One of the scariest scenarios out there is a full economic collapse. Out of all the possible doomsday scenarios you can think of an economic collapse is one of the most viable, especially since we’re already moving full-steam in that direction.
With over $16 TRILLION in on-book debt it’s hard to see how our country will ever dig out from that hole. Add in the fact that much of this debt is with China and you have a serious problem brewing. All it takes is China to call in that debt and mayhem would ensue.
government services while fewer and fewer are adding into them. As these programs start to go negative the money to continue funding them will need to come from somewhere, which means even more debt! All of these signs point to a complete economic collapse where stocks are devalued, inflation skyrockets and ultimately cash becomes worthless.
The warning signs are on the wall, we just need to see them now. There are some steps that you can take now above and beyond prepping with food, water, and other supplies (which you really need to do, obviously) that will help you when things start to get bad and when they turn totally bad. Check out the five tips below to help you prepare for an economic collapse.
1. Start an Emergency Fund
It makes sense to devote a specific amount of money from every paycheck to an emergency fund. This money is for true emergencies like your bug-out vehicle breaking down or worse yet, you losing your job. Things will get worse before the total breakdown so you need an emergency fund to insulate you against the bad times and to make sure you’re ready for the fall.
2. Keep Cash
OK, I know what you’re thinking: “Why the hell would I keep cash if it’s going to be worthless?” This tip has less to do with after the collapse and much more to do with the first steps of it.
The old saying goes that “cash is king” and for most people this will remain true for a while even after the collapse. People aren’t just going to throw their cash away and start trading goats for currency, they will still value cash even if the government doesn’t, which is why you need to as well. When things start going bad you can use this cash reserve to buy last-minute supplies and necessities and people will gobble it up since most people won’t have any thanks to the failing banks.
3. Get Out Of Debt
So if the financial world is collapsing why does debt even matter? In the long run you’re right, it doesn’t, but for the beginning of the collapse debt will mean everything. Before things collapse completely jobs will be lost and finances will be strained. This means that just like the housing bubble that burst in 2008 many Americans will lose their homes and their belongings.
If you’re in debt when this happens, you could lose yours as well. Even though you’re prepared to live off-grid this isn’t the optimal time to start. If you get evicted from your house and your car gets repossessed how are you going to store your prep or get out of Dodge?
The people with no debt when America’s debtors come collecting will be the safest and the best prepared. Not only will this save you in the long run, but the less debt you have to pay off the more money you can put into your prep and your emergency fund.
4. Invest in Silver
Investing in precious metals is something that is hotly debated in the prepping community. From what metals to buy to whether it’s useful at all; there are a lot of opinions. If you want to hedge your bets and go middle of the road, silver is your best option. When cash is finally completely devalued precious metals will most likely be the currency of choice. While this will probably fade into a bartering system eventually, precious metals will hold value for some time after the collapse.
Silver is less expensive than gold, which means it’s easier to buy small amounts at a time. Since silver is cheaper than gold or platinum it can be used in smaller amounts, making it a far better option to use for currency when buying smaller items.
Silver will never be worthless so you’re not really betting on anything by purchasing small amounts when you can. This can even count as part of your emergency fund if you’re strapped for cash. With no negatives and a lot of positives, silver is the way to go.
5. Learn Bartering Skills
The last major step in a complete economic collapse is ultimately moving to a bartering system. With currency worthless and no real need for money like precious metals the real value will be in items that will help you survive as well as items to make you more comfortable.
Take the time now to learn some bartering skills now so you get the most for the items you’re bartering with. Being a good salesperson will get you better deals, which gives you a better chance at survival.
Along with bartering skills like selling you need to learn what to barter with. Keeping items in your prep that are more for comfort than true survival will give you supplies to barter and trade with. Think things like alcohol, toiletries, soap, and reading materials (comics, books, magazines). Think of what would give you comfort in the face of daunting survival and those are the things you need to save.
Wrap-Up
An economic collapse is a scary thing. Our world is based off of our economy, so having it collapse would drive us into a disaster just as bad as the zombie apocalypse that’s envisioned in movies and television.
People place a lot of faith in money and the government’s ability to keep things moving forward, so if these were to fail it would be like pulling the carpet out from under people’s feet. They’ll be surprised and have no idea what to do next. This is why you need to be prepared for it now so when everyone else is scrambling, you’re thriving.
source: www.survivalbased.com
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