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

To: bull_dozer who wrote (20968)	6/24/2009 1:17:38 PM
From: GST	4 Recommendations Respond to of 71454

Thanks -- but please note, North applies a form of outdated logic that is very much like that of the the deflationist camp. The only difference is that his use of this logic is more consistent with the facts -- and for that he should be commended. The shortcoming is that he completely ignores the implications of global finance and the risks and outcomes that come from being an extremely weak global reserve currency. The only argument that has been made that has stopped people in their tracks from concluding that the dollar is a dead duck is that nobody seems willing or able to grasp the alternative, much less embrace the consequences, of the US dollar losing is global reserve currency monopolistic preeminence. North, like the deflationists, see the US as an economic island. He applies reasoning that is like trying to explain quantum mechanics using Newtonian laws. Newtonian laws work for most every day calculations -- but they are of no use in grasping the nature of quantum phenomenon. We are at the same point in the deflation/inflation debate -- it is pointless to waste most of your time looking at the US as if it operated alone in the world with sealed borders and no net external debt.