My personal opinion has always been hope and pray for the best while preparing for the worst.
The world economy has never been as close to total collapse, as close to the precipice, as it is now. Never been this fragile.
Those who can read a flow chart know the term hockey 🏑 stick. A fairly often seen scenario, common in all parts of life. It occurs when a tipping point is reached. Like the scales of justice enough weight slowly accumulates on the light side till it suddenly tips.
We have been approaching this point for 100 years. Ever since the federal reserve was created and the government started spending more than the country could produce in tax revenue.
Like the saying goes predicting is hard, especially about the future. So I can’t tell you when that tipping point will be reached, but I can tell you if you look at the numbers the government publishes every year, it will happen.
So, what can be done to prepare? First you need to know what to prepare for, second what you can do with the resources you have, both short-term and long-term.
The end of a country or an economy or a system can come suddenly, as in one month, or more likely over a period of six months to a year.
The sudden collapse would be caused by something major like north Korea exploding a nuke over your country resulting in immediate loss of electricity for an extended period, or it could come from a major storm, like in Porto Rico. This would devastate life, no phones, no fuel for transportation, no lighting. There are methods for preparing for sudden chaos and loss of infrastructure. This requires full on prepper mentality and to be honest there are many sites devoted to this type of activity that can cover it much better than i can.
what I want to discuss here is the six month to a year scenario. With a slow failure of a system you have options, good options, many that make sence even if the system doesn’t collapse.
With a slow failure your biggest problems will come from the government. Capital controls, gold seizure, capital forfeiture, runaway inflation, bank holidays and last but hardly least default on one or more of the three debt holders, foreign governments, social security, or the federal reserve. Once a government defaults their credit rating goes in the trash and they can’t borrow, once they can’t borrow their only choice is to steal from the people like Portugal did a couple of years ago. To see a real world example just look to Venezuela, it wasn’t that long ago it was a rich country, now people cant buy food and hyper inflation has destroyed the economy, now the government wont allow the (people cows) to leave the country. They want to keep milking them. Socialism is great, everyone is equally poor. once they cant pay the army to protect them you will see change, but it wont be pretty and it wont get better quickly.
Now that we have identified the problem, what can we do to protect ourselves and prepare to survive and perhaps thrive? There are many things we can do. First it never hurts to have a few weeks reserve cash in a safe at home, if the government shuts down all the banks as was done in spain a couple of years ago, or if all the electricity is out for extended period, banks records are all electronic, you and your family will be ok. The banks arent paying any interest anyway.
If there are major electric grid problems, crypto-currancy wont do you any good. Cash, Silver, gold, and diamonds will spend in a systematic failure.
Having a bank account in a stable well capitalized country is a great safety net and many actually pay interest.
Having a second passport can allow you to escape if you need to, and its a real sence of freedom. If this interests you check out sovereignman.com
I think the best safety net is having a piece of land in a stable country, one nobody would waste a nuke on. Better if it is arable land you can grow food on, even better if it has a nice vacation home. The world food supply is not going to be able to keep up with population growth, so being able to grow food could put hard cash in you pocket, also if you have children it is perfect way to learn a different language.
Well that’s all I can think of now, please share your comments .
until next time