Day: July 3, 2008

Letter Re: The Reactive Culture, or 20 Years of Greater Depression

Dear Jim, America, and modern industrial democracy, is a reactive culture. We wait for disaster to strike, then we talk about it, vote, and throw money at it until it goes away. That’s what we’ve been doing since the deficit spending initiated by FDR, socialist that he was. Now we’ve reached the end of deficit spending, having exported our jobs, currency, and control of our economy overseas and become a great big lazy balloon floating over the glass recycling bin at the local dump. Gasoline, food, and other essentials are in a tight 18% inflationary spiral and the public is …


Letter Re: Advice on Getting Started in Precious Metals Investing

Jim, Your reader TheOtherRyan wrote asking about how to get started in precious metals investing, especially the challenge of purchasing only a small amount each month. First, Ryan is wise to realize that you want to buy in small amounts, and not wait until a big “buy,” which might be at an unlucky price spike. Investors call the process of buying a little each month with a disciplined approach “averaging in.” It means you’re buying more on the months when the price is low than when the price is high, lowering your average total cost. Unfortunately, it can be difficult …


Two Letters Re: The Five Minute Bank Run

Dear Mr. Rawles, Read the letter from W.D. in Texas with great interest. I have been a recent visitor to your blog and read the postings on the banking system with great interest – and shared them with immediate family. As a Florida resident, even though in the less vulnerable northeastern part of the state, it is prudent to be ready for adverse weather as the ATMs and banks could be closed in an emergency. Good luck trying to get cash at that point in time. I strongly suspect that most people nationwide have about as much cash on hand …


Odds ‘n Sods:

Russ in Georgia sent an article link from Israel that reminds us that the threat of bulldozers should be considered when planning for defending your retreat. It doesn’t take much welding know-how for a miscreant to add a few armoring plates to a Cat. With this in mind, have you laid in a small supply of AP ammo? Let me clarify about the Federal law here in the US: There are no Federal restrictions on most “rifle” AP ammunition, but things get complicated for ammo that can also be fired through some pistols. Pre-ban manufactured AP “pistol” ammo is legal …