Gold and SILVER

[MaddSkillz]

Actually it's very true. So if society collapses, what are YOU going to do with rounds or bars of silver? There are many industrial applications for silver - there's no arguing that - but what value would it have to a person in a situation where there is no electricity, no running water, no nothing? Silver and gold only hold real value when there is a use for it. You can't eat it, you can't use it for fuel, you can't drink it - it's worthless in any practical survival situation - and that's exactly what people may face for months or more if SHTF.

I'm well aware of it's industrial importance - and why I urged friends after Obama's election to buy it (and I was stupid and still didn't). I figured Barry was big on solar, and solar requires mirrors, and mirrors require silver.... But again, in a practical, personal setting, sivler is jewelry - and little more. Unless you're out of lead and cast bullets with it.

I think this applies more to the dollar than it would something that has value in and of itself.
I'll take my chances holding a precious metal while others take theirs holding a not so precious piece of paper.

 

[Werewolf]

Did they teach in college that gold has been used as a currency since long before recorded history? What makes you think it would be different in a SHTF scenario?

It wouldn't which was exactly the point I was trying to make here:

This is the one time when having gold or silver might actually act as a common measure of value.

to peacekeeper when he talked about being in contact with orgs that would pay him for his gold and silver after a collapse. After a collapse is when he'd need the gold and silver he has.

 

[JD8]

Actually it's very true. So if society collapses, what are YOU going to do with rounds or bars of silver? There are many industrial applications for silver - there's no arguing that - but what value would it have to a person in a situation where there is no electricity, no running water, no nothing? Silver and gold only hold real value when there is a use for it. You can't eat it, you can't use it for fuel, you can't drink it - it's worthless in any practical survival situation - and that's exactly what people may face for months or more if SHTF.

I'm well aware of it's industrial importance - and why I urged friends after Obama's election to buy it (and I was stupid and still didn't). I figured Barry was big on solar, and solar requires mirrors, and mirrors require silver.... But again, in a practical, personal setting, sivler is jewelry - and little more. Unless you're out of lead and cast bullets with it.

At least someone gets it.

 

[Werewolf]

Silver and gold only hold real value when there is a use for it. You can't eat it, you can't use it for fuel, you can't drink it - it's worthless in any practical survival situation - and that's exactly what people may face for months or more if SHTF.

True in the short run.

That said: Gold and silver acted as measures of value many thousands of years before they had any practical use other than in jewelry and art. Gold was purty, didn't corrode and soft enough to work into coins and measure fixed amounts so that it became a defacto currency even when not controlled by goobermints. Silver not so much but it still changed hands as a measure of wealth for some.

Gold especially will retain value in any situation where there is no fiat currency backed by a governmental entity.

 

[Shadowrider]

It wouldn't which was exactly the point I was trying to make here: to peacekeeper when he talked about being in contact with orgs that would pay him for his gold and silver after a collapse. After a collapse is when he'd need the gold and silver he has.

Oh. My bad...

 

[Shadowrider]

Like Werewolf said, gold is always going to have some value as will silver. Now what monetary authority sets that value is open to debate. But it's been of value to us humans for sooooo long that it's just human nature now, and that's not going to change.

 

[Sharingan]

Under your scenario: Society has collapsed.

Huh? No I said the fall of our monetary policy

What currency will these organizations pay you in? Thought about that?

Actually yes, and that will depend on what is decided as the international reserve currency. A collectional reserve, or single replacement for us. It will most likely be a collectional reserve.... But even then my options are still not as limited to any government as you think.. The option of going through a refinery in which will offer the best price would actually be the easiest route. Business will continue in the rest of the world.

Currency has value because governments say they do and people believe them. Currency eliminates the need to barter by supplying a commonly accepted measure of value. No government, no currency, no common measure of value. This is the one time when having gold or silver might actually act as a common measure of value. Otherwise?

Correct, this is why I also buy 90% US pre 64 coins. They are denominated equally by weight so 'Face Value' works out equally as well. So a common measure of value can be worked out in a time of hardship

So again I ask. If society collapses what are these organizations you are in contact with going to pay you for your gold or silver that has any more value than the gold and/or silver you already own?

Quite alot actually, the fall of the US dollar will mean all the treasury bonds other countries , businesses, and institutions have invested in will give them no return ( if they arent able to exit fast enough) this means there will be quite alot of people on the planet that have 'defaulted on their value'. This is will dramatically increase the demand for physical reserve throughout the entire international financial system. Thus supply(the price of*edit) increases.

... How will what they trade you for act as a commonly accepted measure of value in your collapsed society. Answer: it won't - you'll need to keep your gold and silver. Maybe cut it up into 1 gram chunks or something.

Refer to the 90% pre 1964 comment. My 10 oz ingots have been my investment for larger resources, my 1oz rounds have been my investment for middle capital transactions or services. My 90% pre 64's are designed for daily transactions.

If the SHTF for real and to the point where one would actually need gold or silver - then good luck to you. You're gonna need it..

I would wish us all luck my friend. But human beings are resilient, we shine in times of hardship!

If society's collapse doesn't coincide with the elimination of government good luck keeping all that gold and silver you've got. Think confiscation at worse or compensation with useless paper at best.

I didnt say societys collapse, I said the fall of the monetary policy in this country. However the confiscation is something I like to touch on. Ill be damned if anyone takes my value. I didnt take an interest in firearms to not protect my person and property. Bottom line. :/

HINT: Take econ 101 at any reputable university.

Im noticing a slight condescending tone re-occuring already, have we met or is there something Im missing?




-Will

 

[Sharingan]

At least someone gets it.

In a period of complete social meltdow- The firearms show their value. Precious metals for the rebuilding of the future. Firearms for protecting it.



I absolutely 'get it'. So much so I am investing for the future beyond a financial meltdown.

 

[cjjtulsa]

In a period of complete social meltdow- The firearms show their value. Precious metals for the rebuilding of the future. Firearms for protecting it.



I absolutely 'get it'. So much so I am investing for the future beyond a financial meltdown.

And in a long term situation, I understand that posessing precious metals could be a good investment - I don't doubt that. But I think you underestimate a dollar crash; I highly doubt it would be "business as usual" throughout the rest of the world if (when) our system takes a dump. Too many economies are tied to the U.S. economy, and if we fall, we'll pull many down with us. That's not arrogance - that's the way things were set up after WWII when we pushed for the dollar to be the world's reserve currency. There will be many that come out on the other side, but how long it takes for that "other side" to arrive would be anyone's guess. Nothing wrong with hedging and saving for the "other side" of the shat-storm, but my priority is making it through to the other side.

I sure won't trade a guy any silver coins for some beans when he doesn't have any food. That is if he was able to get close enough to me to ask.......

I intended to buy silver in 2008 and was lazy; now I'm pretty sure I've missed the boat, but wouldn't mind having a little around, even at these high prices. Had many ounces back around 1999-2000, but sold them off because the market just stayed static. Dumb move.

 

[Werewolf]

And when society collapses, i already have connections with other institutions to barter my precious metals.. Being that I am in this industry. If you cant find anybody to buy your metals when the SHTF, come talk to me.. Ill take them off your hands

NO... You said: "And when society collapses". That's very different from a monetary system collapse.

Your entire reply to my post rests upon your assertion that you did not in fact say when society collapses.

Go back and reread my post to you. You will find that your replies to it are not germaine based on your incorrect assumption that you didn't say when society collapses.

As for the whole gold/silver thing: They're just commodities both of which have had not a small part of their current values driven artificially high by doomsayers convincing an undereducated public that they are their only hope in the event of a financial collapse. But what the hey! Doomsayers got to make a living too.