By Russell D. Longcore
In this article, I’d like to present you with some cause-and-effect scenarios about The End Of The World As We Know It (TEOTWAWKI) and When The Shyt Hits The Fan (WTSHTF). You see, I could just smack you in the face with a bunch of potential scenarios like they are a fait accompli (pretty fancy talk for a tinfoil-hat guy). But you’ll likely be more convinced if you see what will happen and convince yourself of the outcomes.
So here goes.
1. The Global Economic Collapse: It’s ALL about the money. Washington DC has led the entire planet in monetary policy since WWII. American gold-backed dollars became the world reserve currency and continue in that role to this day. But during that same time period, the gold was disconnected from the dollar, and the dollar became only paper currency. Couple that with fractional reserve banking, in which banks can create money from thin air. Now you have a world reserve currency that has no limit. Consequently, as the criminals in DC ran monetary policy, there were able to defraud every nation on earth with currency that has continued to lose value over time. DC, the International Monetary Fund and the global bankers have loaned trillions of dollars to nations all over the planet. Now the nations are defaulting on their sovereign debts, and America is in line to do the same. And, none of the nations have the political will to stop.
This system is grinding to an end. So, here are four likely outcomes:
a. Hyperinflation – just like in Weimar Germany, Argentina and Zimbabwe, hyperinflation will destroy the money, eventually making paper money worthless. That’s because the government printed up too much paper money. For those of us 70 years old and younger, we have had inflation all our lives. We have never known money that doesn’t lose value. It’s like if you just paid all your bills by writing checks to everyone when there’s no money in your account. Eventually, people will stop accepting your checks (your dollars)…and then it’s all over.
b. DC default and bank failure – When DC cannot guarantee banks, like through the FDIC, banks will have no protection against bank runs. The banks will close. ATMs and credit cards will cease to work. You’ll be lucky if you can get ANY of your money out.
c. Eventually, the nations of the world that presently buy US Treasury bonds will refuse to buy more, knowing that they will be paid back with dollars that continue to lose value. Once DC cannot borrow anymore, DC defaults.
d. Somewhere on the planet, an entity that holds US Treasury bonds will try to sell their Treasuries, and dump too many bonds onto the Bond Market in too short a time. Think about crowd mentality…if you see everybody around you selling off something you own, won’t you also try to sell so you don’t end up with worthless paper? So, the bond market could easily crash, creating a ripple effect throughout the world economy that topples many nations’ economies at once.
So, in light of ANY of these events, what will happen around America?
Regular people keep very little money stashed at home. Most people will have less than $500 cash on hand in any given week. I don’t mean $500 in their bank accounts. I mean $500 at home. And I’m being generous. The number is probably more like $150. And when filling your tank can cost $100, that doesn’t leave much money for groceries, does it?
If the banks close, and ATMs and credit cards stop working, what will you do for cash THAT DAY? Merchants will accept only cash when the cards stop working.
If you still have a job, what will your employer use to pay you? Cash? A check that no bank will accept? Gold? Silver?
And what will happen to prices for everything when demand spikes? Prices will spiral upward. So, if you could find a loaf of bread it will cost many multiples of its original price. Guaranteed. So much for your cash stash.
Do you have a pantry or stash of food that could feed your family for a few months? Most people these days let the grocer be their inventory, and the people keep little at home. So what will happen if the credit cards/ATMs don’t work and you…and thousands of other people just like you…show up at your local grocer? Food riots will occur. Flash mobs will just carry off whatever they want. The stores, which only carry three days’ inventory at best, will be empty quickly.
What will you and your family do if you run out of food and other supplies? Will you resort to theft, burglary and armed robbery, like some of your neighbors will do?
You could live for a few weeks without food before starving to death. But what if your city water department shuts off the water supply? Where will you get potable water? There won’t be any of that on the store shelves either. You could die in just a few days without water. And how about the water needed for washing food, or flushing toilets? You could quickly have a toxic mess on your hands at home.
Now, consider what happens to the hundreds of millions of people that are on maintenance prescriptions for medical conditions, like heart, cancer, diabetes, etc. What will happen to them if they cannot buy their drugs anymore? What happens to all the people who are on drugs to control mental conditions, like psychosis, depression or schizophrenia?
Next – when money loses its value, or the banks do not work, desperate people will do desperate things. So crime will soar, and violent crime will skyrocket as hungry people steal anything to get a meal. The people that do NOT carry a firearm AT ALL TIMES will have a new name…victim…maybe dead victim.
