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G20 summit - does it make sense to start buying gold NOW?! (pg. 2)
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| Arbiter |
| To be perfectly frank, for that scenario you would probably be better served investing in weapons... |
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| pkcRAISTLIN |
| quote: | Originally posted by jerZ07002
you are a confusing kid. sometimes you say some pretty smart things.....then you lay down one of those. |
he's a funny one isn't he! |
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| Krypton |
| quote: | Originally posted by jerZ07002
you are a confusing kid. sometimes you say some pretty smart things.....then you lay down one of those.
let me ask you something. if a barter system was reintroduced, how would you barter for your energy? are you going to trade stock advice with the CEO of your power suppliers? Barter is not feasible in our economy, and suggesting its return shows a real lack of understanding of basic economics. |
I'm talking about a total collapse of the currency and economy. Like if nobody was accepting dollars anymore. Total economic collapse. |
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| jerZ07002 |
| quote: | Originally posted by Krypton
I'm talking about a total collapse of the currency and economy. Like if nobody was accepting dollars anymore. Total economic collapse. |
and that chances of that are.....0.000000001%.
the government would ramp up interest rates like it had to in the 70s to prevent any kind of monetary collapse.
While the US has a significant debt burden (about 70% of GDP), Japan is much higher (176% of GDP), and no one is crying that the Yen is about to collapse. In fact, the current trend is to move to the Yen for safety. |
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| Capitalizt |
I doubt we will ever go back to a barter system..but the currency could certainly be worth sh!t. If you owned precious metals, it should be fairly easy to exchange an ounce of silver for paper money when you needed to buy things. There will probably be "scalpers" on the street anxious to get rid of their paper for something tangible.
A stack of $20 bills for an ounce of silver? Deal. ;) |
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| Krypton |
| quote: | Originally posted by jerZ07002
and that chances of that are.....0.000000001%.
the government would ramp up interest rates like it had to in the 70s to prevent any kind of monetary collapse.
While the US has a significant debt burden (about 70% of GDP), Japan is much higher (176% of GDP), and no one is crying that the Yen is about to collapse. In fact, the current trend is to move to the Yen for safety. |
I never said it was going to collapse. You're jumping on something I never said or implied. My stash is for doomsday, if it ever comes. You know, New York City being nuked, World War III, you know...really serious sh1t going down...Price of metals would skyrocket. |
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| jerZ07002 |
| quote: | Originally posted by Krypton
I never said it was going to collapse. You're jumping on something I never said or implied. My stash is for doomsday, if it ever comes. You know, New York City being nuked, World War III, you know...really serious sh1t going down...Price of metals would skyrocket. |
you don't have to say it will collapse, the fact that you're preparing for it is enough.
if an event occurred that was serious enough to cause a collapse of both the dollar and the euro do you really think anyone will want a piece of metal? |
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| pkcRAISTLIN |
| quote: | Originally posted by jerZ07002
if an event occurred that was serious enough to cause a collapse of both the dollar and the euro do you really think anyone will want a piece of metal? |
exactly. who is gonna want gold if the world has been destroyed? i'd put all my spare dollars into frozen/canned food if i were you krypt ;) |
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| Krypton |
| quote: | Originally posted by jerZ07002
you don't have to say it will collapse, the fact that you're preparing for it is enough.
if an event occurred that was serious enough to cause a collapse of both the dollar and the euro do you really think anyone will want a piece of metal? |
As a medium of economic exchange? In the event that a currency would collapse, or become extremely diluted in value, any commodities priced in that currency will see a proportional rise, if not exponential, in the value of that commodity. So the price of food, energy, metals, and commodities in general would sky rocket. I buy gold/silver because it's simply easy to store and is a perfect back stop in case of economic collapse. |
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| Krypton |
| quote: | Originally posted by pkcRAISTLIN
exactly. who is gonna want gold if the world has been destroyed? i'd put all my spare dollars into frozen/canned food if i were you krypt ;) |
Don't worry m8. As soon as I can afford it I would have such a stash of emergency food. These are dangerous times we live in. Living in a country where we are in a perpetual state of war does make one paranoid like that. |
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| jerZ07002 |
| quote: | Originally posted by Krypton
So the price of food, energy, metals, and commodities in general would sky rocket. I buy gold/silver because it's simply easy to store and is a perfect back stop in case of economic collapse. |
The price of those commodities aren't solely dependent on the value of a dollar. If something really serious went down people wouldn't give a about holding onto a piece of gold, which doesn't feed, shelter, or secure a family. People will want food, safe shelter, water, and security. Gold does for people. Gold only provides a back stop when the deflated value is caused by text book economic problems. The only benefit a gold nugget would provide in apocalyptic situation would be the ability to throw it at someone trying to rob you of your food. |
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| Capitalizt |
| quote: | Originally posted by jerZ07002
The price of those commodities aren't solely dependent on the value of a dollar. If something really serious went down people wouldn't give a about holding onto a piece of gold, which doesn't feed, shelter, or secure a family. People will want food, safe shelter, water, and security. Gold does for people. Gold only provides a back stop when the deflated value is caused by text book economic problems. The only benefit a gold nugget would provide in apocalyptic situation would be the ability to throw it at someone trying to rob you of your food. |
If the apocalypse did come and I had a plentiful store of food, I would gladly trade some of my reserves for a few ounces of gold...but wouldn't give you anything for a bunch of little paper rectangles. |
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