Saturday, May 15, 2010

Insuring your wealth against TEOTWAWKI

When you get on the topic of what you're going to need if TEOTAWKI ever comes around you get a lot of different answers. Some people just roll their eyes and call you crazy for even worrying about it (although those types seem to be less and less common lately). Some people think that their full gun safe and 15 thousand rounds of ammo is all they need. Still others talk about how gold will become the new money. Then there are the guys that think that as long as you have enough food and water you can survive anything. It amazes me how many people seem to be so one dimensional in their preps. Not everyone is like that but they seem to be among the most vocal on the net.

Gold and guns won't do you much good if you don't have a good stock of food. A food stash is the most likely insurance that you'll actually use. Whether you lose your job for a few months, a major disaster shuts everything down or whatever having a good supply of food ahead of time is the best way to ensure that you'll get through whatever situation that life throws at you. Having some seed and the knowhow to grow a garden is also prudent. Have alternative means to cook whatever you store. If the lights go out then the propane won't last long. Neither will the charcoal. Know how to build cheap, effective alternative fuel stoves. Keep as much water on hand as you have the room to store. Have a means to filter or purify it when your stored water runs out.

As long as you have guns then you can get anything else that you need! Find the biggest baddest gun that you can, buy ten of them and then get ten thousand rounds for each of them! Oddly enough there are a lot of people who seem to think like that. I'm of the opinion that just about everyone should be armed. I just don't think that you need a huge arsenal. If it makes you happy then more power to you. If I could afford it I'd have 50 tricked out ARs in a vault in my basement, too. As far as I'm concerned, firearms are just insurance against a situation where you have to fend for yourself. That could be anything from a thug threatening you in a dark alley (get a good handgun and a CCL) to someone breaking into your house to total SHTF where the police stop responding and law and order breaks down. Get what you can comfortably afford, get a respectable amount of ammo for what you have and train with it. If the end of the world really does come around and you survive long enough to actually fire 1000 rounds in self defense then you will probably end up with a lot more guns and ammo in the process.

Once you've got food storage and the means to defend it then it's time to consider storing your wealth. If you're buying gold as insurance against an economic collapse then you should also have some silver and other "small change" on hand. Before you ever buy a one ounce gold coin pick up a few rolls of silver eagles or a few hundred dollars face worth of US coins that are 1964 and older "junk silver". If you're like most people and you can't afford gold then just focus on silver. Find a local coin shop that you can trust or get on ebay and buy a few silver coins whenever you have a few extra bucks. Also, don't count out copper. It's the metal used in most of the lowest denomination coinage throughout history. You can still go to the bank and pick up a box of $25 worth of pennies and get a nice haul of 1982 and older copper coins if you don't mind sorting them. Don't spend your pocket change. Go through it when you get a nice pile and pick out the pre '82 pennies and the nickels. Take the rest of the change, cash it in and use that to buy your silver. When your silver stash starts to get sizable it's time to think about trading it in for some gold. Gold just happens to be one of the most concentrated, widely recognized tangible stores of wealth in the world. It's not just a paper promise. If the world is on fire and you need to get out of dodge asap having a pocket full of gold is the best way to ensure that you'll have something worthwhile when you finally find a place to land on your feet.

When the dollar becomes worthless you won't want to have to buy food and you probably won't want to sell your guns. On the other hand, storing a ton of food is great but if things get ugly then it will probably be the last thing that you want to get rid of. The same goes for your guns and bullets. If the authorities are having trouble keeping things under control then they might frown on you trading off the 50 ARs in your basement when you need something big. How are you going to take them with you if you have to get out of dodge? What about your year's supply of food? Even Rawles may someday regret his choice of locales if Yellowstone decides to blow. That's where the gold comes in. You might have to leave a lot behind if something forces you to move. In that case having a pocket full of gold can't hurt.

11 comments:

chinasyndrome said...

Awesome Post.Diversify.Cover as many bases as possible.

China
III

theotherryan said...

I am also baffled how many people seem to look at just one angle. I wrote something I lot like this not too long ago. Thus I totally agree.

Suburban Survivalist said...

I totally agree that defense and food should have a solid foundation before delving into PM. And PMs are perfect as a hedge against inflation. But when the world "is on fire," I think the time of PMs will be on hold for awhile. Who will want gold or silver when food, water, and security are immediate needs? I'd also guess that a few months after TEOTWAWKI, a lot of gold that was jewelry and wedding bands will be free for the taking by scavengers.

Here's a useful site when buying silver;

http://www.coinflation.com/coins/silver_coin_calculator.html

The Urban Survivalist said...

Personally, I believe that it will take a lot for the system to shut down completely. I have to reiterate the point of this entire article. There comes a point where you have too much food and too many guns. When you get to that point then PMs aren't such a bad idea.

theotherryan said...

Urban Survivalist, I think if people set aside some sort of fantasy escapism stuff they will likely agree. Not that "it" couldn't happen but I see a lot more slips and back steps than an outright collapse. A disaster here gets a poor response. This town doesn't get much food for 6 weeks. The water here doesn't get treated right. High inflation. Higher rates of violent crime.

Things will keep going on more or less the same, unless there is a disaster in your neighborhood or the local stores don't get food, or you get robbed, or loose your job.

Suburban Survivalist said...

It would take a lot to cause a total collapse. Unfortunately, a lot is in the pipe; the Perfect Storm of economic trouble, demographics stacked against us, looming energy issues, depleted farmland, rare earth element scarcity, fresh water deficit, etc. These issues are all already at play, amplify each other in many cases, and can only get worse. I think the totality of issues will eventually be overwhelming to the economy. I'm writing a long-winded post on this that'll be ready in a week or three.

I do prepare for the worst mostly, but find that with only a little extra prep, the more likely, smaller disasters are covered. Like a major winter storm, a terrorist attack (higher probability in the DC area), or whatever. Bug in, bug out, mostly prepared for that.

The Urban Survivalist said...

If you're prepared for the worst then the little stuff won't even phase you.

FireSteel.com said...

Well, the bottleneck may likely be food distribution, which in effect will shut much of society down. People don't like to go hungry, or see their children starving. This will lead to major problems including the defense of your preps.

Can't eat precious metals so the real gold will probably in the form of food that can be easily stored for long periods of time. Food will always be worth something.

Seeds are a great investment, there can be no doubt. But again, you are going to have to have the means to hide or defend your hard work (garden) because a hungry man will stop at nothing to get a meal for his family.

You also have to be aware that your government has the power to seize your preps for re-distribution. Your stocks of food, fuel (gas, oil, firewood) etc will be taken from you and given to those who did not have the foresight to prepare. It is likely that the government officials themselves will benefit most from your "donation" to the public good.

Anonymous said...

I agree with your approach. Diversification is important. I also agree that if Yellowstone goes "the" location might just be gone.

Anonymous said...

Agreed - you need guns and food and ammo for your guns. Even better than just a gun is a gun with a laser sight attached. Paint your target so you don't miss, and the dot might make your target flea so you don't have to waste ammunition on (it?).
www.lasersightpro.com

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