Govt. Shutdown and it's Effect on PM's, the Mint, & BEP

Does the post office get shut down too?

 

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maybe?

 

Things that will not be affected by a “Government shut-down” include: the Post Office, military, BEP, mint, and of course…Congressional paychecks.

 

Dont ask me how I know because I don't know the answer. I will state that I am assisting in creating letters to all non-essential civilian employees are preparation for a furlough.

 

Jim, I think it is a result in which news media you listen to. Some who cater to those who wish to control spending report that only one-fifth of gov't employees would be affected, and mail will be delivered, our defenses intact, etc. Other news media cater to those who wish to keep the spending spigots open full tilt, and they conveniently "omit" these facts.

 

The 1995 shutdown did close the national parks.

The post office has been a "private corporation" since 1971 and stayed open.

 

I better get my supplies from Wizard soon, if a bunch of suit and ties fighting over earmarks delays my happiness, look out

 

Concerning the OP question, I do believe that the mint and BEP would shut down. The physical act of striking or printing money is really meaningless, though, so I wouldn't expect it to change our financial situation since the US will still be able to sell bonds, which is the REAL dollar today.

I think markets could get spooked and PM's go up a little.

 

Im trying to convice my wife to let me buy some Silver cause i think its gonna go up. It hit $40 and the gov. hasnt shut down yet. i really think i need to get in on silver...

 

Well, no shut down this time, but I betcha when in comes to next years budget, there will be more of a fight! Unless something really crazy happens that none of us can see coming, PM's look like they will go up and up this fiscal year...... Not a big prediction on my part.....LOL

 

If you realize that interest rates only have to go to 1980 levels for the interest on our national debt to exceed annual federal revenue, then you begin to understand the risk of hyperinflation. The higher the debt goes (over $1.6 trillion higher this year alone), the lower that interest rate is which sends our government into the perpetual monetization death spiral. If we remain on the present course, then inside of five years, less than a 10% interest rate will drive a hyperinflationary spiral. However, I doubt the bond markets would let it even get that far before driving rates much higher than that. Just like with Greece, Ireland, and Portugal, they would panic and rates would skyrocket overnight at any time. Once faith is lost, the jig is up. It may happen this year, next year, or the year after that. I'm preparing NOW for that inevitable day. And I say "inevitable" because it is obvious our politicians will not do the only thing capable of preventing it -- balancing the budget.