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Precious Metals are true currencies: Marc Faber
Commodity Online ^ | 03/02/11

Posted on 03/04/2011 8:14:49 PM PST by TigerLikesRooster

Precious Metals are true currencies: Marc Faber

LONDON (Commodity Online): Global investment analyst Marc Faber says the best and true currencies available in the world today are not US dollar or Pound, but precious metals such as gold, silver, platinum and palladium.

Faber, who is famous for his prediction of the US stock market crash in 1987, said that commodities, especially gold and silver will be the wise investment options for people in the wake of rising inflation and troubled economies around the world.

Faber, who is the publisher and editor of Gloom, Boom & Doom Report, said that if there is a war, gold and silver would be desirable investments to hold.

Faber recommends investors to accumulate gold in response to money supply inflation policies of the U.S. Federal Reserve—policies that have contributed to rapidly escalating commodities prices since the introduction of these unprecedented monetary measures in March 2009.

(Excerpt) Read more at commodityonline.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: gold; inflation; marcfaber; silver

1 posted on 03/04/2011 8:14:55 PM PST by TigerLikesRooster
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To: TigerLikesRooster; PAR35; AndyJackson; Thane_Banquo; nicksaunt; MadLibDisease; happygrl; ...

P!


2 posted on 03/04/2011 8:15:32 PM PST by TigerLikesRooster (The way to crush the bourgeois is to grind them between the millstones of taxation and inflation)
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To: TigerLikesRooster
Civilized trading construct. Fantasy if the $tuff hits the fan. Third option?
3 posted on 03/04/2011 8:22:21 PM PST by allmost
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To: TigerLikesRooster
Precious metal would be worth nothing in a TEOTWAWKO situation. Consider...

You have enough food for 2 weeks

Some guy comes up and offers 3 pounds of pure gold for it

You...Accept? I think not.

4 posted on 03/04/2011 8:27:40 PM PST by Celtic Cross
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To: Celtic Cross

But ... I have enough food for two and a half weeks. I’d take it. Maybe it’s just me, but I think I could barter my two weeks of food back using just one of the three pounds of gold. Who knows ... maybe even more food than that, for less gold than that.


5 posted on 03/04/2011 8:44:10 PM PST by coloradan (The US has become a banana republic, except without the bananas - or the republic.)
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To: allmost

Third option for what? currency?

here’s a few logical options:

tobacco
coffee
booze
drugs
ammo
fuel
drinkable water
luxuries like perfume, deoderant, toothpaste, toilet paper
animals


6 posted on 03/04/2011 8:44:10 PM PST by mamelukesabre (Si Vis Pacem Para Bellum (If you want peace prepare for war))
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To: mamelukesabre

Tobacco and water.


7 posted on 03/04/2011 8:47:19 PM PST by allmost
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To: TigerLikesRooster

http://en.wikipedia.org/wiki/Pebble_Mine#Reserves_and_resources


8 posted on 03/04/2011 8:53:07 PM PST by hosepipe (This propaganda has been edited to include some fully orbed hyperbole....)
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To: TigerLikesRooster
Gold, silver, etc., were more attractive in ancient times due to their portability. Today that's not such an advantage. Portland cement, for example, is in high demand worldwide at all times YET not everyone is equipped to manufacture it ~ not that the primary component is in short supply, but typically coal fired kilns are used.

Got Coal? Got Portland!

It keeps well ~ and is portable with modern transport equipment.

9 posted on 03/04/2011 8:53:54 PM PST by muawiyah (Make America Safe For Americans)
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To: allmost

Tobacco is attractive because it’s easily portable. It’s also already established as currency in prisons. Drugs are also attractive for the same reasons.

I left out spices, pepper, salt, sugar in my original list


10 posted on 03/04/2011 8:56:09 PM PST by mamelukesabre (Si Vis Pacem Para Bellum (If you want peace prepare for war))
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To: coloradan
Going price for tulip bulbs (based on an actual event ~ 1943 the Dutch bombed the dykes near Walcheran Island to let in the sea to flood the German Army. Everybody in Northern Europe had a famine that winter too.

ONE CARET = ONE HANDFUL (roughly a meal for 2 or 3 people).

What you want are items far more portable than gold ~ so you can hide the stuff after you make the sale.

11 posted on 03/04/2011 8:57:25 PM PST by muawiyah (Make America Safe For Americans)
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To: mamelukesabre

Discussing this throws me off.


12 posted on 03/04/2011 9:00:35 PM PST by allmost
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To: TigerLikesRooster

I always have a tough time getting change when I use precious metals to pay for my groceries.


13 posted on 03/04/2011 9:02:19 PM PST by Moonman62 (Half of all Americans are above average. Politicians come from the other half.)
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To: Moonman62

Yep.


