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

To: Real Man who wrote (25912)	12/23/2009 4:28:28 PM
From: benwood	Read Replies (1) \| Respond to of 71463

They should be calling this decade the "Naughties" to be more precise.

To: Real Man who wrote (25912)	12/25/2009 6:43:07 PM
From: axial	2 Recommendations Respond to of 71463

Storm clouds ahead for America -snip- "Many of the futuristic predictions in Global Trends 2025 are being overtaken by the rapidly shifting realities of the present, says Michael Klare, a professor of security studies at Hampshire College in Massachusetts. The U.S. report was written just as the global economic crisis began to unfold in 2008 and it predicted a gradual decline of American power over 15 years. But Mr. Klare says the financial crisis upset that timetable. "As a result of the mammoth economic losses suffered by the United States over the past year and China's stunning economic recovery, the global power shift the report predicted has accelerated," he says. "For all practical purposes, 2025 is here already." The reordering of the world's financial system has happened far faster than the experts had envisioned and it could end up accelerating many of the trends they identified. The worst global recession since the Great Depression wiped out an estimated US$40-trillion in savings worldwide and caused U.S. public debt as a percentage of GDP to increase from 42% to between 60% and 80%, according to different estimates. This year the U.S. deficit will be higher, in percentage terms, than at any point since the Second World War. The United States' decline is so severe the world's economic powers have already floated the idea of adopting a "basket" of global currencies to replace the U.S. dollar as a medium of exchange. Robert Pape, a political scientist at the University of Chicago, estimates between 2000 and 2008 the U.S. share of the world's GDP fell by 32%, while that of China rose by 144%. "America is in unprecedented decline," he says. "The self-inflicted wounds of the Iraq War, growing government debt, increasingly negative current-account balances and other internal economic weaknesses have cost the United States real power in today's world of rapidly spreading knowledge and technology. If present trends continue, we will look back at the Bush administration years as the death knell of American hegemony." The United States has experienced the most significant decline of any state, except the Soviet Union, since the mid-19th century, says Prof. Pape, adding: "Something fundamental has changed." nationalpost.com Jim