All around the internet, you can find vigorous discussions about how, with the impending risk of international economic meltdown brought about by massive overspending, the smart bet is to invest in things like gold, which is a fungible commodity that will retain its value even if the rest of the economy self-destructs.
While, in some ways, this exhortation to invest in things like gold makes all kinds of sense, typical economic-downturn commodities like it have many disadvantages: they’re expensive, hard to move in quantity, limited in availability, and difficult to produce. These disadvantages mean that, even if one accumulates quite a bit of them, they will be harder to use when the time comes and will eventually run out.
On the other hand, food is also a fungible commodity, and while it often lacks the durability of other commodities, it has the significant advantages of being cheaper, easier to move in quantity, largely available if you want it to be, and surprisingly easy to produce. In fact, before precious metals, gem stones, and oil, food was the currency de jure in most parts of the world for millenia.
What is so amazing about food production is that almost anyone can do it, even on marginal land or land often presupposed not to be agricultural. As I have challenged everyone to do in my “10-10 Challenge” and is discussed in a variety of books like You Can Farm, Small-scale Grain Raising, and The One Straw Revolution, just about anyone can produce quite a bit of food on small plots of land with minimal investments of time and effort. Historically, families in the East have fed themselves and sold surplus off plots as small as a quarter of an acre, which includes raising livestock.
The beauty of small-scale food production is that, if the economy does tank, the food you produce will still have value–perhaps even more value than it did previously. Further, unlike traditional economy beating investments, producing your own food means that you do not have to rely on someone else to produce that food for you, which then means that the other fungible assets you might have accumulated are now available to procure all sorts of other things.
Even if you don’t want to produce your own food, you can still invest in food as a commodity against economic disaster. The company Heirloom Organics sells investment grade seed packs designed for long-term storage and that contain open-pollinated, heirloom crop seeds that will become very valuable if the economy collapses. Companies like Emergency Essentials sell supplies of long-term storage foods like cereal grains and legumes. Even if one does not use these food items himself, they can become a valuable commodity in the case of economic hardship.
Of course, my underlying argument here is that everyone should establish a higher level of self-sufficiency by growing their own food, one of the benefits of such activity being that it can act as insulation against economic hardship. Doing such a thing seems like a double benefit and an easy choice to me.