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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: Robin Plunder who wrote (14669)	11/18/2008 10:42:18 PM
From: Real Man	3 Recommendations Read Replies (2) \| Respond to of 71456

It's not the economy that I am excited about. A very difficult road lies ahead. However, more of current policies will lead to Weimar Republic outcome, which is a whole lot worse than a currency crisis, unavoidable at the moment. The currency crisis and the sovereign default is, in turn, a whole lot worse than the Great Depression. We still have to see if we can avoid the Weimar Republic outcome, hopefully so. Personally, I like the possible policy shift from bailing out banks to bailing out manufacturing, but what do I know? The key reason for public celebration of Obama election in many, many countries was the likelihood that totalitarian fascistic/militaristic tendencies of the United States will cease to exist. They were very much present and recognized around the World, since US and the Bush administration formally violated UN convention when we invaded Iraq. Invasion of Iran without UN approval (very unlikely approval) would also constitute such a violation. By the way, the Russian invasion of Georgia was not in violation of UN convention, since Georgia attacked Russian peace keepers in SO. Makes a whole lot of a difference. Bush can be formally prosecuted for war crimes like Hitler was. He committed ones. Note that Weimar republic economy and fascism go together Weimar -> Hitler Italy -> Mussolini Yugoslavia -> Milocevic

To: Robin Plunder who wrote (14669)	11/18/2008 11:01:55 PM
From: Real Man	Read Replies (3) \| Respond to of 71456

Hyperinflation can ravage a country for decades, and turn a (formally) prosperous nation into a pile of rubble like Zimbabwe, where people can't even afford to eat a day on a monthly pay check, which, by the way, completely evaporates by the end of the day (devalued by 50% or so). The monetary collapse like this can last every day for a decade or longer. The economy disintegrates into barter economy. Trade ceases to exist. It happened in Yugoslavia. The price to pay for nurturing fictitious financial economy. You may be working, but might as well quit going, cause you are paid 0. Speculation becomes the most profitable profession. Was Doug Noland talking about a stable currency as THE key to recovery? So am I. This chart does NOT reflect that. research.stlouisfed.org