These days, everyone is rightfully worried about a massive economic downturn precipitated by the collapse of the US dollar. There is plenty of good evidence why everyone should be worried about this, not the least of which is that the dollar is about to be unseated as the world’s reserve currency.

That, plus rampant government spending, raging inflation, and massive political and social unrest has led to a seemingly perfect storm of conditions that will expose, in shocking relief, the shortcomings of fiat currency.

America may be exceptional, but our currency is certainly not exempt from the market and economic forces and it is just about time to pay the butcher’s bill.

Accordingly, every sane person and preppers in particular are scrambling to prepare for one of the most complex and deteriorating crises in the form of a currency collapse.

You’ll need more than a survival kit and a bug-out bag if you want to make it through.

To help you in that endeavor, we are bringing you a list of 10 things that you should own before the dollar collapses.

What Causes the US Dollar to Decline and Collapse?

There has been a veritable ocean of ink spilled by pundits, experts, authorities, and common people over the years concerning what “actually” causes the dollar to dip, decline, and finally collapse.

While it is true that the forces behind our modern economy are incredibly complex, the causes for a dollar collapse tend to be fairly straightforward in nature.

Remember, it might be one or more of these factors together that genuinely precipitates the dollar collapse!

Don’t consider yourself and your investments safe just because you cannot see one or more on the horizon.

War and Disaster

Devastating natural occurrences like earthquakes, hurricanes, and floods can wreak havoc on a currency’s worth as they may impede commerce plus impair essential infrastructures.

Mega disasters can have a regional impact that has far-reaching consequences.

War, as ever, is a destabilizing force that can likewise drain unfathomable amounts of money and tip economic balances.

Economic Slump/Recession

When a recession strikes, investors may become hesitant about the strength of a country’s economy, thus seeking more secure investments.

This can trigger an immediate decrease in demand for that currency, consequently reducing its value.

This will in turn ripple out into other financial sectors, sometimes creating conditions for another recession or depression and leading to the tanking of the currency.

Inflation

When inflation rises to an excessive degree, the worth of a nation’s currency can suffer. This is because their money holds less value as prices for commodities and services increase.

Consequently, the purchasing power of its citizens falls significantly and, in practice, their currency has been devalued out from under them. This is why inflation is usually called a “hidden tax”.

Social and Political Turmoil

When a nation experiences political volatility, investors become hesitant to invest due to uncertainty about the stability of the government. As a result, this can cause the value of its currency to decrease.

Similarly, when blocs form in a populace that creates an environment of social unrest and destabilizes free and plentiful trade, the value of its currency will also suffer.

Government Debt

Ah, old faithful when it comes to currency devaluation. Inflation of government debt can have a devastating impact on the worth of a nation’s currency, as investors may worry about its capability to reimburse what it owes.

This could result in adverse effects such as erosion in value and purchasing power.

Considering the US government is currently $30+ trillion in debt and counting, showing no signs of slowing, well… you can draw your own conclusions.

10 Things to Own When the Dollar Collapses

1. Practical Goods

Preparing for the collapse of the dollar isn’t all about investing in alternate currencies, diversifying your stock and investment portfolios, and engaging in other nerdy behavior.

Any currency collapse will entail very real, very pressing problems concerning your survival necessities.

If a gallon of milk suddenly costs $100, or you flat out cannot afford to pay for gas or electricity, you’re going to have major problems that will only send you further spiraling down the drain.

Consider obtaining the following items and laying them away in bulk, if applicable, well before a currency crisis strikes.

2. Sustainment Technologies

Most preppers and homesteaders already intrinsically understand the benefits of technologies that allow you to remain self-sufficient and truly off grid if required.

Solar and wind power generation, whole house battery systems, wells, natural gas, and more all have a part to play in maintaining your standard of living and your safety when the economy starts to fall apart.

3. Food

Stocks, bonds, gold, silver, and heaps of cold hard cash are all great, but you can’t eat them.

A currency collapse is usually accompanied by a tremendous spike in the cost of goods, meaning you won’t be able to afford basic staples in some cases.

You don’t need a large food supply on hand for you and your loved ones just in case of a major natural or man-made disaster.

That same food supply might become your primary source of groceries until the economy starts to rally and stabilize.

