Posts Tagged ‘economic collapse’

Roots, the base of all life

071011_2337_Survivingth6.jpgIn my last post, I touched upon new beginnings and the differences/similarities between preparedness and survivalism. Today, I want to look at some of the base concepts that fuel each stage of reaction that we take in this process we call preparedness.

Many years ago, I came to realize that while much of what we see and hear through various media outlets is just plain fruitcake talk. Nevertheless, I also realized there is indeed an aura of “conspiracy” that attaches itself to at least a small portion of this rhetoric. Moreover, upon investigation, we can see that there is indeed something going on behind closed doors, and we do have cause to fear for our futures.

Whether you believe in any one of the seemingly endless theories floating around or not, the world around us is indeed involved in what seems to be a slow speed crash and burn cycle. It has happened before, in various stages of extent, and if we are smart, we will examine these prior crashes and learn from them as we prepare for the coming times.

Let us take the last “great depression” as it has been named. In fact, there have been times when the economy has been worse for this nation, but this long standing event can teach us the most recent lessons to be learned.  Take a moment and consider who survived this era the best.

There were actually two groups of people who came out as last best survivors of that economic collapse, and these groups were millionaires, and those who had land and business interests that were of a sustainable nature. By using the term sustainable here, I am not talking about the corrupted definition that the enviro-worshipers use today, but the classic definition which simply means; able to be maintained. For instance, many of today’s businesses are wildly successful, but in the event of a collapse, can those businesses continue on in a successful manner?

For example, telemarketing call centers are good places to make a quick buck, and they can provide you with a good income, but look into their history and see how many of them enjoy a well grounded platform that they can use to continue on from should some major event bring the world to a halt. There are none that I am aware of that could continue to provide you with an income should something cause an environment to occur where they would not be able to function.

Telemarketing relies upon telephone service, but if we get hit with a large-scale and widespread EMP event, manmade or otherwise, would these companies be able to continue operations? The answer is of course, no. No telephones, no telemarketing. It is a simple concept, and yet many people fail to see the significance of this concept in real terms.

For us to rely upon one single source of income leaves us in a situation whereby we have nothing, should that source of income suddenly become interrupted. Therefore, part of our preparedness planning needs to include an ability to have a secondary source of income.  This does not mean that we need to have two jobs, but that we need to have skill sets that allow us to have alternative means of income production  that will allow us to pay our bills and put food on the table when things go belly up.

No matter what the financial condition is, some means of transfer of wealth needs to used if we are to survive, long-term.  We are used to the presence of cash for that wealth exchange, and many are foolish enough to pretend that credit can be used for that exchange. If we need a pound of flour to make a loaf of bread to feeds our hungry family, where do we get that flour? We have to buy it, or we have to
grow and process our own wheat to obtain that pound of flour.

To buy it, we need money, and if the government fails, there is no money, since money today is merely a promissory note based upon the government’s good word, and nothing more. We call that fiat currency, and many of us believe that this fiat currency may well be soon coming to an end. The alternative is to barter some tangible goods or service we have for that flour.

Herein lays the rub of survivalism, those who have, survive, those who have not merely exist, and are destined to fail. If we study the last great depression, we learn that the only people who survived with any degree of self-respect were millionaires, simply because they had enough tangible wealth whereby they were able to buy themselves survival with extremely debased currency.  And there were those who had land and businesses that provided necessary commodities that everyone else had to have, i.e. food clothing, shelter and other absolute needs for survival. Everyone else had to make do with what they had, and for far too many, this was nothing.

The bottom line here is that if your roots are not healthy and strong, neither will your tree of life be. Make sure the roots of your preparedness planning are strong, and diverse enough to withstand any potentially devastating event.

Over the last so many thousands of years, the system of commerce in this world has changed, and grown to a place where we no longer think in terms of bartering for our needs and wants, but in terms of currency for our wants and needs. When we want a bushel of corn and twenty pound of ground beef for the family reunion’s cookout, we think of what it will cost us in cash. We do not need to look around for somebody that is willing to trade for that corn and beef by accepting something we have to trade for that commodity, such as a new hoe for the farmer that grew the corn, etc. We simply give the seller whatever cash he requests for the goods, and the trade is complete.

