Survival in a Barter Economy

Definition

A barter economy is an economy that lacks a commonly accepted currency, so all exchanges must be made with goods and services because money does not exist in these economies. Without the use of money, trade would be reduced to barter, or the direct exchange of one commodity for another. In a barter economy, a person having something to trade must find another who wants it and has something acceptable to offer in exchange.

In a post collapse world, barter would be essential. Currency may have little value, while the value of certain things like sawing needles and matches for example, could increase dramatically. Put back what you will need for your own survival first, then and only after ensuring you have enough supplies such as food, water, water filters, first-aid, fuel, weapons and ammunition etc, to meet your own needs should you worry about stocking up on trade goods.
Skills

Develop your survival skills and knowledge. Your skills and knowledge may be your biggest asset when it comes to trade during an economic collapse or societal breakdown. Medical skills are the first to come to mind. Doctors, EMT'S, nurses and other medically trained individuals will be in high demand. Other related skills include: dentists, herbalists, homeopaths and veterinarians.

The ability to build shelters, garden, set up and run a distillery, hunting and trapping, collecting and purifying water, gun repair, reloading, blacksmith, butcher, baker and candle stick maker. Any skill filling a need for a number of people would be an asset and a valuable trade commodity. Having useful skills maybe the best barter item you could ever have, and it is a renewable resource!

Gold and Silver

There have been a lot of authors over the years suggest putting back gold and silver to use as barter items after an economic collapse. I personally don't see much use for such items, at least in the early stages, yes it's rare, but you can't eat it, it's not really good for anything besides its current monetary worth.

There will be a much greater need for basic life essentials like food, clean water and medical care. Even with that said I put back every pre-1965 junk silver quarter and dime I come across. This takes very little effort on my part, besides looking at my pocket change and sorting out by date, and placing the coins in a plastic 34.5 oz Folgers coffee can.

Ammunition

Some think ammunition would be a great barter item after the crash. If you can keep from being shot with your own wares, then ammunition would be a great trade item. The thing is people are a selfish lot and could decide it would be more productive for them just to shoot you and take what you have. Robbery and murder are common place during normal times; one can only imagine how bad it would become in the days after a major social break down. If you decide to cache away ammunition for barter purposes, my advice is to put back .22 rimfire rounds and trade only with people you know and trust.

Hand Tools

Hand tools such as saws, hammers, drills, knives, ax heads and handles, shovels, garden hoes and other tools will be in great demand after a collapse, the problem becomes the financing. Tools cost money; even the cheaper quality items will set you back a hefty amount if you try laying back a significant quality.

Whiskey and Cigarettes


Whiskey and Cigarettes would become very valuable items if the normal supply were suddenly stopped. You would have little trouble trading these items for just about anything needed. Just don't get busted by the BATF, don't think for a moment that the government will go away because of an economic or peak-oil collapse, no way. The powers that set on the thrown will only strengthen its grip on the population, becoming more suppressive in order to stay in control.


What I have

For comparison here is my personal list of trade goods. It should generate discussion, if nothing else. I have a number of garden seeds, wooden matches, fishing supplies (line and hooks), reading glasses from Wal-Mart, tampons, and an assortment of bicycle parts such as tires, tubes, chains etc,. I also have a complete reloading setup and a good stockpile of powder, brass, bullets and lead.

Things you don’t Need

This is not a complete list. It mostly is a short list of items I have often seen suggested by other writers and on survivalist forums that I feel would had little or no use a barter item after a collapse. This includes; pots and pans, clothing, parts for cars, dollar bills, wire, nails, iron, boards, hinges and other raw building materials. Anything that will be easy to scrounge will not be a valuable trade good.

Original at: http://thesurvivalistblog.blogspot.com/2008/08/survival-in-barter-economy.html