Is today's economy worse than the economic recession of the early 1980s? (2011, mortgage rates)

[jimhcom]

Originally Posted by trishguard

Where in the United States can I purchase goods for either gold or yen? That's where I get confused.

The easiest way is thru a brokerage like Schwab or TDWaterhouse. Once you have an account you can purchase ETF's. Another choice for purchasing gold is an account thru the Perth Mint in Australia. The Perth Mint is actually backed by the Australian Government and because it is offshore, their is little risk of confiscation.

[trishguard]

Originally Posted by jimhcom

The easiest way is thru a brokerage like Schwab or TDWaterhouse. Once you have an account you can purchase ETF's. Another choice for purchasing gold is an account thru the Perth Mint in Australia. The Perth Mint is actually backed by the Australian Government and because it is offshore, their is little risk of confiscation.

I'll ask again. How do I use this to buy food?

[CouponJack]

Originally Posted by jimhcom

Being in cash right now is best, .
[SIZE=3] [/SIZE]

I strongly disagree if you have 20,30,40 yrs to go till retirement.

[jimhcom]

Originally Posted by trishguard

I'll ask again. How do I use this to buy food?

Your original question was how to protect savings not day to day expense cash.

Originally Posted by CouponJack

I strongly disagree if you have 20,30,40 yrs to go till retirement.

Really, I would you care to elaborate on your position? Are you advocating someone who is in cash now, buying into this market? Or are you advocating people who have already lost nearly half of what they had, to stay the course?
If you are advocating some one who has nothing, to begin investing now, I would agree, but for people with something to loose my advice is different. The first rule of making money is not to loose money.
Personally I have been advocating getting out of the stock market for more than a year and getting out of the real estate market since 2005. Those who listened are grateful. Feel free to check my past posts.

[Woof Woof Woof!]

Looks like the O.P. is no longer a member....:-(

[CouponJack]

Originally Posted by jimhcom

Your original question was how to protect savings not day to day expense cash.





Really, I would you care to elaborate on your position? Are you advocating someone who is in cash now, buying into this market? Or are you advocating people who have already lost nearly half of what they had, to stay the course?
If you are advocating some one who has nothing, to begin investing now, I would agree, but for people with something to loose my advice is different. The first rule of making money is not to loose money.
Personally I have been advocating getting out of the stock market for more than a year and getting out of the real estate market since 2005. Those who listened are grateful. Feel free to check my past posts.

If you have at least a 20 year time horizon, you should have a high percentage of your AA in equities now. Of course its not popular to feel this way right now because of all the negativity in the news today, but you need to distinguish short term from long term. Do I think in the near term things will be rough? Absolutely. Do I know if this is the bottom? no one knows. But I honestly don't think the dow is going to 3000 or even close to that.

Also, about your slogan of the 1st rule is wrong. Any time you make money there are risks involved. Sometimes in the short term you lose money on paper. If there weren't any risks you wouldn't make money.

Im glad you made your prediction last year. It means absolutely nothing to me and the rest of the board. The only thing we can focus and make money on is what's going on now into the future. Do I think equities is the place to be for the next 30 years or so? Yes

[trishguard]

Originally Posted by trishguard

Where in the United States can I purchase goods for either gold or yen? That's where I get confused.

Originally Posted by jimhcom

The easiest way is thru a brokerage like Schwab or TDWaterhouse. Once you have an account you can purchase ETF's. Another choice for purchasing gold is an account thru the Perth Mint in Australia. The Perth Mint is actually backed by the Australian Government and because it is offshore, their is little risk of confiscation.

Originally Posted by jimhcom

Your original question was how to protect savings not day to day expense cash.

I was referring to my second question.

[jimhcom]

Also, about your slogan of the 1st rule is wrong

It is not my rule, it is Warren Buffets. I do not think you or anyone else can assure people with something to loose that it is not possible for them to suffer irreparable damage in this market. People who stuck it out in 1929 did not even break even until 1955. If you do not think it can happen again, ask the Japanese.

I was referring to my second question.

If you are trading ETF's through a broker, you can easily sell them and transfer proceeds to a money market fund that you can write checks from.

[chet everett]

Originally Posted by Woof

In addition to what's been said above, unemployment and inflation were calculated differently back then. Using the old methodology, uemployment right now is a bit under 16% .... and I'll bet it will get much worse.

Don't doubt that this may be true, just like to have source.

[taurus430]

If your money is in cash in the bank, the only other thing to do is check the bank's rating on bankrate.com or bauerfinancial ratings. What else can you do if you want to stay out of the market agree?

As far as this being the worst since the 80's, my opinion, I would say yes. Many are comparing this to 1929 but circumstances were a lot different then, where a handful of powerful investors manipulated the market.