals because they’re going to want to get away from the Ponzi scheme of currency, and they’re going to rush into metals because they’re real assets. “ Mannarino goes on to say, “We have created an alternate reality. We have borrowed cash from the future to live better today. That has created a population boom. When that bubble bursts, it is going to correct, and millions are going to get wiped out here.” Mannarino goes on to say, “This is not just a financial thing but a human life issue, and people are going to suffer as great as if there were a global nuclear exchange.” Join Greg Hunter as he goes One-on-One with Gregory Mannarino.

 

2013 Silver Eagles As Low As $4.99 Over Spot at SDBullion!

  1. Speaking as a newbie to the PM market…what happens when all the SHTF and silver skyrockets?  Can I trade it in for devalued cash or buy some loaves of bread or seeds and ammo with it?  Not being sarcastic.  Just started stacking 1 year ago..been watching/reading all of the sites but I am sincerely muddled about the drama articles I read nightly…
    Any thoughts?

    • @steelers52
       
      To fix a heading on your compass, I suggest you research price structures of the 17th through the 19th centuries. These had evolved from transition between agrarian into mechanized economies. Since that process took place within a nearly 100% specie money scheme, the natural ratios between goods and money was most accurately translated and ‘smoothed out’ across the entire spectrum. Without that perspective, you’ll likely have no real concept as to how you ought to ‘value’ your holdings, which will be a significant disadvantage. We’re on the cusp of global paper ‘money’ rejection by all but the most recalcitrant elitists who are doomed to failure anyway. Whatever you do, don’t listen to their ‘siren song’ they’ll only draw you onto the rocky reefs and plunder your ‘salvage’ once you’re sunk.

    •  
      @steelers52, If SHTF type scenario is your concern, then all the things you list food, seeds and ammo should be acquired prior to a SHTF situation takes hold. Firstly, a barter system may take awhile to develop. Not to say at first, you can’t barter some of your needs with perhaps neighbors, but what if you can’t? Secondly, now is the time to develop some skills that will serve you well. Have you ever planted a garden? Many of those who have planted a garden go to the local nursery and buy plants pre-started. It is a whole different ballgame to start plants from seed to seedlings to plant to fruit. It is not something to be experimenting with when your families life is on the line. I learned from my parents and grandparents the essentials of gardening, disease and pest control and how to store food for the long haul. I’ve been doing it since I could walk and at 44 y/o I still learn many new things all the time. Also, when you visit a prepper website, ask the question “would you barter ammo? Many will tell you flat out NO! They are afraid it will come back to haunt them, if you get me. All the things I am talking about will help you preserve the wealth you have started stacking. Suppose I was your neighbor and you came to me wondering how to start the seeds in this pack of tomatoes, peppers what have you, I might be willing to help, but you will be taking time from my day that will be precious to keeping my family alive. In the best case I would expect you help me make up the time by helping do whatever it is I need help with, or I may ask for some of your stack. Knowing how to do as much as possible, prior to needing it will serve you well. Keep stacking, but prepare what you can before you need it. Tiger
       

    • I’d say, don’t buy into SHTF scenarios.  Instead, think of owning metal as saving money to be invested at a later time when you have enough capital to have it begin growing itself, like starting a business.  The world is a big place, no matter what the internet leads you to believe.
       
      It is not a get rich quick scheme based on financial apocalypse, it is a wealth PRESERVATION tool.  As the destruction of currency and the transfer of wealth continues, there will be people out there who, no matter the price of metals, will be able to gobble up more PMs in a single purchase than you will be able to collect your entire life.
       
      The Rich aren’t going to become poor, the stackers aren’t going to become the Rich.  However, those who have protected their wealth in metals, will not be subject to the same wealth destruction as those who do not (make no mistake smart-big money will eventually jump onto the train when these paper games no longer benefit them as much as owning PMs).  You need a long term perspective and sound faith in the fact that PMs have been preserving wealth since their inception as money.  Ignore the pressure selling tactics and go into it in a state of equilibrium.  Otherwise, you will spend foolishly as your emotions are used to force your wallet open. 

    • Great advice, Tiger.  I agree completely.  There are MANY things that can be stacked.  PMs are just one of them and probably not the most important.  Food of all kinds, weps, ammo, meds, tools, water & water purification, extra clothes (especially good boots), and much else besides.  Anything that is manufactured in large quantity today is cheap.  If it is also useful, then it is a stackable item.  Think things like needles and thread, matches, fish hooks and line, etc.
       
