Since the last major stock market crash in 2008, the government has being doing all it could to assuage fears about the market and the overall state of the economy here in the US. And while many will argue that the economy has never been better, pointing to the increased numbers of the NYSE and the Nasdaq, the truth is much different. While we could spend hours talking about political theory and blaming one party or the next, there is no winning in that scenario.
If you are one of the people that thinks the economy has been great and that the current leadership has done a remarkable job, I would encourage you to look past the inflated numbers of Wall Street and focus more on the every day, average citizen. The economy is going well for those that are already wealthy but for the normal everyday working class there is no such thing. Banks are still stingy and money is still hard to come by. We work to make just enough money to pay our taxes and most of our bills. There is little room for anything else.
Many pundits have been saying that a new market collapse is imminent and that we need to prepare for the worst. And while these claims have been around for a long time there are many that seem to have some truth to them. The most shocking claims have come by those that are saying we could start seeing a fall in the market by the end of August or the middle of September of this year. In case you have been under a rock, those things have been happening.
The main reason for the fall this time, according to the economists on television, is that the Chinese market is over valued and the Chinese currency is vastly undervalued. What they are not telling you is that the American economy is also in danger from staggering debt and major inflation. The signs are already starting to point to a major fall. I am not saying it is upon us or that the end is near. It could be but I am not going to be one of the prophecy junkies that think they know everything about everything.
What I do know is that we are always going to need to be prepared. The end could come tomorrow or it could come 25 years from now. The point to prepping is not the act that leads to the apocalypse but rather being able to provide for your family after the SHTF. So what can you do to prepare for a potential market collapse?
- Cash Is King
I know a lot of people are claiming that cash will be useless and that when the currency hits the floor the dollar will only be good for burning. However I am not one of those. While this could definitely be a long term problem for the dollar the short term answer will say that people are always going to want money.
In preparing for a short-term issue it is always a good idea to have cash on hand. For many people this could be easier said than done but it is something you need to consider. If the markets fall like they did in 2008, banks will shut down and your electronic money will not be accessible.
- Canned Food
Preppers know that canned food is a great thing but in a short term issue like the one we are talking about it becomes even more so. It is always a good idea to have several weeks worth of caned food put away. It might be needed and it might not. However it would always be better to have it and not need it than to need it and not have it.
Fuel is something that many people are failing to mention when talking about prepping. If the markets collapse then the fuel will also dry up rather quickly. The price would double or triple over night and the lines at the pumps would harken back to the 70’s. Time to be prepared and ahead of the game. Make sure your cars and trucks are filled with fuel. Make sure you have some containers filled as well.
It is also a good idea to stock up on oil for your furnace as well. Fall is just around the corner and the cooler temperatures will lead to a need for heat. Always remember how important fuel is. It not only makes transportation possible but it makes a great bargaining chip as well.
In the event that the market continues to falter you need to have these three things in your stocks. There are obviously many other items you could prep wit hand that would be a great thing to do. However the short term answer is to remove your money from the banks, stock up on caned food, and make sure you have a good supply of fuel.
Are you worried that the economy is about to implode? What steps are you taking to prepare?