Another article about preparation. Remember it's one person's opinion. I notice that the author doesn't mention either community or spiritual preparation
14
Questions People Ask About How To Prepare For The Collapse Of The
Economy
How
in the world is someone supposed to actually prepare for an economic
collapse? What should you do with your money? How can you
make sure that your family is going to be okay? How can you
prepare if your resources are extremely limited? These are the
kinds of questions people ask me all the time. Once people
understand that the economy has
been collapsingand
will continue to collapse, then the next step for most of them is
that they want to get prepared for the storm that is coming. So
where should someone get started? Well, the truth is that no
two people are facing the exact same set of circumstances, so
preparation is going to look different for each individual. But
there are certain core principles that we can all benefit from.
For example, when a financial storm is coming that is not the time to
be blowing thousands of dollars on vacations and new toys. You
would be surprised at how many people there are that claim that they
have no extra money in their budgets and yet somehow have plenty of
money to run down to Wal-Mart and buy a big stack of DVDs. When
times are difficult, each hard-earned dollar becomes much more
precious, and we all need to start getting into the habit of making
the most out of our limited resources. The seemingly endless
prosperity that we have all been enjoying for decades is coming to an
end, and most of us have absolutely no experience on how to deal with
truly hard times. If you are under the age of 60, it might be a
really good idea to read a book or two on what conditions were like
during the Great Depression of the 1930s. There is a lot that
we can learn from our own history.
Another
key characteristic that we will all need in the years ahead is
flexibility. Anyone that has spent any time in the military
knows that very few plans ever work out perfectly. As the
global economy breaks down and the world becomes increasingly
unstable, conditions are going to change rapidly. What might
work really well in one situation might be the exact wrong thing to
do 6 months later. If you are not willing or able to adapt to
dramatic change then you are going to have a lot of difficulty in the
years ahead.
Many
people refer to me as a "doom and gloomer" because I run a
website called "The Economic Collapse" and I am constantly
pointing out that the entire world is heading for a complete and
total financial nightmare.
But
I don't think that it does any good to stick your head in the sand.
I believe that there is hope in understanding what is happening and I
believe that there is hope in getting prepared.
It
is those that are completely oblivious to what is really going on
that will be totally blindsided by the coming crisis. When they
finally realize what has come upon them many of them will totally
lose it.
From
my little spot on the wall I am trying my best to warn people so that
they can have a chance to be prepared for what is coming.
I
am not spreading doom and gloom.
I
am spreading hope.
And
I want to make another point. Generally, things are going to be
getting progressively worse as the years roll along. As I have
written about before, I believe that the economic collapse is not
a single
event.
Rather, I see it as a series of waves that will be punctuated by
moments of great crisis.
So
advice about preparation is going to be different depending on
whether you are talking about the short-term or the mid-term or the
long-term. Hopefully you will keep that in mind as you read my
answers to the questions below.
The
following are common questions that people ask about how to prepare
for the collapse of the economy....
#1
How Do I Get Started?
When
the financial crisis of 2008 hit, what was the biggest danger for
most Americans?
The
biggest danger was that they would lose their jobs and not be able to
pay their bills.
During
the last recession, millions and millions of Americans did end up
losing their jobs.
And
because many of them were living paycheck to paycheck many of them
also ended up losing their homes.
You
do not want that to happen to you.
So
what I am about to say next is not considered to be very "sexy"
in prepper circles, but it is absolutely crucial advice.
You
need to have an emergency fund saved up that can cover your expenses
for at least six months.
That
way if you lose your job or your business goes under you will be able
to keep going for a while as you figure out what your next move will
be.
These
days it takes the average unemployed American nearly 40 weeks to find
a new job, and it will likely be even worse in the next major
economic downturn.
So
make sure that you have plenty of cash saved up just in case.
If you are currently living paycheck to paycheck you
are extremely vulnerable.
#2
What Should I Do With My Money?
I
get this question a lot.
People
always want to know where they should put their money.
Well,
my first piece of advice is always to build an emergency fund.
See #1 above. Most people do not have one.
After
that is done, I am a big believer in not putting all of my eggs into
one basket.
Sometimes
people will tell me that they are going to take all of their money
out of the banks because they don't feel safe having their money in
them.
Well,
if you stick all of your money in your mattress, what happens if
there is a fire or what happens if someone robs you?
That
is why I believe in spreading your risk around. Having money a
bunch of different places is a good thing.
But
one place I would not put it is in the stock market. If you
were fortunate enough to catch the recent rally you should get out
while the getting is good.
