With the jobs' report on the lean side, I thought I would repost something I wrote in 2009. It seems fitting.
My problem is I was too close to my Mother and Grandmother both of which went through the “Great Depression”. Through the years I have watched as the economic cycles have gone up and down. I remember in the 1970s when it seemed like one day everything was fine and the next day gasoline and toilet paper were scarce. "Hard Asset Economics" including such items as: food, clothing, household necessities and cash and the "Sustainability of My Family" have always been important.
My husband and I were in Eastern Washington State at the time of this 1970s economic “dip”
(I am dating myself here). We were living in agriculture country. I was standing in the grocery line and a woman in line was talking about the costs of food. She thought it was not worth the costs to put up a store of food at home. At that moment my “keep a financial costs journal” button kicked in. I recorded all the costs including a freezer. I saved at that time over ½ in food costs. Now I worked hard and was living in an agricultural region.
What are “Hard Asset Economics" items? They include for a family items such as: food, clothing, household necessities and cash. “Sustainability of My Family” is number one to me. I have a theory. If I take care of me and mine and others did the same for their families, there would be few families that would need help. I always set aside though extra for those individuals that are in real need.
In April 2008 when rice and food for a short time was looking scarce, my “Hard Asset Economics” and the “Sustainability of My Family” buttons kicked in. I no longer live in an agricultural region. Therefore, I used the tools I had – the Internet. I purchased in bulk a wide variety of necessities. The saving has been amazing as prices have risen.
Sometimes this approach is not the “cheapest” approach. Even though by shopping when there are sales and planning ahead, it usually means a family will save considerably. It does though mean my family will have the items when I need them – not when the stores have them.
Next time you are in the store purchasing your necessities, take a peek at the number of the items on the shelf. You will discover that in this “Just-in-Time” supply chain business model there might be 6 of each of the items. If there was a breakdown to the supply chain such as a natural disaster, those “6” would be gone in a minute! By planning ahead using “Hard Asset Economics” and the “Sustainability of My Family” you will not be in the rush to get the basics of life.
Are you practicing “Hard Asset Economics” and the “Sustainability of Your Family”?