No Counterparty Risk in Insurance Contracts: Should the Insured Worry about the Insurer? http://www.lse.ac.uk/fmg/documents/events/seminars/lunchtime/985_J_Thompson.pdf
oh dear.. im starting to think your auspm rejoined with a different ip adress with all the links you post to prove a point . You know what i meant . The concept of insurance is what ML has been debating with you guys for days . ...I have to say imo hes correct. edit : you guys will split an atom to prove a point
The concepts are very clearly defined. ML is wrong. There's no "splitting atoms". And if links aren't provided you'd claim there are no citations, and when citations are provided you complain about "proving a point". Next up, claims of a global conspiracy by financial industry academics.
House burns , cars wrecked, cancer strikes ........ Ill be very glad I have insurance. SHTF No insurance available that I know of for that but wait isn't that what Derivs are for? lol. Anyways if SHTF few here won't be glad they have their stack.
I think most SHTF scenarios in Australia will be floods, droughts, cyclones or bushfires, doesn't matter what our politicians get up to they are nowhere near as dangerous to Australia as the weather is. The whole country is biblical! Most of my preps are more towards a short problem with a short recovery, and cash will be king then, even if the networks are down and the banks shut, a handful of dollars will get you further than a handful of silver. It is only in a financial SHTF that my silver might help, and that could be a long slow decent and a long slow recovery.
Insurance has implied guarantee. What use is insurance if there is no guarantee? Home owners in the US who are homeowner-insured are guaranteed coverage for the loss that is specifically delineated in the contract. If we weren't guaranteed that coverage, there would be no reason to buy home owners insurance. Since the value of silver blobs can not be guaranteed at all times, my silver blobs and your silver blobs are not insurance. .
GvBasically, insure, ensure, and assure mean to make a person or thing more sure. Insure should be restricted to providing or obtaining insurance to indemnify or guarantee someone or something against a loss. Ensure can be used in all ot So PMs ensures a better chance of survival in chaos. Yes? Just nitpicking of definition. To try and imply that PMs are not a good bet in chaos Common usage is different. Just a pedant.
Technical usage: * Gambling: introduces risk where none exists. * Speculation: taking on existing risk (in expectation of substantial gain) * Insurance: mitigates risk where risk exists. simply... * If I flip you a coin for your stack, I am gambling. * If I buy silver expecting it will go to the moon, it is speculating. * If I add silver to my portfolio as protection against the risk of a potential financial crisis, it is insurance.
Here you go... and thanks to this I will new be able to make fun of Pirocco again Hyperinflation: Wiemar, Germany January 1919 to November 1923 Expressed in German Marks needed to by an oz. of ag. or au Jan. 1919 Silver 12 Gold 170 May. 1919 Silver 17 Gold 267 Sept. 1919 Silver 31 Gold 499 Jan. 1920 Silver 84 Gold 1,340 May 1920 Silver 60 Gold 966 Sept. 1921 Silver 80 Gold 2,175 Jan. 1922 Silver 249 Gold 3,976 May. 1922 Silver 375 Gold 6,012 Sept. 1922 Silver 1899 Gold 30,381 Jan. 1923 Silver 23,277 Gold 372,447 May. 1923 Silver 44,397 Gold 710,355 June 5, 1923 Silver 80,953 Gold 1,295,256 July 3, 1923 Silver 207,239 Gold 3,315,831 Aug. 7, 1923 Silver 4,273,874 Gold 68,382,000 Sept. 4, 1923 Silver 16,839,937 Gold 269,429,000 Oct. 2, 1923 Silver 414,484,000 Gold 6,631,749,000 Oct. 9, 1923 Silver 1,554,309,000 Gold 24,868,950,000 Oct. 16, 1923 Silver 5,319,567,000 Gold 84,969,072,000 Oct. 23, 1923 Silver 7,253,460,000 Gold 1,160,552,662,000 Oct. 30, 1923 Silver 8,419,200,000 Gold 1,347,070,000,000 Nov. 5, 1923 Silver 54,375,000,000 Gold 8,700,000,000,000 Nov. 13, 1923 Silver 108,750,000,000 Gold 17,400,000,000,000 Nov. 30, 1923 Silver 543,750,000,000 Gold 87,000,000,000,000
Jan. 1919 GSR Silver 12 1:15 Gold 170 May. 1919 Silver 17 1:16 Gold 267 Sept. 1919 Silver 31 1:17 Gold 499 Jan. 1920 Silver 84 1:16 Gold 1340 May 1920 Silver 60 1:17 Gold 966 Sept. 1921 Silver 80 1:28 Gold 2175 Jan. 1922 Silver 249 1:16 Gold 3976 May. 1922 Silver 375 1:17 Gold 6012 Sept. 1922 Silver 1899 1:16 Gold 30381 Jan. 1923 Silver 23277 1:17 Gold 372447 May. 1923 Silver 44397 1:17 Gold 710355 June 5, 1923 Silver 80953 1:17 Gold 1295256 July 3, 1923 Silver 207239 1:17 Gold 3315831 Aug. 7, 1923 Silver 4273874 1:17 Gold 68382000 Sept. 4, 1923 Silver 16839937 1:16 Gold 269429000 Oct. 2, 1923 Silver 414484000 1:17 Gold 6631749000 Oct. 9, 1923 Silver 1554309000 1:17 Gold 24868950000 Oct. 16, 1923 Silver 5319567000 1:16 Gold 84969072000 Oct. 23, 1923 Silver 7253460000 1:160 Gold 1160552662000 Oct. 30, 1923 Silver 8419200000 1:160 Gold 1347070000000 Nov. 5, 1923 Silver 54375000000 1:160 Gold 8700000000000 Nov. 13, 1923 Silver 108750000000 1:160 Gold 17400000000000 Nov. 30, 1923 Silver 543750000000 1:160 Gold 87000000000000
Thanks for doing the maths The GSR really went crazy there from October 1923! Edit: I wonder if an extra zero has been added somewhere?
Yep, I had to double check that! Might put a bit more into gold, just in case. Edit: I checked off your original values to make sure I hadn't added one in the spreadsheet with all the cut and pasteing, seems right there so any error would be from the original source.
Since Germany there have been heaps of hyperinflation events. For the more recent ones, it would be interesting to find the gold and silver prices denominated in these currencies to see if the relationship still holds.
You are definitely wrong in my eyes and I am wrong in your eyes. Apparently that isn't going to change (since you are unwilling to comes to terms with the truth ) so we can both spare wasting each other's time if we can agree to disagree. Enjoy the day. .
But... I'm willing to change my mind if you can provide a verifiable counter argument. I'm assuming you agree with the standard definitions of speculation and insurance above. If not, then provide a citation that argues otherwise (no need to paste it here). Where you seem to disagree is in the area of risk mitigation and guarantees. Is it correct to say that your claim against silver being considered as insurance against a financial crises is that silver has no 100% guarantee of payout when needed, whereas insurance would absolutely provide that guarantee?
IMO, the assumption that silver will provide the risk mitigation or protection you assume is the speculation.