If
you have blind faith in the stock market you are going to be deeply
disappointed eventually. I do not have a single penny in the
stock market, and a couple of years from now that is going to look
like a very wise move.
#3
Should I Invest In Precious Metals?
A
lot of people that write about the economic crisis in this country
really advocate investing in precious metals because they tend to
hold value over time (unlike fiat currencies).
I
like precious metals myself, but if you are going to invest you need
to get educated so that you know what you are doing. If you go
in blindly you are likely to get burned at some point.
In
addition, you need to be prepared for wild fluctuations
in price over the coming years. There will be times when gold
and silver absolutely soar and there will be times when they drop
like a rock.
So
if you are going to play the game you need to be able to handle the
ride.
#4
Should I Get Out Of Debt?
Many
that write about the coming economic collapse say that you shouldn't
even bother to pay off your debts because the financial system is
going to collapse anyway.
I
don't see it that way.
I
don't believe that our banks are going to totally collapse and
suddenly go out of existence.
Not
in the short-term anyway.
So
I believe that it is actually a good idea to get out of debt.
When financial troubles hit you don't want a horde of bill collectors
coming after you.
There
is a lot of freedom that comes with getting out of debt, and in this
environment it is wise to become as independent of the system as
possible.
#5
What If I Don't Have Any Money To Prepare?
In
this kind of economic environment it is no surprise that I get this
question a lot.
Many
families are
just barely scraping by
each month and they do not have much money to put into anything.
And
I can definitely sympathize with that.
However,
I would say that there are very, very few families out there that do
not have anything that can be cut out of the budget.
The
truth is that American families are experts at blowing money on
really stupid stuff.
In
general, I recommend that all families do what they can to reduce
their expenses.
The
smaller of a financial footprint you have, the better off you will be
and the more resources you will have to help you get prepared.
Also,
now is the time to be looking for ways that you can increase your
income.
For
many Americans, starting a side business is a way to bring in some
extra cash. Yes, this will cut into your television watching
time, but now is not the time to be lazy.
The
time you spend working hard now while the sun is still shining will
pay off later.
Don't
be afraid to work harder than you ever have before.
#6
Should I Rent Or Buy?
This
is a question that I also get a lot, and it really depends on your
situation.
If
you rent, that gives you a lot more flexibility. You can move
for a new job or a new opportunity without having to sell a house.
And you get to avoid a lot of the expenses and hassles that come with
being a homeowner.
If
you buy, you get to "lock in" your housing expenses for
many years. In a highly inflationary environment this would
potentially be very beneficial. And interest rates are very low
right now.
In
addition, it is going to be really hard to rent a really good
"prepper" property. If you are looking for a property
that is away from the big cities where you can grow your own food and
become more independent of the system, then in most cases you are
going to have to buy such a property.
But
if you do buy, it is going to be much harder to move if something
does happen and you need to go somewhere else.
#7
What About My Health Condition?
Over
the next few years, our health care system should continue operating
at least somewhat normally. But the truth is that our health
care system is
in horrible shape and
it is not a good thing to be totally dependent on pills and doctors.
Even
if economic conditions were perfect it would be a good idea to learn
what you can do on your own to improve your health. But this is
especially true as we move into a time of great economic instability.
#8
Should I Be Storing Food?
Yes.
However,
even though the United States is experiencing a
historic drought right
now, I do not believe that there will be major food shortages in
America this year or next year.
Down
the road, however, is a different story.
And
your food dollars are never going to go farther than they do right
now. As I wrote about the
other day,
this drought is likely to cause food prices to go up substantially,
and so the food you store now might end up being twice as valuable a
few years from now.
In
addition, you never know when a major disaster or emergency is going
to strike so it is always good to become more independent of the
system.
I
encourage everyone to learn how to grow a garden. Yes, your
space may be limited, but there is actually one family that
produces 6000
pounds of produce every
year on just 1/10th of an acre right in the middle of Pasadena,
California.
If
they can do such extraordinary things with their little plot of land,
why can't you try to do what you can with what you have?
#9
Should I Be Storing Water?
It
is always good to have some water on hand in case disaster or
emergency strikes.
And
you should be rotating whatever water you currently have on hand
because you don't want water sitting around indefinitely.
But
what is much more important is to make sure that you and your family
have access to a source of water that you can depend on if disaster
strikes and the grid goes down.
