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To: Frantzie

Depends what you’re buying.
If hyperinflation hits (and that seems more and more likely everyday) you need to be buying things that you won’t be able to afford when it does. Neccessities, not niceties.


83 posted on 08/09/2009 12:26:13 PM PDT by Lorianne
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To: Lorianne
If hyperinflation hits (and that seems more and more likely everyday) you need to be buying things that you won’t be able to afford when it does. Neccessities, not niceties.

That's a good point. Kennedy writes

The $30,000.00 or $40,000.00 I would have spent on the new car – and I’m a cash buyer – can sleep idly in the bank until the man who has chosen me as his target is gone. And I view it as deliberately depriving him of spending he desperately needs to help his economy. He needs me and others like me buying a new car a whole lot more than I need one.

The problem with his tactic is that, if Bambi's policies cause inflation, Kennedy's money will melt away as it sleeps idly, even as his need to replace his wheels grows.

In his article, Kennedy focuses on foregone consumption spending. But if you have assets to preserve, once you've stocked up on those necessities for a SHTF scenario, the real problem is to buy assets that will grow in dollar-denominated price and dividends faster than inflation.

204 posted on 08/10/2009 9:17:43 AM PDT by cynwoody
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