Mental Capital: Not Losing your Marbles

Do you ever get the feeling that society is losing its marbles? Have some of your friends gone mad and can now only talk stridently about transgender bathrooms, Brexit and the latest presidential Tweet? Do you want to avoid the same fate? Then read on ...

An essential aspect of Holistic Resilience is mental capital. As I outlined previously, Holistic Resilience means taking account of all your different forms of useful and available capital and treating them as essential components that make up a larger whole.  But mental capital is an especially important one, because you can get by for a while without some of the other forms of capital, but you won’t last long at all without any mental capital. But what is it?

Mental capital is that weightless, difficult-to-quantify stuff that is stored within the bony attic of your skull. It encompasses your intelligence, skills, charisma, philosophical outlook and – with a bit of luck – some common sense and a sense of humour.  

[Note: actually, nobody is able to prove these things reside within the brain, and there’s a growing amount of research into the idea the brain is simply a transceiver that accesses information from other realms, but for the intents and purposes of this piece we’ll just assume that your brain is the storeroom of your mental capital. Oh, and another thing, you have two brains as opposed to the standardly assumed one, but that’s not really relevant here.]

Thus, without looking after your mental capital you would not only be very dull and uninteresting, but also functionally dead. This may account for the popularity of all those zombie movies. Those shambolic, brain-gobbling walking corpses are they really just an uncomfortable metaphor for those who haven't managed to hold onto their mental capital and, on a use-it-or-lose-it basis, have reverted to the undead.

It might surprise some people to learn that being an undead zombie type of person, far from being an unsatisfactory situation, is actually considered the ideal when it comes to being resident in a Western country. An ideal —that is —from the point of view of those who stand to benefit from such a state of affairs. In the minds of politicians and business tycoons, having control over a population who have let their mental capital dwindle to apocalyptically low levels, must be a bit like how a shepherd feels with a couple of well trained border collies at his command able to make the flock of sheep go exactly where he wants just by whistling.

How did it get to be like this?

The industrialisation of our technocratic societies has given our handlers some great new tools to exploit us. They can easily make us do things that are against our self-interest, such as buy a product (no matter how shoddily made) or inject our minds with an ideology (no matter how half-baked) almost at the push of a button. This is achieved through an elaborate mind control system called the media, and the clever part is we think all the stuff that appears in our heads was our own idea!

Thus, if you ever find yourself buying a brand new car on credit even though your other one works just fine, or if you catch a reflected glimpse of yourself marching around the streets wearing a pussy hat and demanding that millions of people from alien cultures be allowed to flood your homeland and make those same streets unsafe for you, then you might want to stop and think for a moment. A good question to ask yourself in such a situation is: who stands to gain from this? 

If you think like this for long enough you'll probably start to suspect that powerful forces are — you know — toying with you. And that's not a good thing. You may feel that the whole thing is a bit ... sinister.

Ever get the feeling that ...

We now live in a world where the president of the United States can type 140 characters into Twitter on his iPhone and, within minutes, cause hundreds of millions of people around the world to descend into a state frenzy and lose their minds. It’s an enviable amount of power that would make even a grand wizard in an epic fantasy novel jealous, but he — and others at that end of the food chain —only have that power because people willingly give it to them. So, given that any degree of resilience would necessitate protecting oneself against such intrusions on your valuable mental resources, how best to put up a firewall?

Intelligence

We all like to think we possess some degree of intelligence. We might not think of ourselves as being a genius per se, but we at least like to think of ourselves as more intelligent than them (with them being those stupid dunderhead ignoramuses who just won’t listen to reason).  But what is intelligence?

Some people say you are born with intelligence and some say it's a question of nurturing.  Whatever, we’ll probably never know because, ironically, we’re not intelligent enough to truly understand it and measure it. Still, one way NOT to measure it is by using IQ tests. These can be gamed, as has been proven i.e. you can get better at them by anticipating the types of answers required and seeing through the underlying logic. IQ tests measure a person’s ability to do IQ tests.

Perhaps a better way of understanding intelligence is to assume there are many different categories of it, and that everyone has varying levels of each. In the 1980s the American psychologist Howard Gardner identified nine different types of intelligence, including categories such as existential, natural, musical and bodily-kinesthetic. We intuitively know this to be true (intuition being another type of intelligence our ancestors used, yet has fallen out of use since the Enlightenment). Everybody is clever in certain ways, and our current obsession with measurable and narrowly-defined notions of intelligence have got us into the fix we’re in today.

From a personal perspective it pays to figure out where your gods-given talents lie, and make use of them accordingly. It also pays to build up your knowledge and improve your theoretical model of the world and how it works, because this is probably the best survival tool you’ll ever possess. A standard school education doesn't really do this as, like IQ tests, the focus there is on getting a good score. So how does one build up intelligence?

