Alan Greenspan on Gold

[Issachar]

In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. ... This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' antagonism toward the gold standard. Alan Greenspan; Gold and Economic Freedom (http://www.financialsense.com/metals/greenspan1966.html): 1966

Issachar

[deanne53]

My question is this, have gold or not, have silver or not, have copper pennys or not, have cash on hand or not. I have read so much, that I really don't know how to prepare on this issue. To me gold would be harder to get rid of, or to break down because of its value if you need it for food and such...Silver to me is affordable, and easier to barter with then gold. Some say have enough cash to pay three months of bills, now they say get rid of it, its worthless. To Keep your pennys and nickels because of the metal value. I don't know for sure what to do

[Waiting...]

My question is this, have gold or not, have silver or not, have copper pennys or not, have cash on hand or not. I have read so much, that I really don't know how to prepare on this issue. To me gold would be harder to get rid of, or to break down because of its value if you need it for food and such...Silver to me is affordable, and easier to barter with then gold. Some say have enough cash to pay three months of bills, now they say get rid of it, its worthless. To Keep your pennys and nickels because of the metal value. I don't know for sure what to do

It seems that the best thing to do is buy land. At least you will be able to grow your own food and have firewood.:idunno

[Christopher Clemons]

My wife and I are coming out of a recent bankruptcy and are slowly trying to put the pieces back together. In it, we've dropped our standard of living and gotten a clearer picture as to what the really important things in life are. I thank the Lord that through our situation we have drawn closer to him, have gotten involved in a church again and also are being drawn back to this word.

In essence, I sit here and read through the economic conditions and what seems to be post after post trying to figure out the best safe haven, is it gold, is it extra food, is it foreign stocks, or what? After thinking long and hard from this, I can come to no other conclusion then I can't predict the future any better than anyone else, and my best hope really is my only hope, and that's to lift these items up to the Lord. I can feel a reassurance that, up or down, good or bad, that God is going to take care of us and we should invest our hearts into him.

[L8DBUG]

My wife and I are coming out of a recent bankruptcy and are slowly trying to put the pieces back together. In it, we've dropped our standard of living and gotten a clearer picture as to what the really important things in life are. I thank the Lord that through our situation we have drawn closer to him, have gotten involved in a church again and also are being drawn back to this word.

In essence, I sit here and read through the economic conditions and what seems to be post after post trying to figure out the best safe haven, is it gold, is it extra food, is it foreign stocks, or what? After thinking long and hard from this, I can come to no other conclusion then I can't predict the future any better than anyone else, and my best hope really is my only hope, and that's to lift these items up to the Lord. I can feel a reassurance that, up or down, good or bad, that God is going to take care of us and we should invest our hearts into him.

Amen Chris. I agree. I'm not sure what to do either. Do I cash in my small 401K and use it to pay off some of our debts? It's been my experience that my marriage and family relationships were better when times were leaner. We didn't have all the day to day distractions and we drew closer together and closer to God. I'm glad to hear that you have found a good church to join. I enjoy reading this thread, as it is giving me some things to be thinking about and what I may need to be doing to prepare. Economics was not my strong point in school.
PS - You have the wrong team as your avatar......GO CATS! :):aha :wave
:tsk sorry, I couldn't resist. I'm feeling pretty good since our big win on Saturday :thumb

[Christopher Clemons]

Amen Chris. I agree. I'm not sure what to do either. Do I cash in my small 401K and use it to pay off some of our debts? It's been my experience that my marriage and family relationships were better when times were leaner. We didn't have all the day to day distractions and we drew closer together and closer to God. I'm glad to hear that you have found a good church to join. I enjoy reading this thread, as it is giving me some things to be thinking about and what I may need to be doing to prepare. Economics was not my strong point in school.
PS - You have the wrong team as your avatar......GO CATS! :):aha :wave
:tsk sorry, I couldn't resist. I'm feeling pretty good since our big win on Saturday :thumb

Well avatar aside, I DID graduate from the enemy school (UK 2003 Alum :lol2), and while my major as in accounting, I did minor in economics so I like to think I have at least a groundwork in these types of conversations. I DEFINITELY agree to your point about relationships being better when times are leaner. In fact, my wife and I are sometimes amazed by how much happier we are when things are tighter.

