After a little bit of a spike, silver has dropped back into the low $16 range. While I think the odds of things ever hitting the stage of bartering for your life with a couple Silver Eagles is pretty slim, I still like having a little box full of tubes of them on hand. It’s some sort of primitive lizard-brain thing, but I just like the feeling of having them even if, from a pencil-and-calculator standpoint, it doesn’t make sense.
Speaking of prices going down, it’s been a long time since I saw gasoline for less than $2. I’m no economic expert but, to my uneducated eye, it appears this is a simple price manipulation by the oil producing nations to make domestic oil production economically unfeasible. If they make oil cheap enough, folks will just by it from them rather than dig up North Dakota and Canada. Simple business economics….undercut the other guy. An unfortunate side effect is that all those guys that were making bank out there in NoDak are now fearing for their jobs. A good reason to always tuck a little something aside when youre doing well…you never know how and when the fat times are gonna come to a screeching halt.
One thing prices have not been going down on is food. Meats are pretty high these days. Even buying in bulk it can add up quickly. We’re buying half a beef from a somewhat-local ranch next month and thats been, in our experience, the way to go. It’s the same price per pound regardless of cut…ground beef or t-bone…its all the same. It’s been a good way for us to buy meat but, obviously, you have to have the freezer space to pull it off. My experience, which you can read about if you search through the blog, has been that you can stuff a properly packaged piece of meat into a deep freeze and have it be just fine five years later.
On paper, its tough being a survivalist…you sink a lot of money into things that, arguably, you might never need. I’ve seen guys die with thousands of dollars tied up in things they owned ‘just in case’. The outside observer might think its a waste of money or ‘misallocation of resources’ but there’s a non-tangible benefit. It’s very much the same benefit you achieve from that other ‘waste of money’ – insurance. It buys me peace of mind and a general feeling of security which, in my opinion, does have a financial value. Still, it’s a hard thing, sometimes, to spend money on ‘just in case’ stuff when what you really want is a WarCraft subscription or a new iPad.
Of course, once the zombies rise it’ll be a whole different story and that money will look like a brilliant allocation.