Reading a lot of books is a good start, especially if they are challenging, offer different viewpoints and span a number of eras to illustrate how ideas wax and wane over the ages. But this is perhaps not for everyone (especially if you are more oriented towards interpersonal methods of intelligence and learning), so in this case you may learn more from watching videos on YouTube and attending talks.

“But who can I trust? Who is right and who is wrong?” goes the cry. The answer to that is that there is no answer. You’ll just have to figure it out yourself. Saying that, there are a few red flags that indicate the person on YouTube from whom you are trying to download intelligent ideas is shovelling smoke:

• They have large staring eyes (or narrow dead ones) and they never smile. It is easy to imagine these idealogues holding a knife dripping in blood or ordering the execution of people who disagree with them
• The production quality of their videos is too good for an amateur production (indicating they are probably being funded by some billionaire somewhere)
• They believe the Earth is flat or that we are being controlled by Lizards in human meat suits
• They have a made up name (indicating they have likely been convicted of something and done time inside)
• They claim to know and speak “The Truth”
• Their every utterance is dripping in sarcasm
• They begin their TedX presentation with a slide of planet Earth

Simply put, if you cannot imagine having a long and engaging conversation with them over a cold beer beside a fire, then they are probably not worth listening to.

Skills

Everyone has some skills, but not many people have any useful ones outside the narrow area of specialisation they have ended up working in. Skills are a strange thing because you can’t tell who has them simply by looking. That person sweeping the street with a cigarette dangling from his lower lip might be the next Jimi Hendrix, and the woman handing you your change in the supermarket might be a talented artist destined to be known down the generations.

These kinds of skills are great for the upper realms of human experience, but could they truly be considered useful? In terms of resilience, perhaps it’s time to get back to basics with some foundation skills that will make life a lot easier for you as the service industries made available by cheap oil go the way of the dodo. Any list is likely to be a long one, but at the very least, some competence should be sought in:

• Cooking. You should be able to cook a basic meal from scratch using whatever ingredients are available. Storing food is also a valuable skill
• Harvesting food from nature. Aside from fishing and hunting, this means learning to forage for edible plants and also growing your own vegetables/fruits/nuts
• Self defence. Being able to protect yourself and your family from attack
• Mending things. This could include sewing worn clothes, fixing broken electrical appliances or stopping the leak in your roof
• Education/story telling. Passing on your knowledge, traditions and cultural norms to your children or the children of others

 

Telling stories around a camp fire is a useful skill

Character and charisma

Your character is made up of the personality traits that define you as a person. Good character has to be worked at and is not simply a case of writing virtue signalling platitudes on Facebook. However, like intelligence, good character is  anathema to modern society because it shows a certain level of resistance to accepting the norms handed down by social engineers. Given that our societies are now in an advanced stage of psychotic breakdown, having the strength of character to resist the tide of half-baked pseudo ideologies, such as cultural Marxism, can make you stand out from the herd.

Unfortunately, there’s nothing you can do about this beyond living with honour and sticking to your guns. Remembering that your duty is to your kin – meaning your family and your community (in the absence of a tribe) – is what gives you honour, and is where you will draw strength.

Charisma is slightly different. Some people seem to have it and some people don’t. It’s that indefinable quality that makes other people want to be around and listen to another. Unfortunately, a lot of people with charisma are not necessarily worth being around, and some are downright psychopaths. And charismatic psychopaths, from a personal resilience perspective, should be avoided at all costs as they will suck the life right out of you like a vampire. In past times, when people lived in small clans of no more than 150, psychopaths were identified and disposed of before they could inflict much damage. Quite often this would be disguised as a hunting accident (“Yeah, Quarg just kind of slipped off the cliff and fell onto his spear when we were chasing the bear.”) or they would have their throats slit and their bodies tossed into bogs so that they couldn’t reincarnate.

In the modern world it is illegal to slit people’s throats and toss them into bogs, so psychopaths are now permitted to rise to prominent positions in business and government, where they able to inflict the most damage.  If you suspect a psychopath is feeding off your own mental capital the best thing to do is ghost them. This means you completely block them out and never have contact with them ever again. Being glib, vain and shameless creatures, they will come crawling back to you with flattering remarks and gifts, but you should never let them near you again.

