Category: Current Events & Politics

Letter Re: An Economic Observation on the Prices of Silver and Gasoline Versus Fiat Dollars

Jim, I hope all is well with you and yours! I am pleased to note that I have made faithful followers of your blog of many of my friends. The more the merrier! The blog has been an incredible source for enlightenment and inspiration. I now advise everyone that I can prove that since 1964 and based upon the 1964 monetary system, the gallon price of gas at the pumps and the relative price of consumer goods have not increased in cost or value. Only the Federal Reserve note has lost buying power. In my humble and simple observation, cost …


Letter Re: Huge Price Hikes by Dow Chemical are an Ominous Inflation Indicator

Jim, In the news today, Dow Chemical is announcing a 25% price increase, following a 20% increase three weeks ago. Since they produce the feedstock chemicals for almost every industry on earth, this should be a great indicator of what’s coming. – ZBM JWR Replies: Ay carumba! Dow produces a huge variety of chemicals and compounds that go into everything from fertilizers to plastics. This is an alarming indicator of consumer price increases in the near future. When paired with fuel price jumps, this becomes downright frightening for near-future food prices at the consumer level. At this point, precious metals …


Letter Re: Economic Impact of Increasing Gas Prices and Declining Real Estate Prices

Mr Rawles: I sent you a link awhile back about the old timer from Wall Street who is still working in the industry and lived through the first Depression – he was greatly worried about what was coming. I agreed with your assessment that he was wrong about staying in stocks. My own former husband is a Wall Streeter who has moved much of his money out of the country now. He manages part of my own retirement portfolio and has been saying that what’s coming is going to be horrific to bear. His grandparents arrived in the US at …


Tomorrow’s Headlines? — A Nationwide Banking Panic

Since September of 2007, I’ve been warning SurvivalBlog readers about the potential for bank failures and bank runs in the US, spawned by the unfolding global credit collapse. I am now raising my warning to multiple red flags. There are certainly some ominous signs. These include: New banking scrutiny–especially for investment banks. Plunging bank reserves. A few more bank failures this year than in a typical year. A record increase in “bank owned” (foreclosed) houses. New FDIC rules on assessing risks at major banks.To be ready for bank runs, the FDIC has even re-hired some former employees from its division …


Letter Re: Update on Storage Food Shortages

Dear SurvivalBlog Readers: As you may know Mountain House has curtailed all shipment of their freeze dried foods in cans throughout the U.S. until at least October of this year. I repeat, the supply from Mountain House has been cut and I fully believe that when their food in #10 cans is available again, it will be at much higher prices. We still have a large supply of Mountain House Freeze Dried foods in our warehouse. It appears that we have one of the largest remaining supplies in the country as some of our biggest competitors are referring their customers …


Letter Re: Numerous New Economic Crash Warnings

Hi Jim, Within the last couple of days I have noticed that multiple economic and financial institutions have started to issue global financial crash alerts. For instance: – Morgan Stanley warns of a ‘catastrophic event’. The point of maximum stress could occur in coming months if the European Central Bank (ECB) starts to raise rates and the Fed backs away from expected tightening. The rates differential “could trigger a ‘catastrophic’ event”. – The Global Europe Anticipation (LEAP/E2020) team is now convinced that this period will consist for the whole world in a major plunge into the heart of the phase …


Letter Re: Gasoline Prices in the UK–a Preview of Upcoming Prices in the US?

Mr Rawles, First, I will be taking the 10 Cent Challenge starting this week, as I get far more than 10-cents worth of information per day from this wonderful blog. Second, I saw this article on the BBC web site. Fuel £1.99 a litre as tanks dry That’s right, for stations that haven’t run dry yet (1970s America all over again?), gas is selling for the equivalent of $14.76 per US gallon. Time to start thinking about what the US would look like at $15 a gallon. Yours, – DLF


