Monday, September 6, 2010

Buying Silver

This is an image of a Confederate $100 bill. Not worth anything when they lost the war. Please go check out my Resources tabs to learn about inflation, hyperinflation, Argentina today, and historical examples of inflation such as Weimar Germany and Zimbabwe.
I recently found an EXCELLENT website that's sole purpose is to educate us about inflation and economic principles and to explain (economic) activities that happen in the news. Two of their videos are under my button "Get off the Fence!" They are

and I wanted to tell you about their FAQ regarding silver. I feel like I got a crash course recently!

  • Silver "rounds" are essentially coins, but can't be called that because they weren't made by a Federal mint.

  • Silver coins are a little more expensive, but are purported to be more recognizable by more people if SHTF, because they're minted by the government.

  • In crazy inflationary times, silver can actually gain value quicker than gold. The ratio of gold: silver drops as prices rise.

  • Previously in US history, some coins in circulation (such as pre-1965 dimes) were 90% silver and are thus good for holding.

  • NIA's review found the highest rated seller of precious metals to be Gainesville Coins

  • Bars are good if you are going to have a lot of silver, but coins are better for small transactions. To my way of thinking, the pre-1965 dimes are best because they are even smaller and can be used to buy smaller things if it comes down to using silver to pay for goods/ services post SHTF.

  • For less than $15(today's prices) you can get 10 pre-'65 dimes. (that's called "$1 face" because it's face value is $1 (ie, 10 dimes).

  • At this time you can get a buffalo image round for about $19. We found a local gun shop that has a coin shop in it, where we can buy silver without shipping.

  • The idea isn't that you're going to go to your local grocer and pay for groceries with silver. Instead, you're going to cash in your silver at that day's inflated price. This way you get the most money for your silver. You can afford a loaf of bread for $100 because you cashed in your silver for $300. If you had just had a pile of cash, it would have bought less, but your silver retains it's value even as the dollar devalues.

We're so pleased you are reading Farming Salt & Light! Choose how you live!

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