A European bog body - a tradition of getting rid of psychopaths that is no longer allowed

Mental stability

Assuming you’re a regular type of person with no overwhelming pathological mental health conditions, there are certain things you can do to help keep your peace of mind in an increasingly insane world. These things are often remarkably simple, some suggestions include:

• Alcohol and recreational drugs. Alcohol is a depressant, marijuana eats away at your character and psychedelics can open your mind so much your brain falls out. Moderation is the key here.
• Sleep. Getting enough good quality sleep is super important to mental welfare. A lack of either triggers a whole host of reactions by your body, including feelings of depression and stress, and your immune system suffers too. Conversely, a good night’s sleep (or several; many of us are so sleep-deprived we need up to a week to fully recover) will have you feeling clear and sharp. Incidentally, alcohol disrupts sleep patterns and prevents REM, which is one reason why you wake up feeling so lousy after hitting the bottle.
• Nature. The modern world has isolated most of us from nature and this is making us extremely unwell and depressed. It is very hard to be depressed when you are surrounded by wildness and nature. 
• Exercise and diet. Vigorous exercise triggers the release of endorphins, which give you a feeling of wellbeing. Also, following a healthy diet with all the right vitamins and minerals (preferably from wild plants or biodynamically grown food) means your body will be stronger. Avoid putting glyphosate into your body, which causes inflammations and cancer, and is most readily found in non-organic wheat, lentils and dried pulses.
• Trolling. Don’t be a troll. If you find yourself hammering away of your keyboard late into the night passive-aggressively hurling insults at strangers over some cause du jour, this means your mental health is slipping.
• Digital crack. Similarly, limit or exclude from your life Facebook, porn, computer games and mainstream news as these will all rot your brain and turn you into a gibbering, salivating digital untermensch.
• Annoyances. Eliminate those little niggly things. Do you need a filling in one of your teeth but have been putting it off? Have you relegated that important paperwork to the bottom of the pile? Are there a dozen annoying things that need fixing around the house that you never seem to get round to? Get all these things fixed and you’ll feel a lot better. 
• Clutter. Also, get rid of everything in your living space that doesn’t belong there. Make everything tidy and clean and you’ll feel like a weight has been removed.

But most of all, stop allowing unfettered access to your mind by the parasites who benefit from feeding off it. Instead, simply ignore them and do something creative instead. Play the guitar, paint a picture, create a garden, design a role playing adventure ... all of these things exercise your creative capacities, meaning you have added something of value to the world, rather than responded negatively to something of no value. 

Common sense

This, unfortunately, is not as common as it once was and should perhaps be renamed. It is yet one more thing that is being taken away from us and preventing us from living as authentic and individual human beings. Wikipedia defines it as:

“[the] sound practical judgment concerning everyday matters, or a basic ability to perceive, understand, and judge that is shared by ("common to") nearly all people.”

Given there’s no way to teach this there’s very little to be said about it other than that it’ll probably be a long hard slog before it resurfaces.

A sense of humour

Finally, having some sense of humour is an important aspect of mental resilience. Some of the funniest and seemingly light-hearted people you’ll ever meet are those who have been through the worst times. Call it “dark” or “gallows humour” if you like, but being able to laugh in the face of existential adversity is a human attribute of the highest order. [Just remember, there's a fine line between gallows humour and outright nihilistic cynicism; don't walk on the wrong side of the line.]

Following the much-quoted Kubler Ross model of change (a euphemism for "grief") will inevitably eject you out its backside as a changed person at the “acceptance” level. Congratulations, you’ve survived! 

Now, how do you react to the feeling of impending doom that has been instilled in you? 

Hopefully, with your new Stoic outlook on life, you'll decide to make the best of it and lighten up a little. After all, there’s literally no point moping around complaining you were born, and dramatically screaming “Why me?” at the sky as rain pours down and lightning flashes around you. 

Get on with your life in the best way possible. Be thankful that you’ve been jolted awake rather than face living the rest of your life cocooned in some blandly cosy yet false notion that everything is awesome and you’re in control. 

And then make some jokes about it.

A Tour of Fox Wood

Greetings all and happy New Year. Hope you all had a good one — I've been working in my woodland this week and thought I'd make a little video to show people what I'm up to. It came out a little bit longer than I anticipated, so it's probably best to watch it with a cup of tea.

This is my first YouTube video, although there will be more, so please don't be too harsh in your judgement of my efforts.

Normal writing schedule will recommence shortly.

Hard Goods

In the last couple of posts I’ve talked about the idea of having a range of types of capital to foster resilience. I started off talking about financial capital, because that is the form that first springs to mind for most people when they consider planning for the future, but it’s only one of ten different forms I outlined.

The next one I want to write about is hard capital. When I talk about hard capital I’m talking about physical objects that you can put your hand on. These are things that come under your orbit of control that you can put to good use in order to achieve your primary aim. What is your primary aim? It is, I would suggest, to stack the odds in your favour of living a good productive, healthy and happy life for as long as possible, and to resist being sucked into a chaotic void. Sound reasonable and realistic to achieve?

