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orionstarman
Penny Pincher Member
USA
106 Posts |
 Posted - 05/27/2009 : 16:53:59
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Ok, we're on the brink. If I believe all that I read on the internet we have a year maybe two before the complete and total meltdown of the US economy. What I want to know is; will hording copper pennies be of much help?
Those that have the where-with-all are buying gold and silver. People like me who don't are hording copper pennies. But copper is still considered, by most, to be an industrial metal. So if there is over all slow down in industrial production won't this also reduce the demand for copper thus reducing its price. Or is copper now seen as more than just an industrial metal?
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Those who would give up essential liberty to purchase a little temporary safety deserve neither liberty nor safety.--Benjamin Franklin
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Edited by - orionstarman on 05/27/2009 16:55:47 |
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Tourney64
1000+ Penny Miser Member
USA
1035 Posts |
Posted - 05/27/2009 : 17:07:58
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| The paper dollar will fall in value and the copper penny will rise in value. It will have melt value when the dollar collapses. Copper will still be needed even in a recession environment and it may be easier to get with a copper penny than mining for it. |
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wagsthadog
Penny Hoarding Member
USA
565 Posts |
Posted - 05/27/2009 : 17:10:27
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Hi there-
It'll definitely be worth it. Look at Argentina.
I'm scared that the mint will discontinue the cent, which will put an eventual stop to our hoarding habits.
wags |
Only when they CAN'T have it, ......THEN they'll want it.
I love Cents. If you get an UNC box, you win. If you get a regular circ. box, you win. If you get a zinc box, you don't lose....so you still win. |
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Nickelless
Administrator
USA
5580 Posts |
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buyingsilvers
Penny Collector Member
441 Posts |
 Posted - 05/27/2009 : 20:30:24
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quote:
Originally posted by orionstarman
Ok, we're on the brink. If I believe all that I read on the internet we have a year maybe two before the complete and total meltdown of the US economy. What I want to know is; will hording copper pennies be of much help?
Those that have the where-with-all are buying gold and silver. People like me who don't are hording copper pennies. But copper is still considered, by most, to be an industrial metal. So if there is over all slow down in industrial production won't this also reduce the demand for copper thus reducing its price. Or is copper now seen as more than just an industrial metal?
It's hard to come to an accurate conclusion with the way you presented the dilemma because you're considering too many factors at once.
The way to look at it is, the government's actions is causing the collapse of the dollar, meaning the dollar is becoming more worthless, not that copper and other commodity prices are increasing.
Even if the dollar weakens greatly, this doesnt mean all industrial activity will come to a halt. The effects of high inflation will be a drag on industry, and negatively affect the "real price" of copper, but the flight to "hard commodities" may push the true value of copper higher because of investor demand.
Gold, silver, copper to me is an insurance policy that allows people not to be 100% subject to the whims of our government's fiscal policies. If you look at china, they're divesting out of dollars and into commodities including copper because they do not want to be subject to the whims of the US government. |
Edited by - buyingsilvers on 05/27/2009 20:33:54 |
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AGgressive Metal
Administrator
USA
1937 Posts |
Posted - 05/28/2009 : 21:30:31
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| Read about the theory of de-coupling - its the idea that the Asian and other markets can recover and move on even if the US goes down. It is called de-coupled because, up til now, the world economy is coupled (tied) to the US one. Therefore, copper should still be needed for industrial demand everywhere else. Keep in mind that we are only about 5% of the world population. |
And he that hath lyberte ought to kepe hit wel / For nothyng is better than lyberte / For lyberte shold not be wel sold for alle the gold and syluer of all the world.
-Caxton's edition of Aesop's Fables, 1484 |
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Will copper pennies hold up after the fall!
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