Category: Economics & Investing

I enjoy most of what Survival Blog puts out, but the Puru Saxena article is a bit misleading. Mr. Saxena seems to be a bit confused into thinking that 1) all inflation is the same and that 2) control is the same as eliminate. The Federal Reserve’s monetary policy is, has been since its inception, and will most likely continue to be creating inflation. This is not at issue, as the Fed is happy to point out. What Mr. Saxena seems to say is that control over inflation should equal eliminating inflation. The Fed strives to keep inflation within a …

James, I hear that silver spiked again today. I’m very glad I took your advice and bought a half-bag of junk silver last month! It was as easy as you say. I just called the local coin dealer with the biggest ad in the yellow pages. Their price was about $200 cheaper than Swiss America’s. Would it be worth the bother to clean the coins? Virtually all of the coins are quite dirty. My main purpose in storing these coins will be for future barter, if necessary. I’m guessing they would be more attractive for barter if cleaned up. If …

Mr. Rawles: The following response is not intended to be insulting, but I fear it must inevitably come across as such. L.C.’s ignorance is so astonishing in its breadth and depth that I do not know how else to address it. I therefore apologize from the outset for what follows, but understand that this is all intended in the sincere hope of increasing understanding and not some sort of “I know more than you do” contest.  L.C. wrote: “I was moderately concerned for the first time reading your blog this past week in regards to the post on Gold and …

There was an interesting thread of conversation over on The FALFiles Forums about the U.S. 90% silver coinage that was minted up to 1964. The thread began: > Talk about coincidence, I was given two silver quarters im my change from a local McDonalds [the] day > before yesterday. I knew there was something good in all that change as soon as she dropped > it into my hand by the distinct difference in sound the old coins made, the cashier never batted an eye. >I got one 1965 quarter in very good shape and one 1942 quarter that looks …

This is a question that should be of general interest. In your novel Patriots, “The Crunch” was beginning at 16% inflation. With the latest inflation figures annualized at 14.4%, how do we stand on The Crunch index? Will people really believe it is possible, even after it happens? The people I know are incredibly naive and trusting in all-powerful government.- Ron Y. JWR Replies: I think that inflation would have to jump into triple digits in order to precipitate any sort of full scale economic collapse. IMO, it is far more likely that a dollar crisis initiated by nervous foreign …

I have a good friend with whom I chat on the phone quite regularly. I have been bugging him to hedge into metals for the past three years. When the spot price was $4.35 an ounce with the dealer’s commission a 100 ounce Engelhard bar was about $500. At that time, I suggested that my friend buy at least buy one or two $1,000 face value bags of pre-1965 “junk” silver coinage–just in case. He waffled. Then, when silver was $4.80 an ounce, I was practically begging him to buy.  Even though he was sitting on substantial dollar-denominated liquid assets, he …

Silver closed at $8.07 per ounce on Thursday, and gold closed at $485.70. Pardon me for rubbing it in a bit, but I told you so. (See my August 6, 2005 post.) Since $8 is a psychological barrier, there will likely be some profit taking for the next few COMEX market days, so if you missed the boat, you may be able to buy on the dip. But then get ready for the bull to resume his charge. I am still convinced that the metals are just a few years into a long term “secular” bull market. NewsMax reports Gold …

James: First of all, I want to say thank you for putting so much effort in to an active blog on this subject. I try to read daily, and I always play catch-up once a week. I know it takes a TON of work to keep something like this alive and post as much each day as you do, so again, thanks. I was moderately concerned for the first time reading your blog this past week in regards to the post on Gold and Silver Barter. In there you referred to the American public as having “been robbed”. My concern …