Many people these days have unrealistic aims. They want to do things like save the world from global warming, or push humanity onto a higher level of vibrational consciousness, or smash the patriarchy (whatever that is). As such, they are set up for failure, and the void stretches before them. I’m not saying there’s anything wrong with aligning your life with your values and hoping for the best, but making an unachievable aim the major focus of your life will drain your energy faster than a solar battery on a cloudy day.

Instead, a wiser course of action would be to focus on things you can achieve within your own life. Once you’ve got your own house in order you’ll be of greater use to your family, your friends and your local community. Who knows, you may even have some energy left over to dedicate to achieving world peace.

The Brooklyn-born psychologist Abraham Maslow had a great deal to say on this matter. Maslow thought that the aim of life was to achieve “self-actualisation”. By that he meant climbing upwards and away from the drudgery of day-to-day existence, and achieving something truly remarkable with your life. To him a self-actualised person is:

“A person who makes full use of and exploits his talents, potentialities, and capacities. Such a person seems to be fulfilling himself and doing the best he is capable of doing. The self-actualized person must find in his life those qualities that make his living rich and rewarding. He must find meaningfulness, self-sufficiency, effortlessness, playfulness, richness, simplicity, completion, necessity, perfection, individuality, beauty, and truth.” Abraham Maslow

To this end, Maslow then went on to create his famous “hierarchy of needs” triangle, which sets out human needs, from the most basic to the most refined, with the implicit suggestion that we must all set out on a journey to climb our own personal pyramids.

Looking at the triangle, you may notice that, moving from the bottom to the top, is roughly equivalent of moving through the ten forms of capital needed for resilience which I outlined (financial, hard goods, mental, social, health, employment, bio, time, emotional and spiritual).  That is to say, one level needs to rest on the base of the one below in order to move up to the next level, with each level becoming narrower and more refined as you ascend. The pinnacle of the pyramid is the state of self-actualisation, and it rests on the firm base of the other states below it.

So, with the ideal of achieving our highest form of human experience, the next level of capital we’ll need to develop is the hard stuff. And the biggest piece of hard capital most people will need, and also something that appears very low down (i.e. of fundamental importance) in Maslow’s hierarchy, is a building in which to live. A home can take many forms, but it needs to provide shelter and safety at the very least. Ideally you will own your home and have the security of knowing that it’s yours and cannot be taken off you except in the most extreme of circumstances. Alas, housing across the industrialised world is a traditional favourite for speculative investors, meaning the price bears no relation to the materials involved in its creation. This puts home ownership out of reach of many people, forcing them into a life of renting or being shunted around from one social housing project to the next. And for now, strict zoning laws and obstructive planning rules keep it this way. Despite this, many people have found their own creative solutions. These include:

• Tiny homes. Often the size of a garden shed, and sometimes on wheels to get round planning laws, tiny homes still provide the function of protection (from the elements), a safe place to sleep, a physical address and a store (however small) for other hard goods such as clothing and cooking wares. Pros: affordable: Cons: may fall foul of planning laws, not much space for anything except living
• Earth sheltered buildings/hobbit holes. Increasingly common in northern Europe, these are partially dug out of the ground and usually hidden from view. Being constructed of natural materials and scavenged waste, they are very cheap to construct and are often situated on land deemed agricultural. Pros: cheap to build, close to nature: Cons: usually illegal, prone to demolition if discovered
• “Wheel estate”. Living in a car, camper van (RV) or caravan is increasingly common, especially for people in the generations either side of the baby boomers. In the US there are now entire ‘communities’ of elderly workers living in these conditions and working for companies such as Amazon. Pros: very cheap, usually legal, mobile: Cons: little security, prone to breakdown/devaluation
• Squats. Taking over unused buildings is not a new phenomenon but it is increasingly common in large cities. Pros: free: Cons: illegal, unsafe

If you’re one of the lucky few who can afford to own a regular house with a bit of land attached in the form of a garden, you should count yourself very lucky. However, there are pitfalls even here. We are told, and most people assume it to be an absolute truth, that houses are an asset. It’s an article of faith that they always rise in price over the long run, leading to the maxim “safe as houses.” But a house is not just an asset, it’s also a liability. Once you own a property that is legally registered in your name you are on the hook for whatever local taxes the increasingly cash-strapped municipal authorities decide to throw at you. Can you decide you don’t want to pay these taxes? Not without landing yourself in court — and if you still won’t pay, you may end up in prison (which is the ‘housing solution’ of last resort).

What’s more, houses decay. Roof tiles fall off and let water into the loft space. Damp spreads up walls from basements. Window frames rot and need replacing. Heating and cooling systems break down and cost a fortune to get repaired. The list goes on …

The aim of the game is to make your house more of an asset than a liability. You can do this by choosing to live in an area with low property taxes, running a business from home, making sure it is insulated properly so that it doesn’t waste energy, setting it up to run on renewable power, renting out a room (or even the whole house if you live in a touristy area), making use of outdoor space to grow food — again, the list of what you CAN do is long.