Next – if you found that you had cash that no merchant would accept because of hyperinflation…how would you buy anything? You would either barter, or you would use an alternative money that merchants would accept. Gold and silver have been money for 6,000 years. In a post-apocalyptic America, gold and silver will be the new money. Everybody will accept gold and silver. And because of the existence of the new money, a thriving black market will instantly spring up. With gold and silver, you’ll be able to buy most anything you need or want. You will stop thinking about money in dollars, and you will start thinking about money as ounces of gold or silver…as it has ALWAYS BEEN back into antiquity.
The Founders invented the “dollar” in 1792, from the German word “thaler,” as a round coin containing 371 ¼ grains of pure silver. Money is supposed to be weight, not value against another currency.
In a related subject, desperate people will sell their stuff for pennies on the dollar for gold or silver. So you’ll be able to buy things you could not have afforded in pre-crash America…that is, if you have gold and silver.
OK- I’ve given some outlines for an economic crash scenario. Is there anyone out there that believes that ANY of these examples COULD NOT occur? WILL not occur?
This first part brings us to make some logical conclusions about who will survive and who will not.
Phase I: The First 90 Days After The Collapse
In the first 90 days, there will be a massive die-off of the elderly, the sick, children and adults that die from lack of food, water, medicine/medical care and murder. And many deaths will be attributable to suicide, as people decide it’s better to end it quickly than to starve to death. This huge number of corpses will overload the capacity of funeral homes and cemeteries. Think about it…who is going to pay for the interment when the money’s no good? This will rapidly become a public health issue, as thousands…perhaps millions of corpses lie undiscovered in homes and apartments, and remain unburied. Disease epidemics like cholera will spring up from people eating and drinking contaminated food and water.
In that first 90 days, those that survive will have prepared with food and water storage, as well as other stored goods for functional living. The survivors will also have armed themselves adequately to fend off looters and gangs. WSHTF, you will carry firearms everywhere you go, no matter if it’s into town or into your back yard.
Before you enter this phase with the rest of us, there are a couple philosophical issues you will HAVE to deal with:
1. Let’s say you’ve prepared for your family’s survival with 6-8 months of supplies. But friends, neighbors, and family…who HAVEN’T prepared…show up at your home and want shelter and food. What will you do? If you’ve prepared to take care of a family of four for 6-8 months, and you accept another four people…now your stores will only last 3-6 months. Who will you turn away to protect your own survival? Decide now. Better yet, contact your friends, neighbors and family and make a plan to join for survival. But then inform the scoffers that they will not be included in your survival plans, and will be turned away if they show up at your door.
2. You’ve armed yourself with firearms and ammo, and practiced shooting until you’re proficient and can hit targets. But paper targets don’t shoot back, and targets don’t try to loot your property and kill you. In a survival scenario, the regular laws don’t apply. Are you willing to suspend your perceived decency to protect your loved ones and your property? Remember the cannibal paradox. Taking too long in overcoming a taboo could mean your life. You waited too long to make the decision. Bang…you’re dead…and the looters have their way with your stuff and your family.
Phase II: Reforming a Society
One of the stranger outcomes of the economic collapse is that the political class will not be insulated from the fallout, death, starvation and chaos. Most of the politicians, both at state and federal levels, will be no more prepared for survival than the general populace. So, the chances are overwhelming that many of the criminal political class will be dead after the first six months of the economic collapse. Couple that with the very high likelihood that the populace may blame politicians for the disaster. I would not be surprised to see politicians murdered for their culpability in the crash of our American economy. I certainly don’t advocate that. I would rather see them tried, found guilty, sentenced and then put to death. But starving, angry gangs will not opt for due process. They want revenge.
Consequently, it may be much easier for secessionists to rise to prominence in the post-apocalyptic states. We may not have to defeat the statists…we may simply have to outlive the bastards!
Isn’t it entirely possible that the survivalists, who are traditionally far more liberty-minded than the rest of the population, will comprise a large percentage of the people that could form new polities…new governments…new nations, in the Post-Apocalypse?
And speaking of apocalypse…doesn’t this remind you of the Four Horsemen of the Apocalypse…Conquest, War, Famine and Death?
I hope this article has made you think, but more importantly, I hope it will make you ACT. To learn more, go to: http://www.survivalblog.com/
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© Copyright 2011, Russell D. Longcore. Permission to reprint in whole or in part is gladly granted, provided full credit is given.