Great Depression of 2016

[hemet dennis]

And yet another opinion: http://americanfreepress.net/?p=9899

This would explain those rapid vacillations in the gold market. Now, what is the constant? The dollar or the gold?

If you don't look at the freight train, will it not hit you? I am pretty sure it will.

You completely miss the good of a devalued dollar. Our imports go down, supporting more goods made here. Our exports go up supporting more jobs here.

But it makes no difference the value of the dollar to gold, the value to other currencies stayed the same, because gold isn't money or currency.

Just for fun lets say the FED did manipulate the gold market to lower the price, see what that would do to a countries currency if the value of their currency was pegged to gold ?

If you're facing a freight train take 2 steps to the left or right, you will be fine.

 

[frenchblackcopper]

If you have a food saver(vacumn bag sealer) how long will veggies stay edible as long as they are frozen? Same with canned goods,how long will they last? How about home canned food in mason jars?

 

[Baymule]

If you have a food saver(vacumn bag sealer) how long will veggies stay edible as long as they are frozen? Same with canned goods,how long will they last? How about home canned food in mason jars?

FBC, I have a Food Saver, but so far, I eat everything I put in the freezer in a year's time. I wish I had a bigger garden space so I could raise more veggies. I would like to reach to the back of the bottom shelf and find some frozen UFO (Unknown Frozen Object) and see if it was still edible.

I do love my food saver, it seals the food up and keeps it fresher longer. I freeze cooked meats and when thawed, it tastes like I just took it off the Bar-B-Que pit. I can in jars, using a pressure canner. I have kept food for several years in jars. Store bought canned goods will last a little past their expiration date. Canned goods, home canned or store bought, should be carefully appraised when opened and discarded if leaking or an "off" smell is present. Then bring to a good rolling boil. Home made jams and jellies taste sooooooo good!

Dehydration is also a good way to preserve the fruits of your labors. I dehydrate tomatoes, potatoes, onions, bell peppers and seal them in small amounts with the Food Saver.

 

[rufus]

Dennis, you confuse a cheap dollar with a ruined dollar. When it happens, it will go like it did in Zimbabwe. The currency will be useless.

Many countries keep their currency's value low to improve sales abroad, but they never totally ruin it if they know what they are doing. Now there is so much dollar out there, it is beyond our control. It will cascade.

 

[hemet dennis]

Dennis, you confuse a cheap dollar with a ruined dollar. When it happens, it will go like it did in Zimbabwe. The currency will be useless.

Many countries keep their currency's value low to improve sales abroad, but they never totally ruin it if they know what they are doing. Now there is so much dollar out there, it is beyond our control. It will cascade.

The cause of hyperinflation is a massive and rapid increase in the amount of money, which is not supported by growth in the output of goods and services, and/or cannot be backed by goods and services (GDP) of the country.
Zimbabwe had more currency in circulation then their GDP. We have about $1.4 trillion in circulation and a GDP of over $14 trillion. So we would need to print another $13 trillion to be close to Zimbabwe.

Glad to see your off the gold standard thing. But what you should be worried about is the trade, the trade balance is what makes or breaks countries. Here's a chart, see if you can tell where the country started going down hill.

 

[rufus]

Dennis, I think you have forgotten about the multiplier effect. Banks loan out a lot more money than they actually have. Just as long as they can cover their reserve requirements, they are fine. So, there are a lot of dollars out there that exist on bank books only. What will happen when everyone who has funds on deposit wants to move to another currency?

I see where the Saudis are moving away from the US because we did not fulfill our function as their attack dog. They are upset we didn't bomb Syria and didn't get entangled there. Now if they decide to take payment for oil in another currency, the dollar will be toast. We are lucky in that they have so many dollar denominated investments that they really can't do that right away. They have to withdraw their hand from the trap gradually so that they do not get stuck with a worthless dollar.

They and the Chinese are buying up US real estate like crazy. And yes, when we sell real estate or US bonds to foreigners, it counts as an export on the balance of payments. As for real exports, we will probably never see an improvement in the balance of trade in our lifetimes.

A collapsing dollar will make imports very expensive, but given the power of unions in this country and a general hostility toward business, I don't see a return of industrial manufacturing.That means a rapidly falling standard of living for us. I do not foresee an real bright future. I wish it wasn't so, but it is.

 

[hemet dennis]

Dennis, I think you have forgotten about the multiplier effect. Banks loan out a lot more money than they actually have. Just as long as they can cover their reserve requirements, they are fine. So, there are a lot of dollars out there that exist on bank books only. What will happen when everyone who has funds on deposit wants to move to another currency?

I see where the Saudis are moving away from the US because we did not fulfill our function as their attack dog. They are upset we didn't bomb Syria and didn't get entangled there. Now if they decide to take payment for oil in another currency, the dollar will be toast. We are lucky in that they have so many dollar denominated investments that they really can't do that right away. They have to withdraw their hand from the trap gradually so that they do not get stuck with a worthless dollar.

They and the Chinese are buying up US real estate like crazy. And yes, when we sell real estate or US bonds to foreigners, it counts as an export on the balance of payments. As for real exports, we will probably never see an improvement in the balance of trade in our lifetimes.

A collapsing dollar will make imports very expensive, but given the power of unions in this country and a general hostility toward business, I don't see a return of industrial manufacturing.That means a rapidly falling standard of living for us. I do not foresee an real bright future. I wish it wasn't so, but it is.

When a bank makes a loan for you to buy a home that money is used to pay the sellers loans and the rest in to there bank. Why would everyone want to change their currency ? Currency isn't your home and car and T.V. as obligations are not currency. If everyone wanted to change to Euros then the price of Euros would skyrocket, the federal reserve has a lot of Euros they would start selling for dollars. Japan whats their Yen at between 95 and 100 Yens to dollars, if it gets to 95 yens to a dollar they will start selling Yens and buying dollars dollars, that will bring the Yen down. If the Yen gets to 100 for a dollar then the sell dollars and buy Yens.

We went over this about buying oil already, you don't need dollars to buy oil. If you have 77 Euros you can buy a $100 worth of oil.

The trade I was referring to was goods and services we import and export. Our oil import have gone down a lot because we are producing a lot more oil here, that's money that stays here and employees Americans instead of workers in other countries. With the price of energy in other countries going up and the price here going down that, will bring some manufacturing here. Our exports of LNG will also employ more American workers. Where to be is the right to work states and the states that like businesses, Texas is one such state. You need to change you "foreseeing" glasses, the future is bright.

 

[crazyaboutchickens]

Why would everyone want to change their currency ?

I don't know about everyone, but I'd take silver instead of ink-laced paper or pixels on a bank's computer screen anytime.

 

[hemet dennis]

Quote:
Then take all your money and buy silver coins.
But do you ever wonder about the fact that all the people with the doom and gloom outlook and say you have to buy gold, will take those dollars that they say are worthless for gold and silver ?

 

[crazyaboutchickens]

 

Why would everyone want to change their currency ?

I don't know about everyone, but I'd take silver instead of ink-laced paper or pixels on a bank's computer screen anytime.

Then take all your money and buy silver coins.
But do you ever wonder about the fact that all the people with the doom and gloom outlook and say you have to buy gold, will take those dollars that they say are worthless for gold and silver ?

There are a few things that have physical value I've got to deal with first, as would anyone with such a plan of action.
Not really, because I certainly wouldn't take dollars for gold. What they do is their decision. I've got my outlooks and it's not based on theirs.