      Wife and I got a very nice stacking item from Costco the other day.  A nice propane-fueled camp stove with dual top burners and an oven. It came with a hose for connecting to a 5-gal. or larger propane tank.  We have two of those already but will get a few more for it, so will be able to cook and boil water for some time before the gas tanks run dry.  If the local propane seller stays in business, maybe he will barter for some of what we have.  If not, we also have a wood-burning stove that can be used in a pinch.

  2. Steeler– Any Commodity will have its own value. Most commodities do not keep. Silver doesn’t rot. As for trading it in for fiat currency I believe that when that time comes it will be too late and the other factor is that this “society” has forgot that Silver and Gold is money. Other Global societies prize it still. I’m seeing a move toward the BRICS plan backed by metals and at that point there will be a true value set.
    Jim Rodgers says it is time to learn how to drive a Tractor.
    If our “leaders” want out of this they need to sell us all tractors and tell “wall street” to invest in tangible goods and the other leaders need to stop funding soldiers to march around in circles.

  3. @steeler52 Well my friend. This is where coinage comes in.  Copper is a commodity with value, hence why pennies held ANY value, dimes made of partial silver are greater denominations of value than pennies, and a fracture of a 1 oz silver round.  When PM’s become money, as they were before fractional reserve banking, you might recall a show “Little house on a prairie”?  Pay attention to people buying a loaf of bread for a nickel, other commodities for a dime.  a days work paid like 2 dollars or less?  What business do you have sweating and laboring and leaving the bedside of your wife, and house of your children, producing goods and services for a piece of paper that some schmuck is printing in his government backyard laboratory?  Likely laughing madly while pulling the lever, I mean think about it?  Do you enjoy producing REAL wealth to hold something someone else creates, which is worthless except for the fact that your told its not at gunpoint? If all men are created equal, who made these men that they should fabricate and be the masters of make believe wealth and you… you lowly serf must sweat and bleed for days to obtain something they fabricate in seconds out of paper? …. I mean… PAPER! I can get REAMS of it at Staples for under 5 fiat dollars! How funny is that? Paper for paper? LMAO the whole fiat system is absurd!

    • ” If all men are created equal, who made these men that they should fabricate and be the masters of make believe wealth and you… you lowly serf must sweat and bleed for days to obtain something they fabricate in seconds out of paper?”
       
      Well, there we have the true essence of it.  REAL men (and women too!) demand REAL money for their REAL labor.  Yes, paper has value because TPTB say that it does and most citizens agree.  When I can still buy PMs, ammo, food, and all manner of other useful items for fiat paper, it still has value.  When that is no longer the case, it will not have value, other than as fireplace tinder or out-house supplies.
       
      In the real world, things have value because they are rare, beautiful, delicious, useful, and / or difficult to produce.  Fiat paper has none of these qualities, yet it still has value if we all believe that it does.  So far, so good.  It still has value.  But this will change at some point and no one knows when that point will be reached.  We will know it when we get there but not much before then.  Because of this, wise people, and there are many such here, will diversify their wealth into real things, retaining only enough paper to handle their expected bills plus some extra for the unexpected.

  4. Steeler
    Labor is the value and the only reason for a monetary system. That’s where the wealth transfer will take place how much labor the percussing power of the metals will gain. One mans labor in exchange for other mans labor.The fiat system will collapse sending the metals value sky high. Historically men worked for a 10th oz a day and that will return after a reset post collapse. But today we earn 10 oz’s and up do to silver suppression that’s like a 100 days labor! Can you see how this is working when we pull all the built up inflation out of the labor cost?

    • @AG925
      May I call you ‘Sterling’? You’d stated that “Historically men worked for a 10th oz a day and that will return after a reset post collapse.”
       
      To which I’d insist is an excessive expectation based on data drawn from a time (the Biblical Era) when the sum total of economics consisted of how much Power one could threaten another with and when slavery (labor at bare subsistance) was as common as fingers and toes.
       
      I suggest instead that the figure of an ounce of silver per day’s average labor (netting two day’s average subsistance) is more realistic, as that ratio had evolved to be the standard during the 16th through 19th centuries after Rational Economic Theory and certain milestone Financing Methodologies had set into socio-economic norms, supported by fairly accurate records of supply-demand data in circulation by pamphlet and later news-paper networks.

