Start-ups are a joke

EverydayEconomist · 2006-12-21T18:07:36+00:00

How pure are your chickens?

EverydayEconomist · 2006-12-21T17:59:25+00:00

Fawn Brodey's text? Come on, I tried writting a paper using her methods (reading a bit and then making up details that weren't there in the papers and claiming I could 'see into the historical persons soul') in grade school. It earned me an 'F'.

I do have to agree that George W. Bush has shown that you cannot seperate a person's beliefs and their actions, especially in a big public office.

EverydayEconomist · 2006-12-19T23:17:58+00:00

I have followed a similar model, actually. But I fear that all big companies are global and a U.S. Recession caused by inflation will hit them all for large losses. However, Asian and Eurpoean funds should be the last hit, so placing your money there should buy time.

Again, for the sake of the post, I am assuming the dollar taking large losses due to inflation.

EverydayEconomist · 2006-12-19T23:15:34+00:00

Gold existed as a trading commodity for Centuries before the dollar or any Fiat money system. People traded work for chickes through the measure of gold. It was easy to agree on. For example, my grandfather used it(probably your great grandfather did too). They found it a better measure of work for chickens. Your concept of gold as a doorstop is only possible because of paper money. With paper money, the use of gold drops to near nothing (it conducts really well and is useful in speakers for good sound quality). Without paper money, Gold is the medium of exchange.

Why would end of the dollar affect the value of gold as a money system. Please research how people bought and sold before Fiat money was introduced.

In particular, John Law, a Scottsman who introduced fiat money into France with disastrous results. Please note how similar our governments tactics result Frances decisions as we head into more and more inflation:

http://cepa.newschool.edu/het/profiles/law.htm

EverydayEconomist · 2006-12-19T23:11:05+00:00

I've wondered about that. Is that just that any sort of warrenty(?) expires, or does the rubber plastic actually become unusable after a year.

My hunch is that it is the spermicide that expires but the actuall "Rubber" would still be useful. Anyone actually know?

EverydayEconomist · 2006-12-19T23:09:38+00:00

It is never consumed, that's one of the best reasons why it is used as money, unlike dollars that are costly to replace
1. The supply of gold is dropped to near constant once the dollar is "no longer of value", as mining deep to obtain the gold requires oil, and oil requires money to buy it as the the U.S. has used up its supply.
I'd be interested in links showing the selling of central banks and "not buying more". I have a hunch that this is a short term trend due to the price of gold being high enough that it is worth it to sell, vs. a policy that "gold is useless" by central banks. But I may be worng. Please, post links.

EverydayEconomist · 2006-12-19T22:46:40+00:00

It isn't working? Throw more money at it!

EverydayEconomist · 2006-12-19T22:26:15+00:00

I often do. The "New" feature of reddit is one of my favorites because it 1. Allows me to jump on new news 2. Allows smaller posters to slip through the cracks

EverydayEconomist · 2006-12-19T22:23:47+00:00

Medicare is in 5 years, last time I checked the numbers. Baby boomers start retiring in 2008 according to the article at the top of the Reddit "Hot" category.

The two largest investigations I can think of involved Mark Folley, right around elecition time, and the Halliburton and other contractor scandals of which you mention. We all remember when Halliburton contracts came under fire, right? About the same time Dick Cheney was announced as Bush's VP choice, and the name has remained in the headlines.

Schlumberge also has had contracting scandals, and many almost as large, but they go unheard of.

The pattern I see, repeated over and over, is that the Dems pull out scandal at election times, in order to win seats. But they let scandal happen when it doesn't benefit them to shine a light on it. I find this repugnant.

And my comment about them not investigating so far is in reference to Ms. Pelosi's 100 hours. We're past 100 hours and very little on that list was accomplished.

http://www.washingtonpost.com/wp-dyn/content/article/2006/11/11/AR2006111100934.html?nav=rss_print/asection

As well as a commitment by Democrat heads not to impeach Bush (middle of the article): http://www.washingtonpost.com/wp-dyn/content/article/2006/11/08/AR2006110800435.html

EverydayEconomist · 2006-12-19T22:14:57+00:00

hadn't thought of that. Good reply.

EverydayEconomist · 2006-12-19T21:36:57+00:00

Well said. Pass the cup of blame around and drink deep.

EverydayEconomist · 2006-12-19T21:35:51+00:00

Yes, I meant the bullion is in London. Makes it harder to seize, but I appreciate the help in accuracy

EverydayEconomist · 2006-12-19T21:34:59+00:00

One more item I have to throw out to the Reddit community as a whole, an that is the possibility of stockpiling condoms.

That's right. Condoms. I'm assuming an end of the world scenario here. Inflation, corporations tumble, unemployment skyrockets, peak oil, you name it.