So, if you find yourself in the fortunate position of being able to buy a house, choose wisely. Get one that has a proven track record of standing up — newer houses (at least in the UK, and, I suspect, elsewhere) are made of cheap and shoddy materials that — even by the builders’ own admission — are not designed to last more than four or five decades.

Aside from housing, land is another eminently sensible physical thing to own. Whenever people ask me what I’d do if I won the national lottery (which is a pure thought experiment as I don’t buy tickets) I always answer that I’d buy land. As much of it as I could afford. Wherever I saw a field or a woodland or a degraded piece of scrubland, I’d buy it. I’d then get as many people as possible living and working on this land, restoring it to ecological health, growing food and generally being an example to others of what can be done.

Even if you don’t own any land, you’re still going to need some tools to ensure you can make some form of living. I have three main tools: a car, a laptop and a chainsaw. My car allows me and my family to get around and to move things that would be very difficult if we had to rely on muscle power alone. My laptop enables me to gather information, communicate, organise my life, apply for jobs, write blogs and books and a host of other things too. My chainsaw allows me to cut down trees and then butcher them up into small chunks in order to produce firewood, building materials and charcoal — something that would be very difficult to do if I had to rely on hand saws alone.

It's probably a good idea to get hold of any tools you think you might need in the future. The time to buy them is now, when all it takes is the click of a mouse button to have a diesel powered delivery van roll up outside your house a day or two later. Sites such as eBay are a great place to find old hand tools.  And old hand tools tend to be better than modern ones as the quality of metal ores used to be far higher than they are today. I have hammers that are probably 70 years old and still in great shape, and hammers that I’ve had only a year or two but are damaged after only light use.

Other hard goods that will improve your basic resilience in this category include:

-       Food and water. You should have enough food to hand to last you and your family through several months of disruption to supply. Most people operate a ‘just in time’ mode of living, going to the supermarket every day and having mostly empty shelves. This is an efficient way of operating, but it is hardly resilient. It’s best to build up a basic store of things that keep a long time, such as rice, dry beans and pasta, and then build of a store of canned goods, sauces, stock cubes and other items that will make consuming your bland basics a little more interesting. If you have somewhere to grow food, make sure you also have enough seeds in store. Always buy non-GMO heirloom varieties.

Clothing. Make sure you have enough clothing to last you a long time. If I had enough money, I would buy several pairs of really good boots, dozens of thick socks, several rainproof coats and hardwearing overalls, and I’d store them away for future use. Here’s an anecdote: my wife’s grandfather was a policeman in Denmark during WWII. One day the Nazis invaded and arrested all the police, but he managed to escape. For the next three years he lived rough in a forest, working with the resistance and enduring unbearably cold winters — an experience he never forgot. In 2002, just before he died it was found out that he had been saving in the attic all the socks, gloves and hats he’d been given over the years — “You never know when the hard times might come again,” he said.

Quality stuff. Despite the cornucopian abundance we enjoy at present, almost everything produced for consumers these days is cheap and shoddy. Unfortunately, for people on a low or average income, these are the only affordable options. Nevertheless, it pays to seek out quality things that will last a long time, and these can be cheaper than you think. Flea markets and charity shops are great places for the discerning scavenger to pick up quality objects. I have bought cast iron frying pans, ceramic pots and high grade ore tools very cheaply from these places. eBay is great for this too (just this week I purchased a hard wearing wax jacket for £40 that would have been £260 new – the reason being there was a small hole in one of the pockets.) If you can afford it, buy quality new things too. It might be painful to fork out the extra in the short term, but if it means you won’t ever have to buy said item again it will have been worth it.

Books and manuals. Again, these are very cheap at present and easy to obtain, so you may as well stock up if you have the space. “How to” manuals will be worth their weight in gold in the future as the internet becomes less and less useful as an information source, as will good quality fiction and non-fiction. Now is the time to build up your personal library.

Things of beauty. Okay, so not strictly ‘necessary’, but they will add value to your life. I don’t want anything in my house that isn’t either useful or beautiful, and some of the things I own perform dual roles. I’ve bought oil lamps from antique shops that look nice on my table now but will give light in the event of a grid interruption, artwork handing on the walls created by friends, furniture upcycled by my wife and old oak chests with beautiful painted artwork that I picked up for a song as they no longer fitted with people’s contemporary ideas of interior design.

I’m firmly convinced that if you live in a modern industrialised nation you can get hold of most of what you need to furnish your home either for free, or almost free. After all, this is exactly what I did in the very first blog post I ever wrote on here, seven years ago when I had no money.

So, anyway, there were some thoughts on getting hold of the hard goods you’ll need to build up that level of resilience in order to move onwards and upwards towards your aim of living the best life possible under the circumstances you are presented with. 

