I feel strongly that we will soon enter a period of high inflation. All the signs are there and our government continues to print money. How it will affect us depends on the rate of inflation. There are several historic examples that we can consider.
If we have massive inflation like the Weimar Republic in Germany in the 1920’s or in Argentina during the 1990’s, the dollar will become worthless. In the Weimar Republic, the value of the Papiermark declined from 4.2 per US dollar at the outbreak of World War I in 1914 to 1 million per dollar by August 1923.
In 1989, after years of massive budget deficits, Argentina was left with so much debt that no one was willing to lend it any more money. The leaders then resorted to the printing press, which resulted in hyperinflation.
In Argentina, the items in the grocery stores did not have prices on them. A man with a microphone would announce the prices of various items at irregular intervals. The price often increased every few hours by 30% or more. Workers would rush to cash their paychecks and buy something, because by the end of the week their pay would be worthless. This resulted in empty shelves. The US dollar was king, and with it, you could purchase things at amazing prices.
In 2009, Argentina inflation was still at 18%. They ranked third in the IMF inflation list. The Congo was at the top with 31.2%, followed by President Hugo Chavez in Venezuela with 28%.
What will you do after hyperinflation, economic collapse, or EMP attack? How will your family fare if $500.00 cash will not buy you a loaf of bread? Now this does not mean that all trade will stop, you will just use different currency. Business will be conducted in hard money, hard money (gold and silver) or food.
For example in Argentina, swap meets popped up all over the place. Trading became an art form. Food, clothing, tools, weapons, gold, silver, and any other useful items replaced currency. Local entrepreneurs who charged for sales space organized the swap meets. They also provided protection, often hiring off duty police officers.
This is something you should take into consideration. If you have a skill or tradable products you will be able to negotiate for items that you need. If you have a good stock of food and other necessary supplies, you may want to think about acquiring some junk silver. I am defining junk silver as silver U.S. coins made before 1965. These can often be purchased in small amounts at coin and pawnshops, for cash. This does not leave a record of your purchases.
The big reason I like the coins is that they are easily recognizable, are very hard to counterfeit and have a known value. Just be sure and get your food first.