    • HI Pat
      I have never seen any reference for 1oz of silver per days labor. I just tried looking again and everything I can find is like 2.5 grams 4.1 grams
      I’ll try copy past and links here and if you have something to substantiate your statements I’ll look them up.
      Going back to ancient Babylon, we know that workers earned the equivalent of about 2.1 grams of silver per day (about 1/15 of an ounce or a little more than $2 in today’s silver prices).
      The Romans may have brought many valuable inventions to the world, but debasement and serious inflation are inventions that humanity probably could have done without. Although the Roman day wage of 1.2 denarii (4.2 g of silver) was pretty consistent with wages during the time of the Greeks
      Around 1300 AD, a laborer in England could expect two earn about 2 pounds sterling in a year, or about 672 g of silver (about 2.1 g of silver per day, given the different workweek of medieval times). Likewise, we know a thatcher in 1261 could look to earn about 2 pennies a day or 2.8 g of silver

      http://commodityhq.com/2012/a-brief-2000-year-history-of-silver-prices/

      Somemore

      The Industrial Age

      By the 18th and 19th centuries, the use of paper money was increasingly common alongside silver and gold coins. What’s more, the price of gold and silver were increasingly fixed and stable for long stretches of time. Sir Isaac Newton fixed the price of gold in 1717, and it pretty much stayed at that at the price (excluding the years of the Napoleonic Wars) until World War 1 [see also 3 Metals Outshining Gold].

      Likewise, the price of silver more or less stayed at about $1.30/oz from the founding of the U.S. through the Civil War. Prices were exceptionally turbulent during the Civil War (rising to nearly $3/oz) and stayed above $1.30/oz until the late 1870s. Prices generally declined through the latter years of the 19th century, dipping below $0.60/oz in 1897, and mostly hovered in the $0.50s through to World War I. From a low of about $0.25/oz in 1932, silver generally climbed thereafter – moving above $0.70/oz after World War II, moving past $0.80/oz in 1950, and crossing $1/oz in 1960.

      Silver jumped alongside gold throughout the 1970s, and spiked to $50 an ounce in January of 1980 as the Hunt brothers (Nelson Hunt and William Hunt) manipulated silver in an attempt to corner the market. Silver crashed shortly thereafter, hitting $8 in 1981, $6 in 1986, and dropping below $4 in the early 1990s. Silver has since rallied through the late ’90s and the first decade of the 21st century, and currently sits around $33 an ounce.

      Tracing the path of wages, we have an average wage of about $1 per day in the latter part of the 19th century, or about 25 g of silver. When Henry Ford revolutionized the auto industry (and how companies viewed wages) in 1914 and offered $5/day (about 10oz of silver), the average daily wage was about $2.34 per day.

      When federal minimum wages began in 1938, the nominal value of those wages were about $2/day (or more than 4.5 ounces). Those wages climbed to about $16 per day in 1974 (about 3.6 ounces of silver) to $58 today (or about 1.75 ounces of silver). Said differently, today’s minimum wage buys about 13 times the amount of silver that the average daily wage in ancient Greece bought.
       
       
       

    • @AG925
       
      Can you explain how “the price of silver more or less stayed at about $1.30/oz from the founding of the U.S. through the Civil War” when a dollar was defined as 371.25 grains of fine silver? Are you saying that 480 grains of silver was ‘priced’ at 482.625 grains of silver?
       
      For the moment I don’t have the reference cites at hand (though I’ll search, since you asked), but my enquiry showed an average of 5 shillings and/or 1.25 dollars as the average (urban) day’s wage from about the mid-1500s through the mid-1800s, for ‘Found Men’ taking no room or board in their bargain.
       
      Here’s just one example from as late as 1923 … ”
      “In the second case the appellee, a woman twenty-one years of age, was employed by the Congress Hall Hotel Company as an elevator operator, at a salary of $35 per month and two meals a day. She alleges that the work was light and healthful, the hours short, with surroundings clean and moral, and that she was anxious to continue it for the compensation she was receiving and that she did not earn more. Her services were satisfactory to the Hotel Company and it would have been glad to retain her but was obliged to dispense with her services by reason of the order of the board and on account of the penalties prescribed by the act. The wages received by this appellee were the best she was able to obtain for any work she was capable of performing and the enforcement of the order, she alleges, deprived her of such employment and wages. She further averred that she could not secure any other position at which she could make a living, with as good physical and moral surroundings, and earn as good wages, and that she was desirous of continuing and would continue the employment but for the order of the board. An injunction was prayed as in the other case.”

