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So What Really Happens When the SHTF?
By Douglas Herman
"Believe me, the next step is a currency crisis because there will be a rejection of the dollar, the rejection of the dollar is a big, big event, and then your personal liberties are going to be severely threatened." -Ron Paul
We live in an exciting, scary time. But then collapsing empires, much like imploding skyscrapers, are visually compelling events, complete with dozens of theories about how and why they collapsed and who profits and who loses by that collapse.
America is an empire whose karma has finally caught up with it. The bad overwhelmed the good. The barbarians are at the gates and they are us. If the road to hell is paved with good intentions, our dominatrix nanny state is doomed to imperial collapse under a mountain of bad debt and good intentions, most of them masquerading as importing democracy and free market enterprise to subservient foreign states. Dominatrix overseas, nanny state at home, we told ourselves we were the good guys, while we gorged on fast food and distracted ourselves with American Idol, NASCAR and Dancing With The Stars, indifferent to the erosion of our Bill of Rights. Useless feeders electing the same old leaders, naively expecting different results.
ALL dying empires collapse mysteriously slow and, yet, predictably fast. They smolder for awhile and then collapse suddenly, surrounded by highly suspicious events well beforehand. ALL dying empires were burdened by enormous debt. But primarily they were guided to their deaths by numerous powerful and clever psychopaths making piles of money, while aided and abetted by a few million silent servants who should have known better but sacrificed ethics for a healthy paycheck and government pension. Exactly as happened here in good old America. And now, surprise, surprise, many American cities, states, as well as those government pensioners may (will) lose those pensions. Sorry.
Maybe the Creature From Jekyll Island was only meant to live one hundred years. 1913-2013, RIP. About a month ago I asked a recent economics grad of UCLA if they taught students there the significance of 1913. Nope, nothing at all. The Federal Reserve, that clever bankster scheme to separate useless feeders from their wealth, together with the federal income tax, were both installed in 1913. American patriot and US Representative, Charles Lindbergh said at that time: ""This [Federal Reserve Act] establishes the most gigantic trust on earth. When the President signs this bill, the invisible government of the monetary power will be legalized....the worst legislative crime of the ages is perpetrated by this banking and currency bill."
Maybe the creature was only intended to live only long enough to bury a society under a mountain of debt, while enriching a relative few.
When the shit truly hits the fan, I believe the wealthy and powerful shits will fan out to prearranged refuges. Wouldn't you? And what exactly will the average American do, once the SHTF? Let's examine some scenarios, from The Road to The Road Warrior, to modern Zimbabwe and recent Brazil as we consider the future of America. I lived in Brazil when inflation often exceeded 100%--per month. I wrote about this in an earlier essay called "Money--Funny, Scary, Paper Money" By the way, if you Google that piece you will notice something funny: the price of silver was only around six dollars an ounce!
Now some will say nothing bad will ever happen to America, and others will say I have sugar-coated the future. You decide. But more importantly, as they say on Kitco: Do Your Own Due Diligence.
The best worst case scenario would be for Ben Bernanke and Ron Paul to sit down over a few pitchers of beer. The next day, the US government suddenly declares we are back on the gold standard. The good doctor conducts an independent audit of the gold reserves, together with GATA, and surprisingly discovers 4,000 tonnes are still there. The US announces gold now trades at $15,000 an ounce. I mean, really, why did you think all of those WE BUY GOLD outlets were for, if not to separate the gullible from their "Junk" gold? However, wise old gold bugs who held onto their stack are instant millionaires, along with the big banksters of course. New dollars (ND) will be released backed by gold. Old dollars are redeemed, for a period of ten days only, at one to one for US citizens able to prove citizenship. Foreign allies may redeem old dollars at two or three old US dollars to one ND. Less favored nations (North Korea, Iran, Mexican drug cartels) may redeem dollars at 10-20 to one, depending on our mood at the moment. After ten days, bundles of old dollars, like bundles of derivatives, are sold like Zimbabwe dollars, for pennies per trillion. Of course foreign trade will suffer BUT the American empire will have pulled off an amazing coup. Possibility of happening? Slim to none.
Anyone here seen the internet film called "The Day The Dollar Died"? Like Building Seven, the US dollar smolders and then suddenly collapses. Ninety percent of Americans are caught off guard by the collapse. Wealthy insiders are not surprised. Among the middle class, only a few survivalists and Kitco members are prepared. Indeed, if you Google search a Kitco Forum called "Cashing in during an apocalyptic scenario" you realize that a sizable group of open-minded people are already visualizing these same SHTF scenarios. A rush on commodities occurs. Gold and silver spike upwards but ordinary folks (unprepared useless feeders) frenzy for food and fuel, both suddenly more expensive. Of course the US government makes emergency announcements amid the chaos. Most Americans remain law-abiding but gas station deliveries and the internet are severely curtailed. Of course some inner cities suffer the predictable riots; stores looted and looters shot. President Obama announces emergency measures and Congress promises bipartisan support but everything is suddenly so much more expensive. Hurried G-20 meetings attempt to bail the Titanic. Austerity for the middle class. Boomerang Generation moves back home while class warfare hate speech is outlawed, except for the official Limbaughs of the main scheme media of course, whose purpose is and has always been to divide and conquer. America enters her dying empire, Banana Republic stage, with double digit inflation--per month--much like Argentina and Brazil of the recent past. Jobs in security remain the only growth industry in America. US troops are rotated home to occupy, I mean safeguard, huge restless areas of America. The wealthy hire former special forces to protect their fiefdoms and, predictably, the Pentagon budget rises. Possibility of happening? Moderate to high.
