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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: THE ANT who wrote (59397)12/27/2009 1:59:25 PM
From: elmatador  Respond to of 217561
 
What matters for the US is how much money it can supply without losing control of its own internal economy.

What happened was:
Gold standard was enough for post war period. As the money supply was backed by Gold.

Once countries where up and running after WWII reconstruction, More money needed to be supplied.
Gold Standard was junked and USD could be printed com gusto.

Then Cold War ended, trade increased -as 2.5 billion of people entered the world economy- US needed to increase money supply to keep world trade liquid. Greenspan let it print real good.
Bernanke followed suit.

The effects of printing going haywire started to being felt.

With so much money around that we saw financial hypertrophy.

Eeven tiny little economies started being finance-heavy with the results we have been witnessing.

This is where we are today.
How long will that can continue to have reserve currency that needs to be supplied for the rest of ther world?

Noting that 2010 world will return to skyrocketing growth.