Letter Re: More About Recent Flooding in the US Midwest

Jim, I’m sending a follow-up to your link on the historic flooding in Cedar Rapids, Iowa. Typical issues: Roads closed or collapsed, bridges flooded or swept away, traffic jams for miles, power and gas outages, water shortages, businesses closed, forced evacuation of 20,000 people included the local jails and a hospital. Cleanup will take months, and there will be shortages of construction material. Heck, we had shortages of lumber and sheetrock in Iowa during the Florida and Louisiana hurricanes. And what has become typical – jurisdictional disputes. Local law enforcement has its own issues, but FEMA doesn’t play well with …


Two Letters Re: Some Observations on Recent Flooding in the US Midwest

James, I got this from a friend in Indiana: All is well at our house but the town is suffering. Here are a few comments for your edification. – Small rivers come up fast with 10 inches of rainfall. Unknown to me, but if I had delayed another 30 minutes in going home, I would not have been with my family where I was needed. – This was the first time other than snow events when I could not leave town. All roads underwater, including interstates and state highways. – My Chevy 4WD pickup will go through deeper water than …


Some Preparedness Implications of Rapidly Escalating Fuel Prices

The recent jump in fuel prices are going to have some far reaching effects on our economy. There is speculation that crude oil may soon spike to $150 to $170 per barrel. As prepared individuals, we need to adapt our plans, accordingly. It is noteworthy that many of us long hence foresaw these dark days, and installed underground fuel tanks, bought alternate fuel vehicles, multi-fuel generators, and at least one vehicle just for the sake of fuel economy. (If you look at the Retreat Owner Profiles–most of which were written in late 2005 and early 2006–you will see a remarkable …


Letter Re: Neighbors and Friends are Failing to Adapt and Prepare for New Threats

Mr. Rawles: I stumbled upon your blog site last month and it was the equivalent of a “reboot” in terms of my own thinking about how to adapt to the conditions surrounding “Peak Oil” and Global Warming. I’m grateful for your web site and efforts. I commend your honesty. I envy your faith. In the past months local and national events highlight the scope of the trouble we now all face. I’m afraid the direction is irreversible. To list a few, gasoline and diesel prices have climbed to new heights, both global and local weather conditions indicate a promise of …


Letter Re: An Army Officer’s Observations

Mr Rawles, I found your web site a few months ago and have been pouring through it ever since. This past week, I finished reading the SurvivalBlog archives through the end of 2007. Just six months of archives left 🙂 I also just finished reading your excellent novel, “Patriots” As a fundamentalist Christian who was homeschooled, I truly appreciate your willingness to unabashedly share your faith and your conservative family values through your web site and writings. I am also a West Point graduate who became an Armor officer in 2000, so I really enjoy and relate to your anecdotes …


Letter Re: Consumer Price Hikes for Food Will Continue

James – I’m a long time reader first time writer. I have been in the food business for 31 years with many companies, over the past 12 months I have had to raise my prices around 27% but my costs have risen 57%. We are afraid to continue passing on the rise because business has already decreased substantially but within the next few months we will be forced to raise our prices another 25% or quit the business. What I am trying to say is that we are at most, only halfway through the food inflation which has already occurred, …


Letter Re: Observations on Real World Pistol Malfunctions and Failures

Mr. Rawles, Bill from Ohio writes: “Most people buy guns and they never shoot them, in fact, last time I heard a statistic regarding firearms usage in the United States, the national average of rounds fired per gun was seven – and that is over the entire lifetime of the owner!” There are about 250 million firearms in the US and about 10 billion rounds of ammunition sold per year. That’s an average of 40 rounds per gun per year. On average, each US resident fires about 2,400 rounds of ammunition in a 72-year lifetime. Assuming a 40-year lifetime for …


Letter Re: An Oil Trader’s Observations on the Market Implications of War with Iraq

Jim, I’ve been trading crude oil for a few decades now, and in the last two sessions I’ve seen trading like I haven’t seen since Desert Storm, large unexplained up moves, $5.50 yesterday (6/5) and as I type this the market opened $6.00 higher. For a huge liquid market such as Crude Oil, these are large moves. I went to the Jerusalem Post to search out any open source tidbits/indicators and I stumbled upon this article. To buttress this, Gold is up $22 and Silver up 35 cents. The first piece of Israeli ordnance to hit Iranian soil could cause …