14 posted on 03/04/2011 9:04:12 PM PST by allmost
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To: Celtic Cross

I would not even let the guy know that I have the two week supply...though I have much more.


15 posted on 03/04/2011 9:28:09 PM PST by WorldviewDad (following God instead of culture)
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To: mamelukesabre

Just look at what fueled the black market in Europe after WW2 and you will know what becomes real “currency”.

One thing not on your list. Sex. For half the population that will be used as barter for necessities.


16 posted on 03/04/2011 9:33:17 PM PST by ChildOfThe60s ( If you can remember the 60s....you weren't really there)
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To: TigerLikesRooster

bfl


17 posted on 03/04/2011 9:38:51 PM PST by PGR88 (I'm so open-minded my brains fell out)
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To: TigerLikesRooster

OK, help me understand a gold standard.

If the gov’t only issues money backed by gold, then how does wealth get created? i.e. everything can be redeemed back to a GOVERNMENT vault? Just trying to understand, our fiat currency is certainly not working either.


18 posted on 03/04/2011 9:44:15 PM PST by RushingWater
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To: TigerLikesRooster

Gold became currency only becuase it was rare and therefore relatively hard to counterfeit. Any amounts dug from the ground belonged first to the crown (or whatever despot was there at the time).

Today... a gold-backed dollar is just wildly impractical, and counterproductive. The money supply is best managed according to the productivity of an economy, not the amount of some shiny yellow metal that can be dug up out of the ground.

It really just doesn’t make sense.


19 posted on 03/04/2011 9:50:54 PM PST by Ramius (Personally, I give us... one chance in three. More tea?)
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To: Celtic Cross

Sometimes I have trouble envisioning that a total society collapse could happen in America.

The reason?

We are simply too well armed.

The life expectancy of a thug-type looter, murderer, rapist, general ne’er do well might be measured in weeks or even days.

That doesn’t mean that commodities like food and gasoline and tobacco could near almost priceless values.

But I would bet that some kind of equilibrium could be reached fairly soon.

Who knows!!!


20 posted on 03/04/2011 10:03:08 PM PST by djf (Dems and liberals: Let's redefine "marriage". We already redefined "natural born citizen".)
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To: djf
It would happen in the cities for sure. Those places would be hell.

In the suburbs, most people would probably just starve, on account of being yuppies who just aren't equipped to survive. (I'm a 'burb-dweller, but I prefer to think that I'd make it :) )

Out in the country, things would probably be all right, especially in conservative states where I could forsee local government and even more so upstanding citizens keeping order.

21 posted on 03/04/2011 10:15:58 PM PST by Celtic Cross
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To: mamelukesabre; All

I have an old dollar bill “Silver Certificate”. How would I cash it in, or does it have rarity value? After WWII I had relatives stuck in Germany. My mother used to send Care Packages with cigarettes, silk stockings, cans of sardines, chocolate, sewing kits, etc.


22 posted on 03/04/2011 10:29:39 PM PST by gleeaikin
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To: gleeaikin
I have an old dollar bill “Silver Certificate”. How would I cash it in...

Obtain time machine. Set dials for 1964. Activate.

23 posted on 03/04/2011 10:45:00 PM PST by Stentor ( "All cults of personality begin as high drama and end as low comedy.")
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To: mamelukesabre

Don’t forget seeds :)


24 posted on 03/04/2011 10:55:39 PM PST by surfer (To err is human, to really foul things up takes a Democrat, don't expect the GOP to have the answer!)
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To: Celtic Cross

I live in the burbs too.....so many people with garages stuffed with JUNK....or BARE....ours....well...let’s just say...I was a Girl Scout for 10 years. One of our neighbors gave GHW Bush his Security briefing when he became President....I think he’d help us keep order....I do worry more about the 4-5 prisons around us...


25 posted on 03/04/2011 11:02:40 PM PST by goodnesswins (I'm not a great man....I just believe in great ideas! Ronald Reagan)
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To: gleeaikin

So far it’s worth one dollar. Coin shops have them on sale for a little more than a dollar but no one ever buys them. you cannot get silver for them anymore. I believe Nixon canceled that.


26 posted on 03/04/2011 11:45:49 PM PST by mamelukesabre (Si Vis Pacem Para Bellum (If you want peace prepare for war))
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To: muawiyah

It requires massive amounts of fuel to make, and a fair amount to transport. Hm.

Does it keep well? I know a bag of concret will set in my garage after a month or two, lol. Maybe that’s after lime is mixed in?


27 posted on 03/05/2011 2:00:36 AM PST by Freedom4US
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To: Stentor

Actually, 1968. But who’s counting. Silver certs were kinda cool, but even back in the day a kind of arbitrage formed because even then a silver dollar was worth a bit more, esp. rare or rarer dates and mintmarks.

