In any case, these investments are a good value no matter what happens to the US dollar or our economy.
Since the creation of the Federal Reserve in 1913, the value of the US dollar has gradually declined by over 90%.
This is due to issuing excessive amounts of unbacked paper currency.
Since this decline in value was gradual, few people considered it a crisis.
However, the stage has now been set for a possible collapse or devaluation of the dollar.
Government spending and debt is increasingly out of control.
So far, the government's only recourse has been continued excessive issuing of unbacked paper currency.
The US dollar is created out of thin air.
There is no limit to how many dollars can be issued in this manner.
Possible investments A rapid decline in the value of the US dollar will damage all your paper investments that are denominated in the US dollar.
Thus, investments such as US mortgages, mutual funds, and government bonds may rapidly lose value.
One way to preserve your net worth is to invest in assets that will profit from (or be unaffected by) a decline in the value of the US dollar.
Some of these investments are described below.
Gold and silver coins - These coins have intrinsic value, which has been maintained for thousands of years.
They retain their value because they are desirable and cannot be created out of thin air.
Thus, a static supply and a rising demand for these coins results in increased value for them in all currencies.
You can purchase these coins at local coin shops or from reputable, established coin firms on the Internet.
Food and Trading Goods - If the stores run out of these items or raise their prices, you could be in a world of hurt.
Following are items that you can use or trade in an emergency:
- Aspirin and other off-the-shelf medications
- Assorted scissors and sharp knives
- Bleach or filters to purify drinking water
- Bug and insect spray
- Buttons and a sewing kit
- Canned or dry foods with a long shelf life
- Cigarettes, matches, and cigarette lighters
- Condiments (salt, pepper, and spices)
- Diapers and other baby products
- Dry food for pets
- Eyeglass cleaners
- First aid kits
- Flashlights and batteries
- Flour and sugar in metal containers
- Guns and ammunition
- Hand can openers
- Hand mirrors
- Hand soap, dishwashing liquid, and laundry soap
- Hand tools and gardening tools
- Handbooks on emergency medical treatment
- Handbooks on self-preservation in a crisis
- Instant coffee and dry milk
- Lens to start fires using the sun
- Liquor
- Non-hybrid seeds
- Pails, glass jars, and other containers
- Paper towels, napkins, and toilet paper
- Personal hygiene products for men and women
- Plates, cups, and eating utensils
- Playing cards and other games
- Pots, pans, and cooking utensils
- Rolls of aluminum foil and plastic wrap
- Reading materials (for entertainment and self-help)
- Towels and wash cloths
- Vegetable oil for cooking