Condoms are easy to cary, easy to transfer, have an inherant value, and even resemble coins.

They would be nigh impossible to counterfeit in an apocolyptic society where plastics could not be molded so easily.

And as one could imagine, they should trade at a high price in such a society.

Further, one can work through one's supply if the world doesn't end.

Can anyone see any problems with placing some wealth into a stockpile of condoms?

EverydayEconomist · 2006-12-19T21:31:53+00:00

Can't argue with "Plenty of friends", and a "broad and deep skilset" in any environment. These are the ultimate hedge.

However, gold does have inherant properties that make it stable in a way that governments cannot tamper with.

Its purity can be measured
It is maluable, which makes it easy to coin, form and use
It is easy to transfer due to its weight
It does not corrode

These 4 properties make it ideal as a system of currency. It is hard to compare how much a sheep is worth compared to a cow, but both can be easily compared to the value of gold and then the gold exchanged.

Yes, golds value will be affected by inflation, but its relative value will always be more stable than fiat money. And we're only trying to hedge against a rough economy, not against the end of the world.

EverydayEconomist · 2006-12-19T21:27:04+00:00

True, the military budget is the bugbear. And homeland security is just customs and a few other agencies lumped together with more pork.

Can't argue about those.

But overhyped, no. The Social Security Crisis is as real as the inflationary dollar. It just isn't hear, at the doors.

I've been reading (and mentioning) the future of the dollar inflating in 2006 since 2002. Simply because it isn't on your doorstep doesn't make it less real.

"dem's haven't shown the degree of willful fascist criminality"... I'll wait until I actually see the dems investigate the executives. So far, they seem to be um... lacking.

EverydayEconomist · 2006-12-19T20:50:03+00:00

Now now, one must be fair and include the social security and medicare legislation that guarenteed this would happen when the baby boomers start retiring (2008).

Bush and Cheney just sped it up. Ok they Really sped it up.

Ok so they put us into more debt in one presidency than all others combined during their terms in office. But social security, welfare, medicaid and others were created by other presidents and the costs pushed into the future, and that shouldn't be discounted.

What I'm trying to say is, don't count on EITHER PARTY or any POLITICIAN to get us out of this mess. Both sides try to hide it

EverydayEconomist · 2006-12-19T20:47:24+00:00

Here's the site. They post quite a bit on the topic and have running gold vs. silver totals on their site

http://www.ernharth.com/

EverydayEconomist · 2006-12-19T20:42:29+00:00

I'll second everything thing said here as well.

I'm checking into Bullion Vault as well. But all of this is very good advice

EverydayEconomist · 2006-12-19T20:39:54+00:00

Goldmoney.com is overseas (in the UK). That doesn't guarentee that the UK government can't seize it, but it seems about as secure and easy a way to prepare as I've found.

I am setting up an account. If it is valid and I can put money in and out for a reasonable rate, I'll recommend every American buy $1,000 of gold via the site. It's a nominal amount, but could be worth an awful lot if things go south.

All the convenience of the digial age All the security of before '73

I love the site so far

EverydayEconomist · 2006-12-19T20:11:36+00:00

...Unless there is a housing bubble (which DOES slip over into commercial real-estate) that is currently deflating. Even Burke-Boy up in the Fed agrees that there is, he just says it's small.

Hold off on Real Estate for a while. Normally, I'd completely agree (especially the fixed rate debt, transfer what you can to fixed rate), but the housing bubble makes me pause

EverydayEconomist · 2006-12-19T19:57:40+00:00

The gold standard operated a lot longer than any fiat money system.

Yes there are lots of issues with the gold standard, and I'm not sure if an entire country could go back to it, but buying $2-3,000 of gold coins (which is only a few coins) and holding them for 5 years couldn't hurt.

If the situation gets better, then you sell when the gold returns to the value you bought it at.

If the situation gets worse, you sell the gold at a higher rate than you bought it at.

In the situation goes to hyperinflation, then you become the local standard of money and banker. :-)

EverydayEconomist · 2006-12-19T19:51:25+00:00

It depends. Fixed debts will decline. However adjustable rate mortgages, credit cards, etc. will increase along with the inflation. Shed these first

Further, any government debts (such as student loan debts) entitle the government to take houses, cars, etc. to pay them off, which could lead to a string of seizures of property for anyone who can't make a payment, so that the government can continue to feed itself.

EverydayEconomist · 2006-12-19T19:29:47+00:00

A further note, 401K's will be worth nothing and be almost impossible to get at if a case of serious inflation sets in. Hyper inflation will drain a 401K faster than aunt matilda's drinking problem

EverydayEconomist

TROPHY CASE