I think maybe one had to go out east somewhere to do this, not every bank had bags of dollars laying around. Towards the end, the government was redeeming them with little bags of silver “shot” bullion, useful perhaps, for dispatching massed assaults of Vampires with Remington 870. But by 1968 the bills were no longer redeemable for anything.


28 posted on 03/05/2011 2:11:41 AM PST by Freedom4US
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To: goodnesswins

You guys have 10 years worth of Snickerdoodles and Thin Mints in your garage? :)


29 posted on 03/05/2011 2:14:26 AM PST by Freedom4US
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To: muawiyah
Portland cement, for example, is in high demand worldwide at all times YET not everyone is equipped to manufacture it ~ not that the primary component is in short supply, but typically coal fired kilns are used.

Yeah, but it is hard to make change.

30 posted on 03/05/2011 4:36:28 AM PST by broken_arrow1 (I regret that I have but one life to give for my country - Nathan Hale "Patriot")
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To: broken_arrow1

Sacks take care of that problem! And fork lifts!


31 posted on 03/05/2011 4:50:43 AM PST by muawiyah (Make America Safe For Americans)
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To: muawiyah

“Portable”? Cement??

A Saturn 5 is “portable” too - with the right equipment. No, “portable” means what one can carry, naked, running from hordes of screaming zombies.


32 posted on 03/05/2011 5:41:28 AM PST by Freedom4US
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To: Freedom4US
Actually, 1968. But who’s counting.

Apparently, not me. (;>)

33 posted on 03/05/2011 7:08:51 AM PST by Stentor ( "All cults of personality begin as high drama and end as low comedy.")
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To: Freedom4US

For modern man “portable” takes on a whole new meaning.


34 posted on 03/05/2011 8:53:23 AM PST by muawiyah (Make America Safe For Americans)
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To: coloradan
But ... I have enough food for two and a half weeks. I’d take it. Maybe it’s just me, but I think I could barter my two weeks of food back using just one of the three pounds of gold. Who knows ... maybe even more food than that, for less gold than that.

LOL! Its really Business 101, and an MBA will be of no use in that situation!

35 posted on 03/05/2011 2:06:53 PM PST by PGR88 (I'm so open-minded my brains fell out)
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To: Celtic Cross
“Out in the country, things would probably be all right, especially in conservative states where I could forsee local government and even more so upstanding citizens keeping order”

I live in the country...can't even get high speed Internet...and the “neighbors” tend to watch out for each other...I even heard of a plan to remove road signs if everything would collapse so that the city folk would not be able to find their way around in the “country”.

36 posted on 03/05/2011 2:13:30 PM PST by WorldviewDad (following God instead of culture)
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To: WorldviewDad
Thats clever about the road signs! Not something I would have thought of.

If there were a collapse, I would hope to bug out into the boonies myself.

37 posted on 03/05/2011 2:52:24 PM PST by Celtic Cross (Does your stream of thought have fish in it?)
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To: Celtic Cross

U need to put down ¨Patriots¨and look instead at ferfal.

A complete collapse is not necessary or even likely in the event of a currency collapse. Some social unrest may be likely but a financial convulsion does not mean we are all going to be in our bunkers killing off motozombies trying to steal our food.

Plus even if that happens, commerce will eventually return, and when it does, gold and silver have always from the dawn of time been tradeable commodities.

I personally have over 15,000 rounds of .22 ammo, 3,000 rounds of 7.62x39 AK stuff, 2,000 rounds of 5.56. 5,000 rounds of 9 mm and lots more of other stuff. I have 20 cases of MREs and 60 case of the #10 cans of dried food the Mormons have, so I do respect a SHTF scenario. I am also in a partnership with about 20 other families with a retreat outside town with some (very loose at present) plans to occupy and have a small community there if things get very very bad.

HOWEVER, that is not the likely scenario, and a person with hard currency (or commodities) is likely to become very wealthy in the event of a currency collapse. There are billionaires in Russia who are not mafia folks at all, but were able to pyramid their worthless rubles into marks/dollars/pounds when it all went south.

The only possibilities are NOT life as it has always been and John Wesley Rawles.


38 posted on 03/05/2011 3:51:33 PM PST by AK_47_7.62x39 (There are many moderate Muslims, but there is no such thing as a moderate Islam. -- Geert Wilders)
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To: surfer

especially ngm (non genetically modified) seeds.

I could easily forsee a time when they would literally be more valuable than gold


39 posted on 03/05/2011 3:54:09 PM PST by AK_47_7.62x39 (There are many moderate Muslims, but there is no such thing as a moderate Islam. -- Geert Wilders)
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