# You Can Profit from a Monetary Crisis By Harry Browne **URL:** **By** Donald I. Rogers **Published:** March 1, 1974 --- “Harry Browne’s new book is not, as one might suppose, a sequel to his highly successful 1970 book, How You Can Profit From The Coming Devaluation.” Harry Browne’s new book is not, as one might suppose, a sequel to his highly successful 1970 book, _How You Can Profit From The Coming Devaluation_. It is more like Step Two in his broad strategy for keeping on top of the eroding economies of the world. The devaluation of the dollar came, just as he predicted it would, and he unabashedly points out that whoever followed his advice in 1970 (such as buying Swiss francs and South African gold stocks) profited substantially more than the less venturesome investors who bought the Blue Chip securities of dollar-based U.S. corporations. Browne likes gold and things that are backed by gold, such as currencies and the stocks of gold companies. Remember this as you read his book, for it contributes forcefully to his thinking. When he relates this preference—it is a belief, really—against what he foresees for the American economy and the economies of much of the Western world, he produces a program or set of programs for self-enrichment that seem to be just as viable as the approaches he recommended four years ago. Browne’s current book is worth the investment of your money and time if only because of the crystal-clear perspective you will gain of this na-tion’s economy. He has mastered the art of simplifying the dismal factors of things economic and provides the reader with a bright, shiny and easily understood accounting of how things stand in the U.S.A. What he sees makes him unhappy. In fact he comes to the conclusion that because of the current state of the American economy and the American attitude, we are about to experience the worst depression in U.S. history, from which, perhaps, there can be no easy recovery. Even though the reader knows how Browne feels about the economy, it would not do to skip over the early chapters in his book which document his reasoning, for it is here that one becomes familiar with the very foundation from which all of his resulting theory and philosophy evolve. In reading these chapters, even the most persistent student of economics will come across some thoughts that had never been expressed before and others that have never been enunciated so clearly. His careful compilation of the wide variety and types of government intervention in the “General Market” (his term for an unfettered and unregulated economy) should be cast in bronze and installed on the office wall of every lawmaker, not merely in Washington, but in every State Capitol as well. Paper dollars, not based on gold, and subject to relentless inflationary pressures, constantly lose their value as inflation proceeds. And since the United States has suffered a severe inflation for forty years there are some awesome consequences yet to come, says Browne. We’ve already seen higher import prices causing less purchasing power for consumers. Browne has no doubt that the depression will come, and he already fixes the blame: \> “A depression is a period in which the General Market attempts to cleanse itself of the misguided uses of resources that have been encouraged by government intervention, and to redirect its resources to productive activity more desired by consumers.” Browne doesn’t advocate that you break the law, but if you feel you want to buy gold bullion in Zurich or London, he tells you how to do it through a Swiss or a Canadian Bank. He also believes silver provides a responsible hedge against the coming crisis. But since 1961 it has been illegal for Americans to own gold anywhere in the world, so you may wish to consider other ways to invest to escape the ravages of a depression. Browne lists the gold-backed currencies and evaluates twenty-six of them. He also tells you how to do your own evalu-ating for future situations. Most of all, though, he suggests you do your banking in Switzerland, and keep your liquid assets there, and he enumerates the reasons why he believes this. It is not illegal to own silver and Browne recommends keeping a supply of silver coins on hand, not only because they will appreciate in value as silver grows more precious, but because it will be handy to have if there are bank holidays when the depression hits. All of this sounds scary, but Browne is a sound man who has written a solid and thought-provoking manuscript. Before you make other invest-ments, make one in this well-done book. _Reviewed by Donald I. Rogers / Economics (397 pages, indexed) / BFL Price $8.95_