Posts tagged barter
The topic of inflation seems to be a difficult one for many to grasp. Many do not follow economic cycles, rising market booms and the predictable busts that follow, fiat currency and the constant devaluation of the US dollar by the privately owned Federal Reserve banking cartel. Understood, as we are too busy to deal with the financial world while busy working 10 hours a day for 7 hours of wage, taking care of a family, keeping the car running, walking the dog and finding the almighty TV remote hidden behind the jumbo sized box of Twinkies (now a collectors item!).
One simple to understand example should at least cover the basics of inflation. Remember, we buy the stuff we need with US printed dollars, which is physically worth nothing, but, okay, backing up. If a farmer grew apples and you fixed cars you could trade your services for the farmers goods, barter, but, backing up.
Bottom line, if you used cats as currency and wanted to purchase a loaf of bread yesterday and then wanted to purchase another loaf tomorrow this is how much cat you would need.
Disclaimer: Prices vary per market location. Cat tolerances are ± 0.5″ length, ± 0.25″ width, adjusted for camera angle and relative humidity per photo. Past drought conditions not factored in for potential wheat damage AFFECTING BREAD PRICES, etc.
By Michael Snyder
10 Things That We Can Learn About Shortages And Preparation From The Economic Collapse In Greece
When the economy of a nation collapses, almost everything changes. Unfortunately, most people have never been through anything like that, so it can be difficult to know how to prepare. For those that are busy preparing for the coming global financial collapse, there is a lot to be learned from the economic depression that is happening right now in Greece.
Essentially, what Greece is experiencing is a low-level economic collapse. Unemployment is absolutely rampant and poverty is rapidly spreading, but the good news for Greece is that the global financial system is still operating somewhat normally and they are getting some financial assistance from the outside. Things in Greece could be a whole lot worse, and they will probably get a whole lot worse before it is all said and done. But already things have gotten bad enough in Greece that it gives us an idea of what a full-blown economic collapse in the 21st century may look like.
There are reports of food and medicine shortages in Greece, crime and suicides are on the rise, and people have been rapidly pulling their money out of the banks. Hopefully this article will give you some ideas that you can use as you prepare for the economic chaos that will soon be unfolding all over the globe.
The following are 10 things that we can learn about shortages and preparation from the economic collapse in Greece….
#1 Food Shortages Can Actually Happen
Most people assume that they will always be able to run out to their local supermarket or to Wal-Mart and get all of the supplies they need.
Unfortunately, that is a false assumption. The truth is that our food distribution system is extremely vulnerable.
In Greece, many people are starting to totally run out of food. Even some government institutions (such as prisons) are now reporting food shortages. The following was originally from a Greek news source….
The financing for many prisons has decreased to a minimum for some months now, resulting in hundreds of detainees being malnourished and surviving on the charity of local communities.
The latest example is the prison in Corinth where after the supply stoppage from the nearby military camp, the prisoners are at the mercy of God because, as reported by prison staff, not even one grain of rice has been left in their warehouses. When a few days earlier the commander of the camp announced to the prison management the transportation stoppage, citing lack of food supplies even for the soldiers, he shut down the last source of supply for 84 prisoners. The response of some Corinth citizens was immediate as they took it upon themselves to support the prisoners, since all protests to the Justice ministry were fruitless.
Reuters is reporting that Uruguay, South America’s leading rice exporter and the 7th largest rice exporter in the world, is seeking to barter “food for oil” with Iran to get around U.S. and EU sanctions.
Because of the tough sanctions which have targeted financial institutions from doing transactions with Iran, this type of barter deal eliminates the need for financing or currency exchanging hands. Iran is historically a large purchaser of Uruguayan rice, and Uruguay agriculture officials announced that they intend to keep that business.
“If Iran is willing to barter oil for rice we will do it and we will take out currency from (the operation),” Agriculture Minister Tabare Aguerre told Reuters.
Uruguay, somewhat defiantly, said on the president’s official website that the international community made the determination that Uruguay rice can no longer be sold to Iran.
The Minister of Livestock, Agriculture and Fisheries ( BHAG ) explained that ‘international standards related to currency movements toward Iran determined that this country ceases to be the main importer of Uruguayan rice.’
‘The government is willing to walk this path as needed, putting innovation and imagination in trading processes. If Iran is willing to barter rice for oil we will as well, and we will remove the currency, in transit,’ he said.
Uruguay is considered an ally of the United States, and Washington has made clear that any country that buys crude oil may face economic sanctions themselves. There has been no U.S. reaction to this possible “food for oil” transaction at the time of this writing.
Uruguay’s creative approach to solving problems is clearly at odds with Western nations keen on creating problems. “Innovation, organization, integration and, above all, the ability and creativity to propose and implement tools to address the crisis from 1999 to 2003 was what allowed us to be what we are today,” said Uruguay’s Secretary of State in regards to the country’s agriculture and economic strength.
Meanwhile, panic buying grips the the United Kingdom as shortages are being manipulated partially due to sanctions on Iran. And in the United States, record prices at the pump persist as the summer driving season approaches and continued supply disruptions are politically created.
“What is Money?” with Joseph T. Salerno — Ron Paul Money Lecture Series, Pt 1/3
Rep. Ron Paul sponsored this Congressional lecture on “What is Money?”, part one of a three part series on the basic principles of money for Congressional staff. As a continuing educational tool this lecture was filmed and is provided to the public. Joseph T. Salerno, Ph.D., delivered the lecture. He is academic vice president of the Mises Institute, professor of economics at Pace University, and editor of the Quarterly Journal of Austrian Economics.
Pt. 2: “What is Constitutional Money?” http://www.youtube.com/watch?v=k6gMkKmQSW4
Pt. 3 “What About Money Causes Economic Crises?” — available December 2011
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