[Scythian]

If someone wants to increase his buying power by investing in Gold, I suggest buying shares in Canadian Mining companies.

I completely disagree, this is terrible advice, gold on paper is nothing, gold is for economic collapse, if you're holding IOU's you've got nothing.

[agere_contra]

You simply won't see civilisational collapse - by which I mean the Mad Max scenario where there wouldn't be a stock market anymore.

A lot of FReepers more or less assume that a dollar collapse = a radioactive landscape with radiation ghouls, but it's simply not true.

We have the example of Argentina in 2002, and the PEMEX devaluation in Mexico. Neither of these events left the stricken country in radioactive ruins: both countries maintained roads, stores, access to the stock market etc. The middle class suffered but the country carried on.

The forthcoming collapse will be a currency collapse like in Mexico and Argentina. People's savings will be wiped out, non-commodity stocks will be wiped out, BONDS will be wiped out.

But commodity stocks will go way up - as people run to buy anything with their depreciating cash - and also because mining stocks carry some risk, investors get to buy them for a plausible profit.

One needs to pay attention to where the Gold mine is, of course. I wouldn't buy stocks in a Gold Mine on American soil right now - the political risk is too high and - crucially - is not priced in. Maybe after the midterms though.

But a goldmine e.g. in the rebel-haunted heart of the Congo? Hell yeah.