Three financial observations and three recommendations

Reconstruction is not something that must wait for after the “collapse,” everything in financial and sustainable life is a “fuzzy function.” Either you are financially independent, partially independent or totally dependent. Your success can be measured.

How are we doing today?

  • Gold (a useful metal for some) is now trading ~$1420/oz, if you can get it in hand. Others may be happy enough with “paper gold” to secure their value-storage at least until the paper gold bubble bursts. If you are holding onto physical gold, you’re more independent than someone holding paper gold.
  • Soft commodities for foodstocks (corn, wheat, oats, soybeans) are more expensive than they were six months ago.  This will begin to show up on your local grocery shelves as both rising prices and/or shrinking packages. If you are growing and preserving your own food, you’re more independent than someone who only relies on the diesel-driven food chain in consumer groceries.
  • Unemployment is bad, and flat, if you can believe the “official” numbers.  Businesses are avoiding new credit and expansion because of the general uncertainty of everything. If you are a free agent, you’re more independent than someone who only relies on the benevolence of a corporation or government.

If you’re on Wall Street, you are doing just fine for as long as the systems at the top of the pyramid continue to provide new streams of “fiat value” and mechanisms to trade it.  If you’re on Main Street at the bottom of the pyramid, you know that things are bad, and getting worse.   Wall Street is making more fiat value trading it than investing it into systems down on Main Street.  I myself have been avoiding tilting at windmills in the last year or so because of this economic climate—I cannot tilt at windmills unless I wish to become the disillusioned loner living in a van down by the river.   We live in a carbon-energy and debt-driven economic system in the “modern world” which mandates (if you want the standard of living you’ve been accustomed too) playing by the “rules.”  The research and theory for ξ will continue to grow as well as a plan for bottom-up implementation for families, small communities, and so on. It will always be engineered to manage risk for the individual and societies and promote sound financial practices.

Some advice for everyone:

  • Never stop learning. Never stop questioning. Use and support your public library. If you do not have a public library system anymore, build a private library system—that is, if you have two books you are willing to share, you have a private library system. Dispelling ignorance is self-reliance.
  • Secure yourself some land, at least two acres, and grow anything you can for yourself and your family. Trade the excess (for ξ preferably, fiat-money where applicable) to build your savings–focus on self-reliance before profit. Your existing home may not be “good enough” for self-reliance–you may have to move. Food security is self-reliance.
  • Do not watch mass-marketed “newsertainment.” Full stop. At best it is a distraction and at worst, it’ll feed your fears and keep you up at night and drive you to make decisions against your best interests. Emotional stability is self-reliance.

If you do these things, it’ll help me sleep at night, and yourself. 🙂

Advertisements

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s