(Update 11/28/16) What to learn from Venezuela (podcast)

[TWP]

Keep on eye on how this goes in Venezuela...

http://daniel-venezuela.blogspot.com/2016/10/rebellion-starting-in-venezuela.html

Remember this is a country which does not allow gun ownership.

[Clay]

Wow, that is an incredible amount of people protesting.  Seems like a good time to be a pitchfork dealer.

[Jerry D Young]

Torches, too. lol

Just my opinion.

[TWP]

"Urban Farming" is now the official Venezuelan government mantra...

Where have I heard this before?  Oh, wait, right here on this forum!

https://www.washingtonpost.com/news/worldviews/wp/2016/11/01/venezuela-is-telling-hungry-city-dwellers-to-grow-their-own-food/

But not from our government and "not in my backyard" ...  You may have seen the efforts to stop people in American from using their yards for vegetable gardens, or not allowing chickens to be kept, etc.

Coming soon to a neighborhood near you?  I HOPE SO.

[Clay]

I would love to see the return of the victory garden!

[TWP]

It would really put a twist in the knickers of those who oppose "urban" gardening.

If Michelle O can do it to the White House, why not we mere citizens?

[TWP]

Update 11/18/16

Venezuela is limiting withdrawals from banks to 10,000 Bolivars ( about $5.26 US dollars) per day.
 
https://panampost.com/sabrina-martin/2016/11/17/venezuela-caps-daily-bank-withdraws-at-us-5-a-day-to-avoid-bankruptcy/

This is what happens to prevent a 'run' on the banks.   Take this as a "tell" and be warned if it happens here...

My guess is that they will next declare a "bank holiday" and close the banks...  Taking no bets on how this will turn out.

[Clay]

That is a pretty good sign, but if you are a Venezuelean that doesn't think there are problems you might be in for a surprise!

Speaking of which, I'm surprised you didn't start a thread on this same thing happening in India.

[TWP]

Thanks Clay.
RE India, I thought I had posted something about it....Guess I spend too much time online  ...

I'l fix that now.

[TWP]

This article has some excellent pictures of what life is now like in Venezuela.

http://www.breitbart.com/national-security/2016/11/24/inside-venezuela-empty-supermarkets-fascist-imagery-and-a-collapsing-social-order/

Do note the "graffiti" image being emphasized in this article, the watching eyes image.  If you now the reference; "Big Brother is Watching".

Also note the store shelfs, which lack food, but have plenty of non-essentials like deodorant and toys.

Looking at the images, these could be from any community in America, Venezuela was NOT a "third world" country before it's current crisis.

Finally, read the analysis in the article text.  Yes, it has a bias.  Whether you understand, agree, disagree or disbelieve, it does give you pause for thought.  The society in Venezuela is crumbling and that is why we should prepare in this country.

[TWP]

Keeping an eye on Venezuela, the following report discusses the value of their currency (the Bolivar).

https://mishtalk.com/2016/11/24/venezuela-currency-loses-45-this-month-as-hyperinflation-escalates/

I note that it is the US dollar (fiat money) which is being used for the comparison...  A case of the pot calling the kettle "black"?

None-the-less, the Venezuelan central bank, under government direction, has been printing physical notes in huge quantities, in an effort to supply demand for the ever-falling value of those notes.  I see an inevitable end coming ala Germany during WWI and WWII.

Let me point out that the US Federal Reserve, while not actually printing physical notes, is creating an equally huge number of electronic notes via loans to other countries.  You might not need to use a wheelbarrow to carry your dollars, but their value is falling too.

The US Federal Reserve Bank cannot "afford" to print physical currency, the value of the paper and coin is less than the cost of production, so they are making it cheap to take out loans (zero interest loans).  This increases the total number of "dollars" in the economy.

Here too, I see an inevitable end coming...

In Venezuela, people are now trying to escape the country via boat:

http://www.nytimes.com/2016/11/25/world/americas/hungry-venezuelans-flee-in-boats-to-escape-economic-collapse.html?_r=0

 As a prepper, I don't expect to see such actions (mass exodus) from this country (America), mostly because there really isn't a better place to which to move.  Mexico will not accept immigrants plus its economy is far weaker than ours and Canada has no place to accept hordes of new people, not to mention some strictly enforced laws on entering Canada.

What I am watching is the movement of Americans between States.  Some States are more attractive in terms of laws, economy and social conditions.  I point out those areas which are known as "redoubts", of which there are several.   You due diligence research will find these fairly easily.

Rhetorically, how do your prepper plans fit with the situations described above?   Please DON'T post those plans here, in the interest of maintaining OPSEC, but do give it some thought...

[TWP]

Just an example of what happens when paper fiat currency is inflated:

https://www.washingtonpost.com/news/worldviews/wp/2016/11/27/venezuelas-currency-is-so-devalued-it-no-longer-fits-in-ordinary-wallets/

Good read and I note the following:

1) Theft, even of a devalued currency, is present in Venezuela
2) ATM (Automatic Teller Machines) are in high demand, if you can find one.
3) Credit cards are replacing cash (warning sign...)
4) Higher denomination notes are to be released (warning sign...)

When I go to local stores, I note the number of people paying with credit/debit cards vs cash.  The ratio is growing, here.

If the Internet goes down, so do business transactions.  Businesses in the USA are NOT prepared to handle high volumes of cash transactions, since they do not keep (as was standard in the past) large enough cash reserves to make change.  How many times have you been waiting in line to pay, only to have the teller call for more change?