Tuesday, February 24, 2009

Surviving Economic Collapse

Step1 Read. Educate yourself before hand if possible. Read everything you can on how to survive a total economic collapse. Start with "Financial Reckoning Day: Surviving the Soft Depression of the 21st Century" and "Empire of Debt: The Rise of an Epic Financial Crisis", both by William Bonner, for a historical perspective and very well-written analysis of the current situation. Also read "The Great Bust Ahead: The Greatest Depression in American History" by Daniel A. Arnold. (See the Resources section, below.)

Step2 Plan. Make a plan for how to survive a total economic collapse. List your debts and assets. How quickly can you pay down your debt, while still purchasing necessary supplies? Your goals should include no debt and the procurement and storage of valuable assets. Your preparation timetable should be as short as possible.

Step3 Nix debt. Pay off debt and avoid new debt by paying with cash instead of credit cards. Concentrate on paying off high-interest debt, loans with adjustable rates and unsecured debts first. Sell expensive vehicles that have loans to pay off what you owe, and buy cheaper replacements using cash. In order to survive a total economic collapse, you need to have assets, not liabilities. (Note: storing food and resources are higher priority than paying down debt for families of modest means.)
Step4 Buy Silver. Change liquid savings into silver and gold. If the dollar collapses, having precious metals will preserve your money and it can be used as currency or exchanged for a currency with value, such as Swiss francs. As the dollar continues to lose value, silver dollars preserve their value or go up in value, thus protecting your assets in the event of a economic recession, allowing you to financially survive a recession or depression.

Step5 Invest wisely. Re-evaluate your stocks and mutual funds. In order to financially survive a total economic collapse, your investments must be secure. Consider putting some of your stocks into gold (GLD) or opening a precious metals IRA. Research stocks that will survive a total economic collapse through sites like Daily Reckoning Day.

Step6 Store grain. Purchase goods and valuables such as guns for hunting and personal protection, and basic food supplies such as whole grains and legumes, which are easy to store. Invest in water purification bottles and tablets, and keep some bottled water on hand to meet immediate needs in the event of a shortage. All of these will make it more possible to survive a total economic collapse.

Step7 First aid. Prepare a First Aid Kit, sewing kit and other practical necessities of daily life to aid in survival of a total economic collapse. These are good things to have on hand anyway, for regular daily life as well as unforeseen emergencies.

Step8 Build community. Get to know your neighbors and build a community wherever you are. In the event of total economic collapse, life will become very local and survival will depend on working together with others, beginning with families.

Step9 Grow food. Grow some of your own food and raise animals for meat. Chickens and rabbits are small and easy to tend. Chickens provide eggs as well as meat and are excellent sources of protein and fat, both critical for survival. In economic downturns such as a recession or depression, being able to produce food is a important skill to have.

Step10 Barter. Learn how to barter, and stock items to trade. Think about necessities (wool blankets, soap, boots, duct tape, ammunition) as well as luxuries (chocolate, tobacco, alcohol). Useful tools will be more valuable than money if there is a currency collapse. Useful barter items will be helpful to have on hand as you prepare to survive an economic collapse.

Monday, February 23, 2009

Slumdog Millionaire won 8 Oscars last night in the annual Hollywood cinema love fest. I saw Batman but none of the rest because, of course, how can anyone afford to go the movies these days? The late Heath Ledger got Best Supporting Actor for his Joker portrayal in Batman and the homophobic Sean Penn ironically won Best Actor for his role as Harvey Milk, gay activist. Once again, the academy snubbed Rob Zombie for Best Director.

Friday, February 20, 2009

What I Did During The Depression

  • Stock markets continue to fall. Still looking for the bottom.
  • Oilfield operations in North Texas are slowing.
  • Keeping a blog while not having an internet connection is difficult, but not impossible.
  • Robot insects designed for military purposes. http://www.foxnews.com/story/0,2933,456384,00.html
  • 1/3 of all homeless adults in the US served in the military.

Monday, February 2, 2009

Ongoing news indicates the greatest shift of wealth in world history is proceeding nicely. The common man is in a downhill slide that will last for years to come. Poverty and deprivation will likely reach new lows. The results? More dependence on government, less freedom, less choice.

Ah, but we had a grand Super Bowl, eh? The Steelers and the Cards were locked in a titanic display of might that afforded us a distraction from our woes for a few hours. In between the action scenes we were bombarded by displays of materiality and ads for new movies. In all, it was a thrilling evening on the couch.

The Dow is still playing with the 8000 point watershed.

Who killed Kennedy? Does anybody care anymore?