In
a previous
article I
discussed a report put out by the American Trucker Associations
entitled "When
Trucks Stop, America Stops"
that detailed just how incredibly vulnerable our water supply really
is....
According to the American Water Works Association, Americans drink more than one billion glasses of tap water per day. For safety and security reasons, most water supply plants maintain a larger inventory of supplies than the typical business. However, the amount of chemical storage varies significantly and is site specific. According to the Chlorine Institute, most water treatment facilities receive chlorine in cylinders (150 pounds and one ton cylinders) that are delivered by motor carriers. On average, trucks deliver purification chemicals to water supply plants every seven to 14 days. Without these chemicals, water cannot be purified and made safe for drinking. Without truck deliveries of purification chemicals, water supply plants will run out of drinkable water in 14 to 28 days. Once the water supply is drained, water will be deemed safe for drinking only when boiled. Lack of clean drinking water will lead to increased gastrointestinal and other illnesses, further taxing an already weakened healthcare system.
So
yes, water is definitely something you should be accounting for in
your preparations.
#10
Other Than Food And Water What Other Supplies Will I Need?
Anything
that you use on a regular basis or that you would use in an emergency
situation is something that you should consider storing up.
For
example, if you could not buy any more toilet paper from the stores,
what would you do?
Basic
things like that are often overlooked by many preppers.
In
a previous article, I listed dozens
of things you
may want to consider storing. Preparation is going to look
different for every family, but hopefully that list will give you
some ideas.
#11
What Happens If The Power Grid Goes Down?
This
is a very important consideration - especially if you live in a
colder climate.
Some
people have a backup generator for such circumstances.
Others
have set up wind and/or solar systems for their homes.
Alternative
energy solutions are great if you can afford them, and they will
enable you to become much more independent of the system.
But
not everyone can afford to put in solar panels or a big wind turbine.
So
do what you can with what you have.
#12
Should I Leave The Big Cities?
A
lot of people ask me this, but there is no easy answer.
In
this day and age, a good job is like gold. It can be really,
really tough to give up a good job and move to the middle of nowhere.
But
without a doubt, society is starting to
come apart at the seams and
I do expect rioting and major civil unrest in our major cities at
some point in the future.
In
the end, you need to do what is right for you and your own family.
Nobody else can make this decision for you.
#13
Should I Get Some Self-Defense Training?
America
seems to be overrun by psychopaths
and sociopaths these
days, and in such an environment being able to defend yourself
becomes more important.
When
criminals come to your home, they are not going to sit down and have
a debate with you. They are not going to care what your
political outlook is or if you sympathize with their plight.
The
criminals are simply going to do what they came there to do unless
someone stops them.
So
yes, some self-defense training may come in very handy in the years
ahead.
#14
What Should I Do If My Family And Friends Won't Listen To Me?
This
is another very common question that I get.
What
should people do if nobody will listen to them?
Well,
you just have to do the best that you can. If they won't listen
now, just keep planting seeds. Keep sending them articles that
are packed with statistics and information that show why an economic
collapse is going to happen.
In
the years ahead we are all going to need our families and our friends
because communities will endure what is coming much better than "lone
wolf" individuals will be able to.
No
matter how hard you prepare, at some point you are going to need the
help of someone else.
So
don't be afraid to reach out to others.
If
nobody among your family or friends will listen to you at the moment,
you may have to prepare on your own right now.
In
fact, you may have to do extra preparation because at some point it
is probably inevitable that your family and friends will come to you
for help.
That
is the perspective that my wife and I take. We are not only
preparing for ourselves. We are also preparing for the family
members that may have to depend on us someday.
Nobody
said that preparing was going to be easy.
But
beyond any physical preparations, I also believe that it is
absolutely crucial to prepare mentally and spiritually.
The
times that are coming are going to be incredibly challenging.
They are going to require a great deal of physical, mental, emotional
and spiritual strength.
If
you are a "lone wolf" that believes that you don't need
anyone or anything, then I feel sorry for you and I honestly don't
know how you are going to make it.
None
of us have all the answers.
I
know that I certainly do not.
I
have just written nearly 3000 words, but after I post this article I
know that some of the great visitors to my
site will
post ideas that I never even considered for this article.
We
can all learn from each other. Most of the people that I have
met that think "they know it all" are some of the most
clueless people that I have ever come across.
I
never want to stop learning, and hopefully that is the case for you
as well.
If
we work together, perhaps we can all make it through the horrible,
horrible times that are coming.
No comments:
Post a Comment
Note: only a member of this blog may post a comment.