Few people that have analyzed the current level of federal spending and the entailing deficits that are projected for the foreseeable future, would argue that inflation is a necessary consequence of the ballooning national debt that is being accumulated. Whether this inflationary trend might repeat the gloomy days of the 1970’s is unclear or whether it might even exceed them is unknown. What is certain is that individuals that do not adequately prepare for this could see their savings lose even more value.
While there is no sure fire way to escape every economic scenario, investors have traditionally turned to gold as the primary hedge against inflation. During the last several years in the midst of the stock market unpredictability stemming from the tech bust of the late of 2000, followed by the terrorists’ attacks of 2001, and finally the banking and real estate crisis, stocks have declined astronomically. In turn, gold has rise in value from approximately 300 dollars an ounce to over 1000 dollars at present. Whether this simply reflects inflationary pressure or simply the security that gold represents, the results are impressive. Continue reading ‘Collecting Silver Coins – Investing in Today’s Economy’ »