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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 427.64-3.9%4:00 PM EST

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To: Haim R. Branisteanu who wrote (92601)7/18/2012 9:47:52 AM
From: elmatador  Read Replies (1) of 219961
 
First the North tries to hold on to its position. Keep the South in the dark, starve it of capital in order to fleece the south to subsidize its living standards.

This went from 1971 Nixon Shock until 1997. Last time it worked was during the Asian Meltdown.

Second stage the above strategy was untenable.
North milk its own reserve currency status to keep its standing. Europe copycats the US. Creates its own currency to compete to USD in order to keep its living standards.

North prints money and creates credit at a high rate. Excess money trickles down to the south.

South pays debt in order to stop being fleeced. North loses the teat of the cow that was feeding them.

Excess liquidity tramples over finances of the North. North no longer has third parties paying their bills.
North faces the abyss.

Europe stars cannibalizing itself.

What next?
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