I’ll be taking a break for a few weeks in this series as I’m between jobs and focusing on getting the next instalment of my sci-fi book series written — the next in the series is called Neptune Rising — so have a great Yule/Christmas and see you in the New Year!

Staying Afloat: Financial Capital

Last week I wrote about personal and family resilience and outlined ten different types of capital. I defined capital loosely as a useful resource that you have some control over in order to comfortably get you through increasingly uncertain times. The first one of those—which also happens to be the one that most people associate the term capital with—is financial capital. Yes, we're talking about money derived wealth. I'm not going to cover this in any great depth—it is, after all, a blog post—as it is such a huge topic. Instead, see this as a prod for further contemplation, or maybe just as a reminder.


Rich man, poor man

It is commonly accepted that if you have a large enough pile of cash, you'll not only be able to secure your future, but you'll be happy too. We are told that having a high income and stash of other easily converted quasi-financial assets, such as stocks, shares, Bitcoins and a gold-plated pension will make you deliriously happy. However, this is not so. The best way to disavow yourself of this illusion is to stand during rush hour at a commuter station in the heart of London's City district or Wall Street in New York, and observe your fellow human beings as they swarm past. Not only do they not look happy, many of them look downright stressed and angry as they scurry back to their multi million dollar apartments and country mansions. Frankly, some of these stuffed suits look like they are about to burst a blood vessel.

But these are merely the working wealthy. What about people who have already accrued wealth beyond their wildest dreams? To see how well these are doing one only has to open a newspaper or read a biography or two. The former are filled with lurid stories of celebrities, lottery winners and sports stars ruining their lives with cash-fuelled hedonistic behaviour, and in the latter, you will often read of egotistical self-sacrifice, power struggles, lifetime-long legal battles with detractors and an eventual sad and lonely death followed by a drawn-out family squabble as lawyers pick over the will like vultures on a carcass.

Personally this kind of fate doesn't appeal too much to me.

So, if having too much wealth can be a curse, does it follow that having very little wealth will make you happy? Well, of course not. Unless you are Mark Boyle (the 'Moneyless Man') you're going to need to have access to some cash in order to survive, and for most people that means having a job. Now, having a job, in itself, might not make you happy, but at least it allows you to access a flow of money which you will need to get through life. Periodically, however, you may find yourself without the means of making money flow into your pocket, meaning you will suddenly find yourself with no money at all.

Having no money, or not enough to live off, is neither pleasant nor resilience building. If you find yourself in the position where you do not have enough money to support yourself or your family then you will immediately find yourself cannibalising your other forms of capital. You may be forced to sell off valuable items, such as your car. If you sell your car then you may find your scope for travelling to and from work is diminished, making it harder still to find a replacement job. This is the kind of negative feedback loop that is put into effect by a personal financial crisis. Next, you may raid your savings if you have any, just to buy the basic necessities. Perhaps you will similarly turn to credit cards or other form of predatory lending simply to put food on the table and pay the bills.

As time goes by and your situation has not improved you will be increasingly stressed and worried. When you get stressed your body and mind put themselves into an elevated threat mode. And as they don't know the nature of the threat, they prepare for every eventuality, which is why being stressed is so draining. Because of this your health capital will suffer. You may lose your appetite, you won't be able to sleep properly, and any addictions you have may spiral out of control. You may even develop new addictions — such as sleeping pills or prescribed opiates — as you desperately try to stop the stress from draining your life force. Eventually, if this continues, you may end up falling out with your partner, getting thrown out of your home and end up staring into the abyss thinking "What happened?"

Once the financial rug has been pulled out from beneath your feet a system of negative feedback loops will rapidly assert itself and trying to get back on your feet can feel like attempting to haul yourself out onto dry land from the set of rapids you've just fallen into. It is really quite a terrifying situation to be in, and one that is best avoided at all costs (as I can personally testify).

Yet this, unfortunately, is the scenario that more and more people are facing as our economies become increasingly threadbare. Today's economic reality is that more and more wealth is concentrated at the top rather than distributed more equitably, and at the same time the apparatus and mighty institutions of health, social security and state-backed pension provision that were put into place during an era of great prosperity during the second half of the 20th century are staring at bankruptcy.

Given these realities, any rational person would not want to be placed at either end of the financial wealth spectrum, and would instead opt for a happy medium. And given that not too many of us are likely to find ourselves accidentally falling into the most wealthy 1%, we only have to worry about being relegated to the status of financial non-entity class. Once you are relegated to this economic sub-class, where the best job you can hope to find is a zero hours contract on minimum wage, and any downward adjustment in your government allocated wage support will have a cataclysmic effect of you and your family, you are going to find it almost impossible to pull yourself out of it again. And given that this sub-class is rapidly swelling in size across the industrialised world and gobbling up people as if Godzilla and his extended family were at an all-you-can-eat buffet, what can you really do to avoid being a victim?