We have a mountain of information right here on Survival Sullivan they can help you put together a nutritious and long-lasting stash of food for the rough times ahead, including a currency collapse. I suggest you look into them!

4. Water

Just like food, water is a precious resource and even more precious than food when it comes to a basic survival necessity.

What would you do if your town is no longer able to keep the water running, or just keep it clean and safe to drink?

I don’t think you’ll be able to run down to the grocery store and buy a suddenly massively overpriced case of bottled water assuming you can find it at all.

You want your own huge stockpile of potable water on hand, along with plenty of supplies to filter and purify other water sources, just in case.

5. Garden, Farm, or Cropland

You can see where this is going. Having your own food on hand, ready to eat or easy to prepare, is one thing.

To be truly prepared you’ll also want the ability to grow more of your own food, or else raise it.

When times are tough and everyone has to tighten their belt, whether they want to or not, the prepared turn to providing the basics that they need.

Even something as humble as a backyard garden can greatly offset the economic squeeze.

If you have the land, and the skills, to set up and run a proper farm or just grow crops on a much larger scale, you’ll have even more food at your disposal and probably a profitable business to boot, even if it is only on the local level.

6. Personal Luxury Items

People will be going without all sorts of luxuries after the dollar collapses, either from the loss of production or simply because they cannot afford them.

If you lay in a supply of liquor, tobacco, cosmetics, and other comfort items you can become something of a local retailer for people in need. As long as they have the coin, of course.

7. Fuel

Currency implosions have a way of greatly disrupting the intricate workings of many industries that supply fuel to society, and the resulting fuel shortages will further strain commerce creating a “feedback loop” of sorts that makes things worse and worse.

Having your own sizeable supply of gasoline, diesel, propane, and other fuels needed will not only keep your vehicles and tools operating but also provide you with a precious commodity for bargaining when required.

8. Assets

Assets, for the purposes of this discussion, are things that are intrinsically valuable and will hold their value despite the current circumstances so long as you have invested in them wisely.

These can serve to offset the drop in the dollar’s value or to potentially be liquidated in order to get more cash on hand when you need it.

9. Land

The value of land is obvious. There isn’t any more of it being made, that is for sure!

In addition to making it a great asset to own in times of economic uncertainty, land can also be used for the purpose of growing food and raising livestock, as discussed above.

10. Cashflow Real Estate

Any real estate that you own during a currency collapse must be capable of providing cashflow or it likely is not going to be an asset for much longer. Cashflow can come from renting it out, or possibly even leasing it to a business.

Just make sure that you have solid tenants and lease agreements in place so there are no surprise losses due to defaulting tenants, and consider carefully who your most viable tenants will be in a given market.

Don’t forget you might even lease out vacant land to people who need a place to park their RVs!

11. Foreign Currency

For the more adventurous types, investing in foreign currencies can be a great way to hedge against the dollar’s collapse.

If you do your homework and select wisely, you should be able to find some countries whose currencies are likely to not only remain stable during a US dollar collapse, but also increase in value.

Just make sure that you understand the risks involved and have an exit strategy ready if things don’t go according to plan.

Some currencies that have historically done well when the dollar was tanking include the Euro, the Swiss Franc, and the Japanese Yen.

12. Precious Metals

Probably the quintessential asset during times of economic woes, precious metals will surely be good to have when the dollar tanks.

Precious metals such as gold and silver have been historically viewed as a safe haven asset during times of currency collapses or other market volatility.

Unlike stocks and bonds, precious metals are not as affected by most market forces and can serve as a strong hedge against inflation due to their limited availability and universal value.

Serving as both currency (if needed) and a store of value, precious metals are also perceived as a way to protect one’s savings from potential political risks, preserving the value of your investments well into the future while remaining extremely liquid.

Survive and Thrive When the Dollar Implodes

Of course, it is impossible to predict exactly what will happen when the dollar or any currency collapses, but it is certain that you must have a plan for surviving the consequences.

Having some or all of these assets listed here on hand can give you options that others won’t have and put you ahead of the curve in almost any situation.

The post 12 Things to Own When the Dollar Collapses appeared first on Survival Sullivan.

By: Tom Marlowe
Title: 12 Things to Own When the Dollar Collapses
Sourced From: www.survivalsullivan.com/what-to-own-when-the-dollar-collapses/
Published Date: Mon, 27 Feb 2023 16:00:00 +0000

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