By Scott Burns
Selling gold or silver after economic collapse; you’re likely to have more income from those required minimum distributions than you think.
Q:In the event of a catastrophic economic collapse, where can I sell my gold and silver? Surely, banks will have crumbled and precious metals dealers will be out of business. I can’t very well take a gold bar, or for that matter, a 1-ounce gold coin, to the store to buy bread and milk. Or do you predict a barter system will take over?
A: That’s the question most of the gold bugs don’t ask. History shows that barter rises as a currency loses value. It may be possible that gold and silver coins can be used in the barter process, or even as substitutes for currency. But it’s a rough mechanism. Even when you compare the smallest typical units of silver (1 ounce), that’s a lot to trade for a loaf of bread. Today, most people carry $20 bills and smaller, but a post-apocalypse economy will have a tough time doing commerce in gold coins. An interesting read on this subject is Dmitry Orlov’s “Reinventing Collapse.”