The Economy, Post-Election

[Sneakers]

There have been a number of "experts" talking about gloom and doom regarding the economy after the election. Severe downturn in the stock market and investment programs, a 50% devaluing of the dollar... and telling everyone they should be buying crypto, gold/silver, and getting out of the US currency. My investor called yesterday to go over some options, and I took the opportunity to express my concerns about whether we actually have anything to be concerned about, and if we should be entertaining options to protect my investments. And strangely enough, my brother had asked him the very same thing a few days ago!

Anyway, my investor said he'd seen the "experts" videos, read their material, and he then said the best thing I had heard all week. He said they offer free material for the asking. They keep saying free throughout the lectures, until the very end. Then they start saying you need to purchase a recurring subscription to get all of the latest info and planning. And how do you get the subscription? Buy buying it. With crypto? or Silver or gold? Nope. Good ol' US dollars in the form of a credit card or check. The very thing he's accepting is the very thing he's telling you to get rid of.

I thought about it for all of a half second and busted out laughing.

Not making any changes or buying into the gloom and doom scenario.

 

[LightRoasted]

For your consideration ...

There have been a number of "experts" talking about gloom and doom regarding the economy after the election. Severe downturn in the stock market and investment programs, a 50% devaluing of the dollar... and telling everyone they should be buying crypto, gold/silver, and getting out of the US currency.

Well, gold is certainly reflecting the devaluation of the dollar now sitting at $2747 an ounce. Expect the dollar to continue to devalue with gold going higher.

Also, to grasp the manipulation of the markets, especially PM's, silver has a ratio of 408 paper silver ounces to 1 physical silver ounce. What do you think will happen to the price of silver when, if, people begin to start demanding delivery of that silver when there is not enough silver in the market to fill those orders? Currently, silver spot is $33.67. How this manipulation is allowed by the SEC boggles the mind.

And it really isn't doom and gloom. It is the inherent nature of a fiat debt-based monetary system. Absent eliminating the Federal Reserve, the dollar will continue its downward trajectory to be worth less and less and less, necessitating more dollars to acquire an ounce of gold/silver and any other items such as food. Plan accordingly.

 

[vraiblonde]

There have been a number of "experts" talking about gloom and doom regarding the economy after the election. Severe downturn in the stock market and investment programs, a 50% devaluing of the dollar... and telling everyone they should be buying crypto, gold/silver, and getting out of the US currency. My investor called yesterday to go over some options, and I took the opportunity to express my concerns about whether we actually have anything to be concerned about, and if we should be entertaining options to protect my investments. And strangely enough, my brother had asked him the very same thing a few days ago!

Anyway, my investor said he'd seen the "experts" videos, read their material, and he then said the best thing I had heard all week. He said they offer free material for the asking. They keep saying free throughout the lectures, until the very end. Then they start saying you need to purchase a recurring subscription to get all of the latest info and planning. And how do you get the subscription? Buy buying it. With crypto? or Silver or gold? Nope. Good ol' US dollars in the form of a credit card or check. The very thing he's accepting is the very thing he's telling you to get rid of.

I thought about it for all of a half second and busted out laughing.

Not making any changes or buying into the gloom and doom scenario.

Thank you! I keep hearing these shills going on about gold, silver, and crypto and there are enough of them that they made me think about it. And it doesn't make any sense for a number of reasons.

If you want to invest in something that will help you in a SHTF scenario, buy food and water. Learn how to get an electric grid working, and a cell tower. Invest in guns and ammo. Make friends with people who can do valuable things, not the party bros.

Here's something I don't understand, or maybe I do:

Gold and diamonds are considered valuable. But why? What do gold and diamonds bring to the table that makes them have value? The economists call this something that I can't remember - it's like perceived value, or imaginary value, or something like that. But they're a commodity that goes up and down in value for no apparent reason. You can't pay your bills with it, you can't put gas in your car and pay with a diamond chip. If there's no one who wants to buy the diamond, the diamond becomes worthless. Gold, same. *Why* is it valuable? Why aren't seashells valuable? Or dirt? Or cockroaches?