Control

Chaos and stress occur when you are not in control. To get control of your financial capital you first need to do an appraisal. If you're familiar with using spreadsheets then great, but a piece of paper and a pencil will also suffice. Make a note of all your income and all your outgoings on a monthly basis. If you don't know some of the figures then make a realistic estimate but brutal honesty with oneself is required in this exercise. Do the calculations to account for a few months, or even a year.

What is revealed? Do you spend more than you earn, or do you have a nice sum left over each month? If it's the former then you are going to have to find ways to either cut your outgoings or increase your income. Obviously, some of your costs will be fixed, but perhaps they can be reduced? It pays to think carefully abut what you are paying for both your fixed costs and your variable ones, and make actionable changes accordingly. There are many, many ways in which you can reduce your variable costs—and there are many websites and books out there packed with tips—so I'll just mention a few to get the thought processes rolling although, of course, everyones' circumstances are different. You could, for example:

- Cancel any entertainment packages you are signed up to and do something less passive instead
- Buy ingredients in bulk and make large pots of food, freezing individual portions for later eating
- Search around for cheaper utility deals and try to cut your energy and water usage
- Swap your car for a bicycle, or at least go by bike more often
- Forego a vacation rental and instead do a house swap

On the income side of the scale you could, for example:

- Take on an extra part time job
- Make art or crafts and sell them online
- Make value added products from your garden, such as chutneys or marmalade, and sell them at farmers markets
- Get a higher paying job
- Rent out a room in your house

The object of the game is always to live below your means. If you are able to  live below your means you can use the excess money to invest in other forms of capital and increase your resilience. You could, for example, spend your spare money on buying fruit trees (bio capital), cooking a huge feast and inviting your neighbours round to eat it (social capital), picking up some quality hand tools from eBay (hard capital) — or you could store it as cash savings, thus increasing your emergency fund (keeping it in the realm of financial capital). Thus by becoming more frugal you can become richer in a more rounded sense.

Speaking of this, one of the first things you will need to do to build financial capital resilience once you have got your income and outgoings tuned, is to build up a savings fund. There are shocking figures circulating that almost 7 out of 10 adults in America cannot put their hands on $500 to cover an unexpected emergency. I'm sure the figures will be similar for Britain and other first world nations, especially if anecdotal evidence is anything to go by. The fact is that most people are living wage slip to wage slip, or from one government handout to the next. Your immediate aim should be to ensure you are not one of them. A good target to aim at would be to have enough cash saved up to cover six months of expenditures for you and your dependents. Of course, this is just a target—any money at all that you can put aside will make you just that bit more resilient in the financial stakes. If six months seems somewhat extreme and unattainable, start with one month.

And when I say cash, I mean actual notes that you can put in your pocket. Any money that you have stored in a bank account is not technically yours at all, but the bank's. As all banks operate on a fractional reserve basis (that is, they only have something like 1/10 of the money that is on their balance sheet at any one time, the rest being all manner of convoluted investments, derivatives and loans), they will not be able to give it back to you if sufficient numbers of other people also ask for theirs back at the same time. This is called a bank run, and legislation is already here in Europe to protect banks against this happening by limiting the amount of liability they have with regard to your savings.

It is important to consider financial capital first because, with the exception of every other form of capital (except perhaps health), a financial disaster has the ability to bring down your carefully constructed house of cards. To that end we should first consider ...

Debt

We are riding high on the biggest debt bubble in history. This should terrify most people, and yet it rarely gets a mention. In fact, many younger people—including some economists—who have grown up in this debt bubble simply see it as 'normal' and assume it will continue to inflate forever. History tells us otherwise.

The fastest growing form of debt in the UK is consumer debt. We are bombarded with enticements to buy new stuff, to upgrade cars and phones and to splash out on holidays and computer games and a million other things.

But debt, in actual fact, must be repaid, otherwise it would never be lent in the first place. And so you must ask yourself before you take on any debt whether it is likely to increase your resilience or not. Not all debt is bad, just as not all savings are good, but think very carefully about taking on debt and always try to avoid it if you can. Because taking on a debt means handing over a portion of your future security to a faceless entity that does not care about you or your wellbeing: all it cares about is getting its money back, with interest.

At the very least, you should never take on debt to purchase consumer products or services. I know it's easy to be tempted, and we all have our weaknesses, but consumer debt can be an Achilles heel for many. Whenever I forget this simple fact I sit down and watch one of the many popular debt-collection TV shows and imagine it's my front door that the dull-eyed jobsworth debt collectors are kicking down at dawn, and my family they are forcing out onto the street. Because being in debt and finding you are unable to make payments is a sure fire way to set you on the road to financial oblivion.