      Mr. Justice Sutherland

      Adkins v. Children’s Hospital of DC

      U.S. Supreme Court

      April 1923

  5. I ONLY accept the likelihood of this scenario unfolding where NO ONE is intellectually prepared to be active in carrying on ordinary base level commercial activity in their locale. If we (yes ‘we’ here in this community of ‘stackers’) work out all the elements requisite for production of coinage, commensurate with the TRUE, physically expressed purchase-power of the banks’ notes, we can be instrumental in avoiding all the psychological and social CAUSES that would otherwise quite naturally be expected by folks in Mr. Mannarino’s ‘camp’.
     
    Obviously, emphasis has to be focused on the plight of ‘poor’ folks who’ll NEED a means of earning their living independent of the ‘system’, which will be initially filled by ‘scavenging’ every scrap of copper that can be accumulated. Without such a self-actuated ‘purpose’, desperation WILL ‘fill the void’. But, with that task, they’ll have opportunity to exchange the metal for finished coinage for survival … AND provide capitalization to merchants and producers for employments thereafter!
     
    What WE need to work out in OUR minds, are the … personnel, facilities, handling smelting, refining, assaying, rolling and stamping operations … to be organized and assembled in our communities as quickly as possible after, OR IN ANTICIPATION OF, the financial dissolution we know is unfolding.
     
    In our specific case, we ought to be contemplating BUYING these coppers from the producers (incentivizing them, in turn, to earn silver) at the historic weight-range of 100:1, so we can contribute to local economic ‘base building’ through our own daily exchanges, then further to negotiate financing of other productive ventures within the new paradigm.
     
    All the while, we ought to be organizing Citizen Jural Societies to peacably and lawfully slam the brakes on frantic politicians and bankers who are CERTAIN to put their attorney dogs on us in packs, plundering our Labor to pull their sorry asses from the flames of their self-made ruin.
     
    NO, I don’t presume terrifying havoc and mahem! I rather envision this event as a wonderful opportunity to re-store our inheritance of the American Dream that was initially set out for us to … preserve, protect and defend! I will not cower! I will not shrink from its realization! Will YOU?

  6. I read a lot about the siege of Leningrad in the Soviet Union during the Second World War. The city lived under siege from September 8, 1941 to January 27, 1944, just 872 days.

    During the years of the blockade were killed, according to various estimates, from 300,000 to 1.5 million. So, at the Nuremberg court has a record about 632,000 people. Only 3% of them were killed by the bombing and shelling, and the remaining 97% died of hunger.

    No one man who had gold, starved to death during the Siege of Leningrad.

    • That’s ANOTHER meme I don’t buy for a nano-second … that China is somehow better economically positioned than anyone ELSE in the world. Hey, they’ve been operating on paper-’money’ poison only a little shorter a time frame (late 1930s) than the rest of the world. As I see it, they’re in the ‘mid-80s’ mode in comparison to America and Europe, so a little dose of ‘Granada’ or ‘Faulklands’ is about par for the course. I expect the internal discontent over their economic deterioration requires some ‘flag-waving’ and ‘fist-pumping’ as salve on the rash.
       

  7. There we go another move in the death by a thousand cuts for cash deposit account holders.
    With inflation way above the official numbers and EU economy weakening by the week, unemployment in the Southern countries at worse than the Great Depression what possible can go wrong? Nothing wrong in Europe, everything going swimmingly.
     

    http://www.irishtimes.com/business/economy/europe/ecb-cuts-interest-rates-to-record-low-1.1380444

     
    Note how they only talk of the savings for variable rate mortgage holders….nothing about the soon to be starving fixed income pensioners.
     

  8. Friends,
    I am rather new to this site having made a few posts but mostly edify myself with your knowledge.  When I first got into preparation which includes PMs, the attached article came my way and it had a profound effect on me.  Please take it for what it’s worth but realize that North America is so different from the rest of the world in that we in both Canada and the US have really never known hard times.  Yes The Great Depression was terrible but even then there was a stable currency base. 
    My knowledge is limited so there is no great wisdom being past along but the dynamics of what could take place are so different this time in the fact that we have now multiple generations of “YOU OWE ME” resulting in a very stressful situation.  As a global site other readers may are may not have such concerns.
    There are four parts to this article, I hope you will read them all:  http://www.silverbearcafe.com/private/10.08/tshtf1.html
    Best Regards

  9. Canadian Dirtlump ….I don’t think it’s a question of getting a free pass.  I think most people see his name and just move on.  The title of this article has all the catchy phrases… human suffering, financial collapse and global nuclear exchange.  Lol, I mean damn, who wants to be around for that?  I equate reading something like this to the old days of grabbing the comic section from the Sunday paper.

