Don Williams said...
Re Loquisimo at 7:59 "Many people on that forum are Jeffersonians and believe that true wealth comes from agriculture.
So if you can trade a few eggs or potatoes for bread, you will be far better off than the guy with only worthless USD or even silver and gold."
Those people are not Jeffersonians -- they are Peasants. Peasants who will become sharecropping Serfs when the sheriff sells their farm out from under them because they can not come up with the money for taxes.
Or the occasional necessary bribe for officials. Have you ever heard of an official taking a handful of chickens as a bribe?
Why do you think the US Government stockpiled $Billions in RED paper currency in an underground bunker under Warrenton ,Virginia during the Cold War? It was to manage the economy after a nuclear war -- including making existing caches of pre-war green money worthless.
How did the government plan on making the red paper have value ? By DEMANDING that all taxes be paid in it.
I have nothing against having a self-sufficient farm --but you need money to keep it.
That reminds me of something my grandmother told me a while back.
Back when my grandparents came to Argentina, Argentina wasn't exactly welcoming immigrants with open arms as some Argentines seem to believe these days.
"No" my grandmother told me " You had to be invited by a relative already living here. You had to be claimed and there was a fee to pay as well".
Apparently those that couldn't pay or didn't have a job already, were sent to the provinces to work on the fields.
Again, notice how the city presented better opportunities and a better standard of living, along with more job opportunities.
I found all this to be interesting and its worth looking into it more.
Curious how a few decades later, those same immigrants or their kids would pay to escape the Argentine sinking ship.
My grandfather didn't join in Franco's armed forces and money and a couple hams kept the local authority happy. But then when they needed the papers to leave Spain, since he had eluded the draft, hams weren't enough, as Don says, for serious ... lets just call them favors... you need cash of the day.
Precious metals are usually quickly traded into that in no time, just a couple hours.
For the problems I had recently with our passports again, cash was needed. When I go back I'm taking a perfume and some chocolates to a couple of ladies that helped in one of the steps, at the passport offices. Piece of advice here, whenever you can turn the tables, take advantage of every possibility.
I wont bother contacting the "gestor" (guy that gets thing done thanks to his contacts) again until I need his services, but the ladies in the passport office, no reason why I shouldn't end in good terms. You never know when you might need a favor again.
What Loquisimo is saying is heard often among survivalists but I believe there's a problem with that logic.
You can say you'll trade a hen and a few loafs of bread for a bar of gold. Those are your terms and thats fine.
The problem is that the market says otherwise and has been saying so for thousands of years. That's the thing precious metals have going for them: Withstanding the test of time for thousands of years.
SO you can set any price you want, but if there are a dozen other traders near by willing to deal on recognized market prices, you either accept them or simply lose the possibility of doing business. Every human being greedy to some degree, its understandable that most people end up accepting the free market rules.