Thursday, November 16, 2017

rent money 2


RENT MONEY 2

So, you understand that two minutes past the general public understanding the collapse is really here, the stores are stripped bare ( because of JIT inventory ) and corpses are already cooling in the isles.  Only the biggest retard in the entire history of the Special Olympics would think about Last Minute Shopping.  And you understand you can’t beat the other shoppers by a day or three, but by a week or three, also because of JIT inventory.  When you find out that JIT was invented by an American, it makes perfect sense.  Who else would screw the customer to make money, and screw himself in the long run by discouraging impulse buying and extra sales?

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JIT Inventory is also great for resource waste, which might be why it ultimately succeeded.  Why stockpile one store with a million in inventory when you can stock three stores with a total half millions worth, which were transported unnecessarily at least three times the distance?  More stores burning natural gas for heat, more electric for AC, more consumer miles to go to more stores ( looking for the item that should have been in stock ), more semi trucks zipping back and forth with half empty trailers.  America, building empire by wasting more oil far quicker.

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So, JIT isn’t just bad for Gore Warming, and it isn’t just bad because there is less food available once transportation is halted.  It also means Gambling The Rent Money becomes a much bigger deal.  If timing the collapse is impossible, and the media only reports ten percent of anything, after they distort it into propaganda ( even the doomer blogs pretty much sleep until a hurricane swarm, only being otherwise agitated when something political occurs, which is also propaganda rather than news ), how can you know it is time to gamble?  Do you even recall the month you could call the ‘08 crash?  Not in hindsight, either.

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I knew the housing bubble was in trouble.  I knew the whole banking system would correct, but I didn’t know the time or severity.  I was concerned enough that I tried to move in ‘07.  That didn’t work out so well, mainly due to the poor choice of my first lot of land, too far removed from work over unplowed roads.  A year later I had no choice but to invest in another closer lot and move, as the idiots steering the ship towards the iceberg jacked up ALL real estate prices, even my humble RV lot rent and of the 35% of wages I was oh so graciously allowed to keep, near 70% was going just to rent.  It was good I was forced to move, because I got here just months before the implosion of Lehman’s and AIT.

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But that was LUCK.  I had no clue as to the timing.  Even around the clock NPR radio coverage of the economy ( just prior to them becoming giant pussies and caving in to funding cut pressure and they then went Full Retard Optimist along with all the other media-you want to fund raise my ass after that?  Hump you! ) and being glued to the Web did nothing to warn me the end was pretty much nigh.  And remember, that was PRIOR to all the media turning into PRAVDA.

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What chance do we have today?  I submit to you, humbly, that we will not have Clue One of the collapse until it has already occurred.  As in, the linchpin domino falling.  Yes, we are in actual fact already in a true economic collapse.  From the late ‘60’s to 2000/2001, we were in an economic decline.  Some years worse and some years better.  Some years really bad.  2000 to 2008, we were opening the credit flood gates to paper over the end of the Siberian Oil surplus ending, that last grasp of colonial treasure.  2001, a False Flag in my opinion but I know not everyone agrees, the military spending joined the housing bubble keeping the money velocity going strong ( a few hundred billion here or there missing at the Pentagon?  No big deal-it was spending, yo! ). 

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Prior to 2008, all that spending actually did in fact work propping up the economy.  Then, 2005, true global peak oil ( all “growth” masking production decline was NOT conventional high BTU oil, but weak ass substitutes at maybe 20% or even less of EROI ).  We got in trouble when the Siberian gushing surplus ended, and the peak oil globally had the same economic effect on the world that the US’s 1970 peak had on our economy at the time.  Straight off the cliff decline.  From this nobody has recovered.  It isn’t the anticipated civilization collapse, not yet ( that comes when we don’t have access to enough foreign oil to feed ourselves ), but it definitely already was the economic collapse.

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The only thing we are waiting on is the crash at the bottom of the cliff.  It isn’t the fall that kills you, it is the stop.  Remember, capitalism requires constant growth.  No other way to pay interest.  What looks like the plateau with a start of a dip isn’t just a peak, it is actually end of growth, which is the death knell of an economic system.  We are a zombie economy.  One bullet to the head completely wipes it all out.  When or where the shot comes from, we won’t know until the meat sack hit’s the sidewalk.  We will more than likely, rather high probability, NOT be warned.  The media isn’t talking.  Who else is going to warn you ( economists?  The pro‘s are lying optimists and the amateurs call the collapse every other week because they use old paradigms )?

