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For some reason, many people see empty shelves as a much more humanitarian option for those in need during a disaster. Sounds like this is the time to borrow on a fixed rate and buy an asset, as soon as inflation hits us for real wages will increase and allow you to pay off that thing right fast and allow your asset to inflate in price as well.

The government is good at one thing. It knows how to break your legs, and then hand you a crutch and say, ‘See if it weren’t for the government, you wouldn’t be able to walk.” When Hurricane Katrina hit my area, there was no electrical power or communications. We were cut off from the news in the rest of the world. We were unaware that world gasoline prices had increased over $1 a gallon overnight. Everyone needed gasoline for their home electrical generators. When a few gas stations finally opened, we were shocked at the price. Many cried “price gouging”, not knowing the price increase was a reflection of the sudden change in price in the world market. Nevertheless, the increased price prevented hoarding. I saw people with large tanks turn away after filling only a few small tanks. People got what they could afford and everyone had enough gas for a few days until more stations began to open. The market regulated itself.

 

 

 

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