Wednesday, November 17, 2010

Gold And Silver In The Coming Dark(er) Days

The Worth of Gold and Silver During Crisis
Much has been spoken by many well meaning would be survivalist concerning precious metals before, during and after an economic collapse. However the road to Hell is paved with good intentions. And just because someone has an opinion does not make their opinion correct. History tells a tale which we should look at when if comes to finances as in every other aspect of life.
It is not hard to detect that we are in the beginning stages of what will be the greatest depression. Why is this one called the greatest depression? Simply because it is greater than what we commonly call the “great depression” of the 1930′s. There again that time period was called “great” because it was the worst depression on record for our country. We have had many many episodes of economic depression, but nothing like we are beginning to see come upon us today. We won’t focus our attention presently on those many times that few study to begin with as that is a topic for another day. We will also not discuss gold’s 5,000+ year history starting within the 2nd Chapter of Genesis. Save that the three wisest men during the time of Jesus brought to Him as gifts. They were as most know gold, frankincense and myrrh; three of the most costly commodities of that ancient time. What is today or will be soon the most costly commodity in today’s world. In my opinion taken in any order you desire; food, ammunition and precious metals.
Looking back throughout history I can only find 5 commodities that has ever been worth anything. Food, clean water, weapons, gold and silver. For anyone trying to prepare for this greatest of depressions all of our efforts should be centered around those items. Sure, those trying to nit pick with their own list will seek to counter this with additional items, but for those that desire such, please understand that all other items needed has been and always will be obtained with that which I have listed already.
Now let us focus on precious metals, something which I know a little about anyway as being a collector and dealer now for over 20 years. Many will buy an ounce of gold/silver and then watch the market price fluctuations as though they bought a piece of stock in a company. Honestly, this will drive a person mad. I have told many that precious metals are not for the weak of heart. Prices go up and prices go down, but one thing that the owner of precious metals can take assurance in is that never in history has precious metals been worth zero dollars. This cannot be said for any other common day investment such as stocks and bonds. There has been a common thread of those who would disavow the procurement of precious metals as the scripture says they would be thrown in the streets (Ezekiel 7:19). And with this one verse many have opted not to devote the time to learn nor the money to protect themselves with precious metals. And for 20+ years now I have answered this question 12,784 times, that this will occur during the “DAY OF THE WRATH OF THE LORD”, and on that day only. No one will care about metals on that day anyway, but until that day comes, precious metals will be worth something. And until that day comes precious metals will protect your wealth. It protects your wealth by maintaining your purchasing power. Which is a fancy way to say that an ounce of gold purchased today will buy you the same amount of items today or a year from today, despite what your dollar is able to purchase a year later.
No one makes money buying precious metals. If the value goes up in fiat dollars then that fiat currency is weakened in its purchasing power. The day will come (and rather quickly I might add) that it matters not how much you paid for precious metals, but rather how much you own.
As one being in the preparedness field (in every area) for over two decades, I have noticed just how much food and other commodities one can acquire. But one that is prepared must take into consideration the possibility that they would need to flee the area which they have stockpiled their supplies. Say you have an extra $5000 dollars in a 401k or savings account. Do you realize how much rice and beans that is? Imagine putting that in your vehicle with everything else you would want to have if you must leave for whatever reason (man made or natural). Just a little money put aside at an earlier date into precious metals could help you vastly.
Let us imagine some hypothetical situations using precious metals during a major social/economical collapse. Bribes. Oh yes, precious metals is an international language. If one must get from point A to point B, as one who has been sought after by foreign governments in the past, gold will get you out of anything. Maybe you must flee and you need a warm meal or a place to lay your head. The inn keepers in Bethlehem would have listened to Joesph a lot closer if he had some gold to pay for his betrothed to have her baby indoors and not in the manger. Say the government wanted the taxes paid on the property you think you own, and you don’t have the worthless paper money. Or the banker comes looking to collect the mortgage, and he wants its total due. Say your child needs medical care, silver/gold could get you to the front of the line when time is of the essence. When the paper is worth nothing in everyday transactions, precious metals will be.
Please do not think that precious metals is all one needs as one trying to prepare for whatever it is that comes down the road in our direction. Food (which includes water) should be number one on your list, many want to trade food as their gold and silver, but what happens if you cannot get to your supplies or for some reason you find your supplies have been reduced unexpectedly. Yes, you must have some way of defending yourself. Then please protect yourself with some precious metal, even if it be only one coin. That one coin could be a life saver.

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