I also look and think that our country is in the middle of a stagflation trap and that the data coming out over the next few weeks may confirm this. I think the biggest thing to look for in the next few months is to see the effect on oil prices, and which side wins out. Will the economy drop enough to keep oil at its 80-100 range, or will inflation kick in big time when the summer driving season hits? Still a bit early to tell from my view, but I rest assured that whatever happens, it cannot do so opposed to the Lord's will.

[L8DBUG]

Yes, it will be interesting to see what happens in the coming months. I get more information from this board than I do on the news. DH and I have been trying to get our finances in order, as we have some debts to pay off, one being the evil credit card. I've read Dave Ramsey's book and seen him a few years ago when he was in Louisville. I catch him on the radio as much as I can too.

[Issachar]

... but I rest assured that whatever happens, it cannot do so opposed to the Lord's will. This is wisdom.

Many ask on these economy threads, "What are/am we/I to do to prepare for what is coming, whether soon .... next several months, or later .... 3-5 years or more? One thing common to all is to reduce/eliminate debt. This requires a spiritual decision in most cases to not satisfy the desires of the flesh. I say "most" because there are a myriad of exceptions out there due to medical reasons, for example. Even then, imho according to God's Word, believers should be connected to a local body of believers and (topic for another thread someday) that local body should be helping "one another" as they have need, at the very least, as a means of loving one another as well as helping the less able stay debt free. For the community of believers, it should not come down to to 'debt' or 'health'; 'debt' or 'food'; etc. Debt or pool table? They also need to be assisted but in that case, with counseling/discipling.

Much beyond paying down or eliminating debt? Everyone's circumstances are vastly varied. We can't find much of a "this shoe fits all" preparation plan.

Except this ... be in the Word, be in prayer and be in fellowship. As I've stated other days, "fellowship" is MUCH more than mere socializing. Socializing is fine and fun, but in itself, is not fellowship. At least, not on the level that can be achieved as the result of the fellowship of the cross.

I read these threads and contribute my .02 worth now and then mostly as a means of sticking my finger in the air to check the direction of the economic winds. I believe this fits with the admonition to "watch and pray".

Issachar

[Nova]

It is ironic how Greenspan changed his stance when heading up the FED.

Regarding planning, I'd say look at your risks & advantages. If you (or your spouce) are in an industry traditionally hardhit by recession-then you need more of a buffer against unemployment. If you live in a city-then you need more of a buffer for food.

Overall, less debt is better. And I'm planning for higher prices on food & fuel.

After 20 years of minimizing debt & saving, I was looking forward to coasting for a while. Obviously that isn't gonna happen. It is strange to me when people say they are trusting in God vs planning. What happened to trusting in God as the guidepost for planning? I simply don't grasp the dicodomy. At this point, the decisions have become so complicated that I can't fathom planning without God's direction. Not only are there economic pressures, but also questions of weather & safety. So extra discernment is called for.

I agree Issachar, we as Christians, are called to help one another. But our help shouldn't simply enable people to keep making faulty choices. And it is a tough call when I myself make sacrifices to avoid debt while being expected to baleout someone else who has squandered their wealth by embracing debt. Not that I haven't help people in exactly this situation, but I try to steer them toward better financial management as well.

[Issachar]

... our help shouldn't simply enable people to keep making faulty choices. Right. I attempted to address that with the "pool table" analogy. :)

It is strange to me when people say they are trusting in God vs planning. Me to. I won't say it is always true, but I actually do know some believers that say this simply because they have a belief that everything will always be well except for a bump here and there and they simply don't want to sacrifice any of what they call "the good life", so they somewhat tritely say they're "trusting in God". Let the carpet get pulled out from under them and see it they are still "trusting in God".

What happened to trusting in God as the guidepost for planning AMEN! The bible, Old and New Tesaments, is filled with admonition to prepare.

Proverbs 6:
6 *¶Go to the ant, thou sluggard; consider her ways, and be wise:
7 *Which having no guide, overseer, or ruler,
8 *Provideth her meat in the summer, and gathereth her food in the harvest.
9 *How long wilt thou sleep, O sluggard? when wilt thou arise out of thy sleep?

Issachar