Suppose Egypt came to America? Suppose an enormous, peaceful, nationwide demonstration occurred here? Among the many demands: End the Fed, end electronic black box voting, end expensive and endless wars and occupations, end foreign oil dependency, and especially end the endless banker bailouts. And suppose, in a couple of months or years, our beleaguered President Obama or Romney or Hillary or Huckabee or Palin (Not that it matters) was finally forced to admit that fraudulent statistic of 9% unemployed was actually closer to 29%? And suppose QE 4 or 5 or 6, which only enrich the super rich anyway, finally managed to outrage the majority of Americans? And suppose enough of these Americans got up on their hind legs? At the height of all this Egyptian-style democracy in action, suppose a perfectly predictable "Black Swan Event" suddenly occurred here in America, ostensibly to save the state and unite the terrified masses. Suppose in this BS event, very likely a larger, more lethal 911 or Anthrax attack, wouldn't martial law be declared? Any epidemic can be spread by a few days of chemtrail spraying (Google). Chaos and calls for massive government intervention would naturally follow and suddenly the beleaguered economy / currency would be as quickly forgotten as that missing two trillion dollars the Pentagon declared "lost" on September 10, 2001. In a nationwide SHTF scenario, the unprepared masses would scream for government help. And suddenly, with the patriotic complicity of the main scheme media, the nation is united again. Nationwide austerity and the erosion of personal rights that Ron Paul predicted would follow.
Following a nationwide or worldwide "terror" event (Suitcase nuke, virus, terror cell attack requiring attack on Iran, etc), which will conveniently provide more time for the bankrupt US government, to amass more obscene debt, America suddenly morphs into Mubarak mode: the police state vs the people. US troops will be rushed back to America from overseas bases to various cities. This operation has already been well rehearsed by the Pentagon. The troops would assist the overwhelmed state and local police but heavily-armed Americans are in no mood to be pushed around like a bunch of Egyptians. The Road Warrior meets The Book of Eli along The Road, as Americans awaken to find themselves in an enormous civil war, with shifting alliances, troop mutinies, massacres, wild rumors and thousands dead. I can almost predict that our public servants will be either deep underground or on some remote, palm-fringed island while The Creature From Jekyll Island dies and tramples millions in its death throes. A thousand Ron Pauls couldn't save America then.
Your Personal SHTF Code of Behavior
So what happens. assuming the worst, when US troops return to patrol and police angry and riotous Americans? Anybody want to guess? Oathkeepers or Morlocks? Citizens or sociopaths? Preppers wisely suggest you get prepared in any event. Store food, water, fuel, weapons and precious metals and don't rely on the government to save you. Will America resemble apocalyptical scenes from that sci-fi movie Escape From New York? Probably worse. Images of Detroit might stretch from coast to coast.
Former top Reagan official, Paul Craig Roberts, wrote of what we might expect from those public servants tasked to protect and serve. Why are police so aggressive to the public, Roberts asked? "In part because the police have been militarized by the federal government, equipped with military weapons, and trained to view the public as the enemy. In part because the Bush/Cheney/Obama regimes have made every American a suspect."
Suppose, in the worst SHTF scenario, the police disappear, like they did during the LA riots. Then suppose, in this worst case SHTF scenario, when destitute humanity by the millions are on the move, will YOU shoot to protect or kill? Say you've stored food, water and enough guns and ammo to supply a small army and a carload of hungry humans arrives on your street, knocking at your door. Will you feed or water or even shelter them? No? Hungry people are desperate people. How much, if any, can you afford to share with humans who put all their faith in a fraudulent form of government and never prepared for themselves? Will you wound-or kill--the head of a family who comes begging? Or suppose a platoon of private security forces-as happened in New Orleans after Katrina-moves house-to-house for confiscation of food or weapons purposes. What will be your response? Will you comply or resist? The rich and wealthy will either have fled or surrounded themselves with well-paid mercenaries.
I believe this country and perhaps the world is between a rock and a hard place regards debt, due mostly to political corruption and fiat currency. Perhaps all the world's currency should adopt that "Rock & Hard Place" motif on our US currency, similar to the Trillion dollar Zimbabwe currency.
I do not believe any worst case scenario is inevitable. However, I also do not believe anyone in power is doing much to alleviate the dire economic conditions that may lead to a collapse. So, get prepared. One personal account you might read is The Modern Survival Manual: Surviving the Economic Collapse. An Argentinian family man wrote that, about what happens when inflated fiat currency, due to very bad government, hits the fan.
What Would The Founders Have Done?
I imagine Madison, Jefferson, Adams and Washington would forget the bug-out bag for a moment and concentrate on building a better community out of the chaos A Revolutionary idea, right? How many Americans even know their neighbors? In the worst SHTF scenario, American cities might resemble New Orleans after Katrina or even Somalia in Blackhawk Down after a few weeks. BUT, suppose in the middle of this imperial meltdown, something remarkable occurs? Suppose heavily-armed and vigilant communities united once again and true social networking occurs? After all, the most valuable precious metal is valueless without precious mettle. And delicate plants and flowers do grow nicely from the ruins of old foundations and empires.
Douglas Alan Herman lives in the modern ruins of Bullhead City Arizona. Contact him at douglasherman7@yahoo.com
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