Crypto I never understood. One of my neighbors was a crypto scammer uh, I mean, representative and he tried to explain it to me until his head exploded under my barrage of questions and he gave up. You're buying money, that is somehow better than the money represented by a $20 bill? And crypto is represented by a piece of paper saying it has a certain value....no different than a $20 bill.



I am resistant to the bandwagon. A piece of advice that my step-dad told me that has served me well in life: if everyone is doing something, you do something else.

 

[LightRoasted]

For your consideration ...

Thank you! I keep hearing these shills going on about gold, silver, and crypto and there are enough of them that they made me think about it. And it doesn't make any sense for a number of reasons.

If you want to invest in something that will help you in a SHTF scenario, buy food and water. Learn how to get an electric grid working, and a cell tower. Invest in guns and ammo. Make friends with people who can do valuable things, not the party bros.

Here's something I don't understand, or maybe I do:

Gold and diamonds are considered valuable. But why? What do gold and diamonds bring to the table that makes them have value? The economists call this something that I can't remember - it's like perceived value, or imaginary value, or something like that. But they're a commodity that goes up and down in value for no apparent reason. You can't pay your bills with it, you can't put gas in your car and pay with a diamond chip. If there's no one who wants to buy the diamond, the diamond becomes worthless. Gold, same. *Why* is it valuable? Why aren't seashells valuable? Or dirt? Or cockroaches?

Crypto I never understood. One of my neighbors was a crypto scammer uh, I mean, representative and he tried to explain it to me until his head exploded under my barrage of questions and he gave up. You're buying money, that is somehow better than the money represented by a $20 bill? And crypto is represented by a piece of paper saying it has a certain value....no different than a $20 bill.



I am resistant to the bandwagon. A piece of advice that my step-dad told me that has served me well in life: if everyone is doing something, you do something else.

Gold/silver have been used as money for over 5000 years. (Diamonds have never been used as money. They get their value from intentionally created scarcity. Companies like DeBeers, are sitting on a massive supply that if they were to hit the market would plummet diamond prices to that of penny candy.)

What brings value to gold and silver is scarcity. It is scarcity, portability and durability, that give them value. Gold/silver take a massive amount of labor and energy to mine, then to refine into coins. When gold/silver were used as money, the value was pretty much fixed. People could be assured that the buying power would be the same over decades. Gold/silver coin money saved over the years would still have the same purchasing power.

Though not used as money today, in reality, gold/silver still have the same purchasing power when converted in currency. Buying and holding gold/silver maintains your purchasing power when currencies are inflated. It is an insurance policy that you have physical possession of. Buying an ounce of gold today at $2747 may seem crazy, but perhaps ten years from now that ounce will get you $3800, offsetting the higher prices of everything else priced in inflated dollars. Now you won't have to work longer and harder to come up with the difference of $1053 if you want to buy something.

People that do buy gold/silver do also buy and do the other things you mentioned. If there were a SHTF scenario, gold/silver can be used for barter, after all else one might have for trade has been used up.

The point being, that people, now, invest in things that hold, increase in, value, vis a fiat inflated currency, and that they have physical possession of to sell later if necessary to conduct business in fiat currency.

Crypto is a money laundering scheme, and a fools game. And it is in electronic bits. If power ever goes, so does crypto.

 

[Sneakers]

Gold and diamonds are considered valuable.

I've always believed that in a SHTF scenario, gold and silver will be pretty much worthless. They will want to be paid in things that people want, like food, water, ammo, fuel. Gold and silver aren't edible or life supporting. Think about every apocalypse movie you've ever seen. What are they scrounging and desperate for? Not precious metals. Except maybe lead. Lead will be more valuable than gold because you can make a battery from it.