Lots of changes to maps. You used to see Imperial Russia and the USSR on them.
I'll stick with my example. The question was economic collapse, and the Weimar republic is a good example-despite a very shaky central government, crippling payments, foreign occupation of its primary industrial sector, it survived the '29 crash.
Well actually if you look at history you will see the hyper inflation that the Wiemar Republic sustained occurred during a the post war period prior to 1924.
The period between 1924 and 1929 was called the Golden Era and the prosperity of that period was in no small part due to the Dawes Plan and Young Plan which provided loans in US dollars to Germany. After 1929, the US withdrew the loan aid from these plans and this of course lead to severe unemployment in Germany which caused turmoil and ultimately the ascent of facism.
Thus while the Wiemar Republic technically survived until 1933, the economy was not in very good shape after 1929.
That said the Wiemar Republic's issues are not really similar to the problems we face today. It is not really comparable. The Argentine problems are more similar but even that is not really comparable.
TheZone wrote:The closest thing you can find to a true economic collapse of a First world state in modern history is Imperial Russian in 1917, and even then it was revolution, not entirely the economy.
Imperial Russia did not collapse due to economic problems. The Argentine Collapse is much closer to an economic collapse. Then there is the collapse of Iceland's banking collapse in 2009, the on going saga in Greece and of course do not forget the banking crisis in Cyprus and Malta in 2013.
These countries all experienced or are presently experiencing significant economic hardships due to banking/economic issues. They are still standing but that does not mean if you were an account holder in these affected countries that it was a non-issue. You would have ta the very least had trouble getting your own cash out of your own account.
sheddi wrote:It seems as though the question is "what is economic collapse?"
Sheddi is absolutely correct here.
The old definition of recession and depression comes to mind.
A recession is when your neighbor loses his job. A depression is when you lose your job.
Economic issues do not have to bring about TEOTWAWKI to cause problems for people. In fact of all of the disasters we plan to face an economic issue of some level (job loss, pay cut, medical bills, lawsuit, etc.) are the highest probability of items.
Nor does it mean it will happen.
Back when I was in high school in the 70s our science teacher solemnly advised us that the world had ten years' worth of oil reserves left, and that an economic collapse was imminent.
Later, in college we were earnestly advised that the next war would be fought over cropland.
I spent the first thirty year of my life fairly confident the Cold War would eventually go hot.
For a century or more the world has been changing at a faster rate than previously seen in history, and it has continued to be a bumpy ride. as 3d printer technology matures we can see another reshuffling of the global markets come in just a few years' time.
You are correct on all counts above and that is actually part of my message directed at the doom and gloom folks, but I would add a caveat to the below statement.
Time will tell. Meanwhile, the sun is shining and life is good, so enjoy the day.
Make sure your financial house is in order such that if and or when the sky gets cloudy and the rain starts falling and the lightning is striking around you, your fiscal house is not washed away.
Individually make sure you follow some basic rules:
1) Have at a minimum 6 months of expenses saves up. 12 months obviously is preferable.
2) Do not spend more money than you have on hand.
3) Avoid variable rate debt.
4) Keep an eye on the economy it matters.
5) Make sure you have adequate insurance for your likely risks.
6) Check on the health of companies which hold your investments.
Just to name few. Because while indeed bad things may not happen; you should be prepared if they do.