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So how can you have weeks or a month to spend that rent money?  I don’t think you will.  You’ll try to convince yourself the crowds won’t be too bad, or angry, or panicked.  But if YOU are getting the news, they are also ( probably not literally The News.  I’d wager a shift in public perception and your news you get is those crowds already reacting ).   Don’t give in to temptation.  If you do panic, don’t hit consumer retail.  At least keep yourself to jobbers or wholesalers.  But just dip your toe in the water.  Don’t endanger yourself.  I think you’ll find you are too late.  And at that point, stay home.  Money just became worthless.  Don’t risk your life trying to spend it.  Just accept the loss.

END ( today's related link http://amzn.to/2ySV6zm )
 
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23 comments:

  1. I've always budgeted having a six month reserve just for rent/taxes. Simply because the landlord/government will be still wanting their monies , long after the economy collapses.
    No, spending the rent money only applies to certain events, such as an EMP attack, pandemic etc. Where the general population doesn't realize the scope and react slow.
    Hell life's a gamble, but an alert critter has better odds of survival than the herd which has its head in the grass grazing at life.

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    1. Ha! Grazers. I guess you could look at our posturing and competition as the way to force the weak and sick to the outside of the herd, to be the first meal.

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  2. Good articles lord bison. One should, in theory or practice, be positioned as a turn key survivalist (not prepper-thats for weather events) as in if necessary lock down house if staying in place whatever may come. Or turning out the lights as you depart to probably never return. Already having all the better than nothings possibly obtaibed within time-money abilities. This should have been mentally war-gamed in your head while you are at that dead-enders job your holding in the hovering pattern pending shtf step-off time. You will need to use a more precious commodity of time (instead of last available liquid cash) to do last ditch tasks, rather than mingling with your fellow unwashed masses risking injury/diseases. Think of it like an old tyme ringing telephone that will activate your action plan accordingly.

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    1. Damn, I forgot about the disease aspect. I know I for one would never have gone out regardless, if Ebola had turned into a thing.

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  3. Back in 2008 I had just finished building my retirement home and owned 2 homes, well me and the bank. I sold my old home closing only one week before the stock market dump. I was that close to having 2 house payments! I retired in November and everyone at work was saying I am so sorry about the stock market going down. I had almost nothing in the market and was happily waiting for the bottom before I got in. I missed the bottom by a week but close counts.

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    1. Close counts in horseshoes and hand gernades...and houses? I guess it would, given the insane bubbles.

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  4. Just thought I'd throw this out there as a heads up.

    This summer the electric company came through and changed out all the electric meters to the new digital ones that they don't have to send a human reader out to once a month. Some how the new ones send a signal back to the office each month and your bill is based on that signal. In order to change out the meter the owner had to be home.

    The guy across the road was gone for a month, went to Missouri, and his meter didn't get changed. While he was gone someone stole his old skool meter, and his 3 freezers of meat in the basement spoiled. The electric meter changer dood told me that when the electric company turns the power off at a house they simply pull the meter out, rotate it 90 degrees-breaking the circuit, and stick it back in and put a yellow seal on it. The wire from the pole to the house still has juice but the turned meter prevents the juice from getting into the house.

    Well, some criminals found out about this and started stealing meters, installing them in houses that have been abandoned or are vacant and for sale, and living in them because the power company has no way of tracking the power loss. Sometimes they set up meth factories in them that destroys the drywall rendering the home uninhabitable. Thus, if you have an old skool meter and spend time away from your crib thieves can steal your meter.

    Fore warned is fore armed.

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    1. Ah, theft. A Darwin leap of evolution-you're in jail or rich, no one being able to keep up with you. Or is it just potheads thinking different? :) A rather brilliant adaptation.

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    2. It is actually one of the arguments I heard against publicly selling solar panels once "drug manufacturers will use them to provide power for their operations and we wont know to be able to bust them! Anyone with more than a couple solar panels is automatically suspicious for that reason!" Yes the guy was an idiot. He was also a mid career cop. So keep that in mind with your solar power purchases...

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    3. I can't imagine how you could get enough solar panels on a roof to begin equaling the kinds of power spikes that alert the narcs at the power company.

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  5. As I understand it JIT was a Japanese management invention by when their auto industry was up against the wall. It managed to keep them nimble and their operation lean.

    Western managers picked up the ball and ran with it taking it to new heights. In Australia we have a duopoly controlling our entire market (something like 80 - 90+ %). Anyway they use trucking companies as storage. Why store 22 pallets when you can have them on someone elses truck and get them delivered at specific times (and the pallets go straight out onto the floor & quickly sold)?

    But I think we are all on board that running our survival bunkers depending on last minute purchases is foolish in the extreme.

