Lone Ranger Economics
"Back to the Future?: Why Settle for a One Gallon Gas Can?"
Let’s go with a movie that I know you all know. I know we talked a bit about Back to the Future in October of 2015 and watched the sequel in a Team Social that month. Now it is time to use that movie as an analogy paralleling the Silver situation. Here we go...
You probably remember that Biff gets a hold of a future addition of Gray’s Sports Almanac. Makes billions on it. We don’t truly know what the future holds, but we can sometimes guess pretty accurately. Well, imagine this. You could go back in time to 1980 and get gasoline and bring it back to the present. In fact, let’s say you are allowed to purchase it at half price, for about $0.50 a gallon.
So you jump in your DeLorean with your one gallon gas can so you can get a gallon for $0.50 rather than the $3.00 that it just surpassed in March of 2021. You just made $2.50.
Then you realize that you goofed. You should have made sure your DeLorean gas tank was near empty instead of full so you could bring back 11 more gallons. Duh!!!
So that is what it is like with Silver at these prices. Silver is half the price of the highs in 1980, when the billionaire Hunt Brothers started corning the market to drive the prices up. Unfortunately, they were up against trillionaires that fought back (illegally) and drove them into the ground.
Based on the price of gas increases since 1980, current silver prices should be $125 or so. Based on other inflationary measures, current silver prices should be $200-600 per oz. When you throw in the fact that Silver has many more high-tech uses now as opposed to 1980 technology, that $600 an ounce price should probably be a minimum.
So now go “Back in Time” and get some silver. Say Silver will be $600 an ounce in 2025. It could be a whole lot higher. But you can buy it now for about $30 an ounce. If true, you will get 20 times your money back if you are patient. That is 1,900% interest in 4 years (APR of 109% per year). BTW, that is right at what Silver increased from March 2020 to March 2021. Sure beats the 0.01% that US Bank offers! With pending inflation rates ready to skyrocket, now you see why money in the bank is probably a race you will lose! And money in the “Silver Bank” is a race you should win!
So the subtitle of this lesson is “Why Settle for a One Gallon Gas Can?”. Why settle for a minimum? Maybe we should step it up even more and not settle for a DeLorean gas tank, but rather take a time-traveling train. Then we could tow dozens of oil tanks to the 1980 era and grab as much as we can at those “ancient prices.” You can do that with Silver right now. LET’S GET FILTHY RICH FOR REAL!
Hi Ho Silver, AWAY!