How To Survive When The Dollar Crashes
Ten years ago, only a small number of people would have listened to a statement like this, but today the evidence is growing rapidly that the world economy is not sustainable.
The US dollar is overextended and the sheer volume of US debt is beyond anything that can be done to draw it back.
So, we will very likely, in the next 2-3 years, experience a catastrophic crash of the US dollar.
The important thing now is that you are prepared for that crash and have the resources you need to protect your family, your income and your assets from the ensuing chaos.
Here are some important steps you can take to prepare for this.
1. Feeding Your Family
The single most important thing you can and should worry about is how to feed your family.
How will you do so if the grocery stores are empty and the US dollars you have stashed away are worthless? It’s an important question and therefore the first thing you should consider in your preparations.
There are two ways to protect against a food shortage. First, you can and should grow your own food. If you have any amount of property or space for canisters or pots for plants, stock up on seeds.
Over the course of the last 100 years, our society has moved away from agriculture sharply. At one time, half of the human resources in developed countries were expended to grow and harvest food.
Today, that number is less than 15%.
We don’t know where our food comes from anymore and the vast majority of the population has no idea how to grow and sustain food. Take action now to educate yourself in doing these things and you will always be able to feed yourself and your family.
While you can certainly grow a large volume of food – more than enough to feed your family for some time – it may not be enough and you’ll never know about factors like weather or the seed viability.
So, you should also stock up on bulk foods like grains, dry beans, canned milk, and other non-perishables that can be used at any time. Keep them in rotation and replace any that are close to their expiration date as they approach it.
2. Transfer Wealth into Physical Stores
Your current wealth is likely almost entirely in cash. Whether you live in the United States, the Eurozone or another country with a questionable economy, that paper money won’t be worth much for long.
Gold and silver, however, are historically strong stores of wealth. They will retain their value better and for much longer than a fiat currency because they cannot be manipulated in the same way as a paper currency.
Gold is your best bet in this circumstance – bars and bullion are good and if you are worried about gold being seized by the government, numismatic coins have long been a trusted way to store wealth without this fear. Silver should also be included as a diversification and easier to spend commodity.
3. Diversify Assets and Increase Income Sources
While gold and silver are a good way to store a large percentage of your wealth, you should diversify the rest into overseas holdings.
If you want to hold paper currency, choose one that is stable – such as the Swiss Franc, Swedish Krona, or Canadian Dollar.
You can also diversify into overseas mining companies that deal in precious metals as their growth potential is greater than straight metals.
Beyond diversification, start developing multiple income sources.
Real estate is still risky as the bubble has not yet bottomed out, but finding other ways to increase passive income through development of skills, assets that can be leveraged online such as websites, and more can all provide ongoing income in the event your primary income source is interrupted by the crisis.
Keep Your Family Safe
Last but not least, keep your home secure and your family safe.
During a crisis of this magnitude, there is no telling what will happen. Cities are already beginning to reduce police protection to meet strict budget guidelines and crime can rise along with poverty in extreme situations.
Do what you need to do to protect your home and your family.
By being prepared, you will gain the peace of mind knowing that you can handle anything that is about to happen, regardless of how severe the crisis becomes.