Do you feel safe walking outside your home and alone? This is a question Gallup is asking worldwide to grasp how safe folks feel. Gallup has come to realize this is the most accurate way of asking folks from Boston to Cape Town how safe they feel. This worldwide poll is part of 100 year research finding out why some feel safe when others don’t. The results of this poll will provide cause for concern and urgency to become proactive. Jim Clifton, chairman for Gallup, says it all comes down to one tiny word, JOBS.
If you’re reading today’s post asking what jobs and gold have to do with each other I understand the confusion. This site often discusses how to buy, own, store, and sell gold/silver but today we’ll look deeper into a scenario that, in all probability, will increase the value of most precious metal. It does have a lot to do with how safe people feel around the world today. Mr. Clifton’s newly released book called The Coming Jobs War and I recommend everyone with the slightest interest in our economic future pick up a copy soon.
Never before has this many people spent so much money trying to feel safe, safe from personal crime, safe from cyber crime, safe from economic decline, etc. Home security services are running at full capacity trying to provide a feeling of safety and calm (security companies like ADT are hiring across the U.S.). Companies like LifeLock can barely keep up with demand as folks like us transition into a cyber world where a thief can steal from the comfort of home. The world is in search of any product or service that can provide security even to our very own identity.
Yet even with all this technology, the war to protect you is not winning. We are more likely than ever to experience some form of crime. Mr. Clifton says it all comes down to the hopelessness that derives from lack of jobs. City services cut, over crowded prisons, gangs, thugs, international trade wars, you name it. Understaffed law enforcement trying to provide law and order all while keeping the bad guys at bay without reaching overtime status. Some of us don’t like to read facts like I’m providing but the truth is, well, true. The same forces driving your gold up will also continue to cause negative social concerns.
I hear gold experts speak of metal trends reaching $2000, $4000, heck $10,000 per ounce and it makes my stomach hurt. We must all realize a life with gold selling at $10k is also a life of concern and conflict none of us really want. We often picture our personal wealth multiplied by five but rarely picture our local main street silent and a fraction of what it once was. The thought of hundreds of thousands of dollars, euros, yuan, etc, excites us as gold holders until we process what a world with such metal value will offer us, and children, as a society.
My recent two-week trip to California may have provided a peek into your future. Once a state of prosperity and hope but now a place littered with trash and broken dreams. The Central Valley of California is full of criminals who now realize law enforcement no longer has man power to aggressively stop, or store, criminals. Fields once littered with dormant leaves now covered with discarded sofas, TVs, and trash. A state no longer concerned with solving crime but focused on solving pension problems and deficits. All while our stash of gold rises another year.
The forces pushing gold upward are not pretty and we can no longer pretend they will be. The Prospector Site often receives questions asking how high gold will go or what metal will prosper most. We never receive questions about quality of life if metal does what we feel it’s preparing to do. As gold holders we must be ready not only for new riches gold will bring but the concerns that go with it.
Let me know what you think. Do you feel safest by owning gold? Do you feel gold provides options that will ultimately provide safety and security to your family? You can reach me here.
Wow, some of you had a lot to say over the last day or two, thanks. Here are a few of your comments. Thank you for all the comments and thanks for the one’s tweeting and posting on Facebook.
YOUR COMMENT (regarding Using Home’s Equity to Buy Gold):
Your house is bought and paid for. You’ve spent a long time getting to this reasonably safe position and you are not getting any younger. Property could very well go down if real terms but that’s not the main reason you decided to buy in the first place. You wanted security as well as a place to live without a large percentage of your earnings going on rent.
Now taking out a loan is the most stupid thing you could do.
Interest rates could rise. Gold could be confiscated or taxed at 90% when you sell. It’s easy for someone to steal your Gold and Silver but not so easy to steal your home. Nobody knows what is going to happen but property will maintain a certain value during hyper inflation.
Gold and Silver are great but so is owning property. If you can afford it and can pay cash then buy a small apartment abroad and collect holiday rental income and turn this into Gold and Silver. It’s called diversification having both Gold and property.
The best position to be in at the moment is to have NO debts and slowly buy Gold and Silver. Do NOT have bank savings accounts or any type of investment portfolio.
PROSPECTOR SITE REPLY: You make some good points but some I don’t entirely agree with. Either way I appreciate you taking the time to comment. You mention hyperinflation and this certainly is a term thrown around these days. If we look at societies that experienced hyperinflation we see their real estate didn’t inflate anything close to currency inflation, but gold and silver certainly did. You are correct when saying homes will maintain a “certain value”. You also mention interest rates may rise but this is a non issue if mortgage is fixed. In fact, inflation (especially hyperinflation) allows a debtor to payoff fixed debt with inflated dollars. I do agree a home’s primary function is security and a place to live without paying rent. Thanks again.
YOUR COMMENT (regarding Something Strange is Happening to Gold):
Gold as investment is only as strong as the financial system. If the economy should collapse gold will collect dust. In today’s world the concept of survival in a failed society has nothing to do with gold, rather it is what you have on hand when the system falls. It depends on what you are planning on. If you are an investor,and are seeing everything as simply an economic flux, fine. If you are anticipating the need to survive that is an entirely different matter. Think about it, In 1929 most could grow their own and were in a position to “survive”, gold was for the luxuries of life. In today’s world, survival will be everything, we are not as naturally positioned to survive as our great Grandfathers.
PROSPECTOR SITE REPLY: This is a good point, we are not as “naturally positioned to survive as our great Grandfathers”. But we are also much wealthier than them too. The last few decades built massive asset bubbles that have or soon will pop, but. I’m not saying it’s a good thing but these asset bubbles have created huge wealth along the way. If we are talking about U.S., Japan, and Europe, even our poor are far better off than most of the world. I do agree that folks should develop more independence by learning to grow or raise their own food.
Now about gold collecting dust in a failed economy. Please name one time when economies failed and gold collected dust. Look as recent as Zimbabwe’s collapse under hyperinflation. Youtube has several videos of destitute folks digging and extracting flakes of gold just to raise enough real money to eat bread (bread for one day I should add). You are correct in saying financial systems come and go but most people are wise enough to figure a way to trade with each other. I do agree we are heading back toward a simple and real way of life. This is yet another reason to own real money like gold/silver. Thanks again for your point of view and insight.
Howdy! Someone in my Facebook group shared this website with us so I came to check it out. I’m definitely loving the information. I’m book-marking and will be tweeting this to my followers! Fantastic blog and wonderful style and design.
PROSPECTOR SITE REPLY: Great and thanks. Let us know what you’re buying (or thinking of buying) and why.