So, if you have much unsecured debt, make it a priority to reduce and eliminate it. If you have a large amount of "secure" debt (in quotes because no debt is secure, from your point of view), such as a mortgage, also consider how you might reduce that, perhaps by moving to a smaller or cheaper property, or making increased monthly payments. The less debt you have, the less you'll have to worry about if/when there is a prolonged economic seizure.

Stocks and bonds

Known as 'paper wealth' stocks and bonds are certificates that purport to represent the value of a company or government or other real-world entity. Their price is determined by both the yield that they pay out (i.e. a sum of money paid periodically to the owner of the certificate) and the market's take on its true value based on its riskiness. Shares, generally, tend to be riskier than bonds, as bonds are underwritten by the central banks of national governments and are therefore deemed "safe".

But remember, no form of investment is "safe". Like other forms of paper wealth (futures, derivatives, hedge funds etc), stocks, shares and bonds are only an abstract representation of an underlying reality in the physical world, and their value can plummet to zero overnight. In fact, with the advent of high-speed computer trading, their value can plummet to zero in nanoseconds.

At present, stock markets around the world seem to be rising inexorably. The main reason for this is the huge amounts of financial stimulus being pumped into financial markets in the wake of the last crisis ten years ago. We are long overdue for a massive correction in this regard.

Gold and precious metals

It's common to see articles about financial planning and resilience end up by recommending readers buy gold as a means of securing their wealth (with a handy link to the author's favourite bullion merchant). I'm not going to do that. I don't believe that buying gold will do you an awful lot of good, unless you are extremely wealthy and really cannot sleep at night without thinking your future security is stored in a lump of yellow metal in a Swiss vault. The reason I don't believe that buying gold bars is a good idea is several-fold.

Firstly, they are eminently worthless unless you are able to liquidate their value in a safe manner. Given that gold is a safe haven, it has a consistently high value. It's very stealable. Should a financial collapse occur and word gets out that you have some gold buried somewhere then it's just a matter of time before you and your family receive a night visit from a group of gentlemen carrying duct tape, cable wire and garden secateurs. This exact scenario was very common in Argentina following their financial crisis in 1998. And given that it's impossible to sell physical gold without telling someone that you own it, there's no way around this scenario. If you own it, you take this risk of someone else finding out you own it, and wanting it.

Secondly, gold is useless. Okay, so it has a few minor uses, such as tooth fillings and fountain pen nibs, but beyond that it has little immediate use. If you really must own some precious metal then silver might be a better bet as it has a host of industrial and non-industrial uses, meaning it will always likely retain some value based on this. And it is less likely to get you in trouble.

And thirdly, gold mining is one of the most environmentally damaging things mankind has ever devised. I'm amazed at the sheer number of articles out there which spend several paragraphs outlining why we need to look after Mamma Gaia, and then go onto recommend buying gold to hedge the future.

Are there any situations where it might be a good idea to hold gold? Sure. Buying a few coins, for example, or holding onto family jewellery or gold ornaments will give you a bit of psychological and financial security without making you such a target. Generally speaking, however, a far better investment would be in hard goods and land. These are the kinds of things that will keep you alive in a prolonged state of emergency in ways that a lump of metal cannot.

Cryptocurrencies

A recent alternative to holding gold or cash, and something that everyone is talking about at the moment, is cryptocurrencies such as Bitcoin. I'll be honest and say that I don't know enough about them to have a fully informed opinion here. When they first appeared my first instinct was "snake oil" — and this has been bolstered by all the overblown claims I have seen lately, usually made by baby-faced millennials who have very little conception of the wider systems in which they operate.

My second thought was that they will clearly be unviable as energy constraints assert themselves — after all, if you have no access to your "wallet" on a smartphone or computer, then you have no access to your money. And then theres the huge amount of energy used by computers to "mine" the data that allows each unit to claim its uniqueness ...

However, several clever people whom I trust and respect have said they see some potential in cryptocurrencies and blockchain technologies as a form of decentralised cash, so I shall research more and develop a more informed view over time.

Anyway, that wraps up this short summary of financial capital as it relates to personal resilience. Next week I'll talk a little about a non-abstract form of capital — hard goods.

I'll end with what I consider to be the seven most important points to consider when building up your financial capital resilience:

1) Live within your means and invest any surplus in other forms of capital
2) Get out of debt as soon as you can — especially if it is non-productive debt
3) Build up an emergency cash fund to last you a good few months
4) Don't rely on paper wealth being a good store of value
5) Don't be a goldbug
6) Don't think you are going to receive much of a pension
7) Don't invest in cryptocurrencies unless you are 100% sure you understand them (nobody 100% understands them ...)