    The last time there was a natural disaster in my area I thought I'd be smart & stock up on a few last minute items. I didn't need a darn thing mind you, just thought a bit extra would be nice. Well! the shops were heaving with desperate people who were on the edge of cracking. Lesson learned? It's not worth it

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    1. JIT was invented by an American but first implemented wide-spread by the Japs. I want to say Piggly-Wiggly supermarkets first tried the program on a limited basis but I'm a little hazy on that and would need to confirm. Computers made the system much more feasible, so it took some time to get the practice rolling. I went through a few hurricanes in Florida, as the poor schmuck behind the counter, not the one shopping. What a bunch of friggin animals.

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    2. I can't find this info online. It must be in my paper books-and good luck ever finding that info again. Sorry I can't site sources or names.

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  6. Well, the good news (or bad news if you’re a cashier) is that soon you will be able to do all of your prep shopping ahead of time at a physical Amazon store, and faster too, since you won’t have to deal the slow elderly, or not give a crap teen cashier.

    Amazon Go Debuts as a New Grocery Store Without Checkout Lines

    http://fortune.com/2016/12/05/amazon-go-store/

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    1. This one killed the prospect for me..."the same technology as self driving cars":) I think this one will bomb like the tiny Wal-Mart stores did. They are adopting the same strategy as supermarkets-the high priced luxury foods sold for convenience ( $30 birthday cakes in the bakery and $10 a pound sliced meats in the deli ). Not a snowballs chance in Hell. We would have half the grocery stores if they didn't sell convenience items. Bags of flour and state control of milk prices don't pay the high rent.

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  7. Retail doesn't use JIT any more. They use a planned shortages model. JIT was too expensive - running trucks to fill store shelves as they were emptying. Now they will not run a truck until it is absolutely full and if the shelves run out, too bad. Which is why you see shelves empty at the stores frequently now.

    Think about that - in order for a store to try to turn a profit they have to short their inventory because it's too expensive to keep inventory on the shelves. How close is retail to collapse . . .

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    1. Agreed. The whole point of a retail store is to sell inventory, not sit there paying rent and salaries waiting for the food to show up. Almost everyone lacks common sense and can't grasp the most basic fundamentals. What do they teach in school? Doesn't matter-the teachers get paid :) Ten thousand daily examples of us being in Oil Age/Industrial Age collapse and really we still don't grok it.

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    2. I think it will be a partial collapse - people need some stuff. Just not as much as they have been buying.
      Electronics stores (best buy, circuit city, etc), and similar non-essentials stores like tool stores, etc, that have alternatives are already going bankrupt with mail-order/online taking up most of the remaining customer base, and stores that do a diversity of things (like walmart) surviving a little longer. Overheads and expenses of all sorts are going to be cut to the bone. Stores will tend to become family run general stores again in all except the largest metropolises. Your pet store will become a farm goods store, then a tools and hardware and farm goods and finally a general store.
      The stores will shutter completely during the worst of the collapse, with, like in the LA riots of the 90s, the family owners standing armed guard over the last of their inventory until the situation is stabilized.

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    3. I think the wildcard is the banksters and their high real estate profit paradigm.

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  8. Without security (checkout clerks), I bet that lots of folks with a tendency to want free stuff will figure out that they can just push a grocery cart out and load into a car before anyone responds. They are doing this now with rent-a-cops (observe and report, sir!) present. Employees know that policy is to fire them if they stop a shoplifter and there are darn few "loss prevention agent" positions that Kroger will fund. Only other customers will interfere with the bulk shoplifting (I've seen this, and it's awesome to see a 40 year old woman shouting down and standing in the way of a dirtbag trying to push out a cart of roasts and coffee without paying!).
    pdxr13

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    1. You mean the 70 year old stockgal can't intimidate folks into honesty? PC says no gender or age discrimination, so that must be true!

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    2. I shop at a fancy Kroger at zip code 972xx that is staffed by 99% White people. They hire White people with "diversity" like genetic diseases or a non-visible sexual preference. A 2 bedroom 800 square foot bungalow on a 4000 foot lot will sell in less than one day for $800,000 (cash, as-is). Life is interesting when this much money is here.

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    3. Interesting, as in Magical Unicorns With Glitter Shooting From Their Ass Land? Sweet Baby Jesus, I thought only Washington DC had those kinds of fantasy suburbs. I mean, okay, sure, a smaller house here goes for $200k, and that is ridiculous, but it also sits on the market until the one idiot who hasn't heard the economy locally is slowing down finally buys it. If you buy a near million dollar house ( after repairs ), what hope is there for mankind?

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