  10. Steelers 52  I like your question  Use my prepper guide in the ‘best of’ to get a handle on what you should be going now when prices for prepper goods are still ‘low’  Each person who has posted here adds valuable data to the theme.  The few things I’ll add is to be sure you have enough food, water, meds, guns and ammo plus cash and silver/gold  and a safe haven to stay the course for the first couple of weeks or a TEOTWAWKI, the end of the world as well know it.  A localized disaster that we’ve seen many times in the last few years is something that you are likely to see, evenif it’s due to civil strife and not natural causes.  If the problems are larger, more widespread and systemic and likely to last longer, then long term preps are going to be vital and should be coupled with lots of knowledge, information and experience plus precious metals.  If a black swan event lasts more than 3-6 months the chances are a significant part of the US and world wide population will be dead. Sorry about that but no one I’ve met will live very long without food and water.  If you have prepped up you  might be able to buy your way with silver or skills into a community that is surviving on its wits and stored goods. Don’t count on it though.  These folks might not be likely to invite in a stranger with an empty belly.  You should build a network of people who are like minded so that you have some fallback positions that consist of human support. Preps only take you so far before those critical items you left out are gone missing.  You smack yourself in the head and say  20 20 hindsight. Damn
    I am building a local group of people with training in firearms, getting profession training in these arts while accumulating signficant stores of guns and ammo.  I rewarded one person who just acquired an A% 15, ammo and mags with a Day of Resistance coin.
    My additional knowledge plans include the instructions to be come an NRA firearms instructor along with CERT training and additional first aid knowledge. As a volunteer with the local LEO on their search and rescue vessel, I get FEMA training with this work. This allows me to be ‘on the other side of the badge’, potentially a good place to be if there are LEO needs in the local area. As much as it pains me to have to have FEMA training, if nothing else it will acquaint me with how this group may operate in an emergency.

    My local BOB is a secondary and less highly trained group but they are local. My main BOB is nearby but would require 40 miles of travel.
    Our home is a rally point with several homes nearby that are empty since our locale is a vacation area. These homes are vacation sites and empty 95% of the time.  One member of the BOB has abilities to get into homes if needed.  Nuff said in that case. This is a worst case situation but we live in an isolated community, a food desert, so having backup stations and lots of food stored is vital.
    I could go into much greater details but the Silver Doctor Prepper guide will give you some good tips and pointers   This might be a good guide but know this. Each situation that could possibly come up will be different. Reality intrudes on the best paid plans, which will dissolve without plan B, C and D. But the one factor you must know and avoid if you can is the help offered by the government. I am not confident that their abilities are better than mine to secure the safety of my family. I will use every resource I have to avoid the line ‘We’re from the government and We’re here to help’ 
    By then you are going to be nothing more than one more sheeple in the pen.  Bad place to be.  If the razor wire of the emcampment faces inwards that’s designed to keep you in, not bad guys out.  See the Hurricane Sandy videos of people who stayed in the FEMA emergency camps courtesy of Uncle Sam.
    If you get past the rough patch and it only lasts a few days, your preps will be deplete a bit and you’ll be fine.If it lasts a week or more, things get really dicey when those who are unprepped come knocking. That is a subject for another day. Buy food ahead of time on a week, month or 6 months basis means you won’t deplete your family budget. If nothing evil this way comes, you’ll have less expensive food to rotate from your stocks and add to your daily meals
    My best to you,  Welcome to the site and see what you can do to take these posts and use them to your best abilities.  Hope for the best, prep for the worst and try to make yourself safe.

    • One thing that can make you a very valuable team member is be a jack of all trades. I can repair electrical/electronics, do plumbing, build a house, do basic car mechanics, plus I invested in a high quality electric/manual flour mill so I can mill grain for the whole town in exchange for things I can’t do. Keeping people in corn or wheat bread can keep them alive so it is a valuable skill.

    • “I am building a local group of people with training in firearms, getting profession training in these arts while accumulating signficant stores of guns and ammo.”
       
      Ah, but can any of them make things that go BOOM!?  :-)
       

  11. Iknow that Coostco stove  If a person was to store some extra fuel containers you can buy good quality 5 gallon propane tanks filled at a low cost provider like a small gas station or RV park  Even Costco has specials on these tanks.  Another suggestion.  But some NATO 20 liter jerry cans. We have 4 that we refill off our shared fuel depot   This means a short term shutdown of fuel supplies due to a natural disaster will not leave you with a 2 ton paperweight.  These are vapor proof containers with a good spout sold separately.  I store the fuel safely inthe garage and empty themperiodically to get fresh fuel when the prices drop.  sportsmansguide.com has these for sale.

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