There is great benefit to society as a whole in these changes, as we know what we need to be able to “purchase” these good beforehand. We can save up for the impending purchase, or put it on a credit card and pay for the food later. Today, cash is what makes the world go round. Nobody wants to barter something that you made in your woodshop for a gallon of milk sitting in the cooler at the back of the store. If you do not believe me, try it sometime.

However, cash will not always be king, and even now some of the luster of this medium we call currency is waning. People are using plastic more and more. At some point, the frequency of use of actual cash we decline to the point whereby governments will no longer want to print paper currency and stamp coinage. It will become too costly for the return they receive on that currency.

Already we see the trend towards this new reality of commerce often called the “cashless society.” Debit cards, automated deposits, EFTs and other means of electronically moving funds from one person to another are becoming commonplace. In fact, most large employers now all but require you to receive your paycheck as a direct deposit into your bank account. The government (mostly) now issues welfare funds by way of electronic benefit transfer (EBT) cards. No actual cash changes hands unless you take the trouble to go to a bank or an ATM to withdraw your electronic credits as cash.

Scripture tells us that in the end times the beast will have a system in place that prohibits anyone from buying and selling unless the possess the mark of the beast (Rev. 13:17 And that no man might buy or sell, save he that had the mark, or the name of the beast, or the number of his name. KJV) I believe that this new system of trade will result in the Beast’s victory over the world’s economic system.

Therefore, it is to our advantage to learn how to survive in an era where we have two choices to make. Choice one is to give in to the system of cashless transactions, thus lending your support, however unwillingly it may be. The second choice is to learn how to work around the system and deal with the ages old system of bartering for commodities directly. Of course, working around the governments prescribed method of acceptable operations is fraught with danger, but at some point in time, we have to either make a stand for what is right, or be a lemming and comfortably follow the crowd off the edge of a cliff.

One of the problems with bartering is determining the acceptable value of the two commodities to be bartered. Under normal circumstances, and we will use coffee as an example here, a bag of coffee costs X number of dollars, priced at so much per pound. Most of the time, coffee is available in either a fine ground state for drip coffeemakers, or as a whole bean, roasted for your convenience. The best way to obtain and store coffee beans is in the green state, so that you can roast it at your convenience.

The problem is going to be in placing a value on that coffee you have to barter in comparison to the item or service that you intend to trade that coffee for. It is best all around that you begin now to think of your belongings, especially excess items you may have standing in reserve for the strict purpose of bartering. Naturally, the other party will also be giving the same careful consideration to whatever he has to trade to you for your coffee. The trick is to make adjustments fast enough that an equitable trade can be made, so that both parties can be satisfied. Good luck with that.

I wish I could give you a simple formula to determine value, but there isn’t any. Value of any commodity or service is something that changes without warning, and rarely stays constant for very long. Prices rise and fall based upon a myriad of reasons, with the biggest being that of supply and demand. Too much of any commodity, with a low demand for it lowers the price. Not enough of a commodity in relation to a high demand increases the price.

We will soon be entering a period of time where any financial planning we can do now will make things much easier for the long haul for us. Start stocking up on commodities that can be stored long term, and when push comes to shove, you will be able to get those hard to find items by bartering these same goods that you have saved today for use in the future. Things like tobacco, coffee, salt and sugar, candles, matches, fuel oils such as paraffin and kerosene, etc. all of these things will only increase in value as the availability declines.

Austerity is coming, no matter who gets elected in the fall, the only question will be how soon will it enter the picture, and how hard will the powers that be try to hide the fact that today’s federalist lawmakers are bankrupting this nation, driving to a position of servitude to the world’s wealthiest progressive leaders. They will do all they can to enslave you, and they will accomplish this most easily through your increasing use of credit, and your adherence to the cashless payment systems of the world.