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

To: elmatador who wrote (97742)	3/22/2013 3:45:12 PM
From: Maurice Winn	1 Recommendation Read Replies (2) \| Respond to of 217815

That's not really true ElM. <What the Americano fails to grasp is that a large portion of their standard of living owe to the fact that the US held currency held world reserve currency status. That allowed them to enjoy a high standard of living without paying much taxes. > While the US$ is a tax on the rest of the world who deal with the US$, primarily by dilution of the dollar, that dilution-tax is not a big part of the overall economic activity of the USA. If my plan to do away with the US$ comes to fruition, it won't make a big dent in the US economy. It would be barely detectable. The world reserve currency status of the US$ followed the success of the US way of life rather than the reverse. Because the USA was so successful, hordes of people around the world wanted to deal with them which meant getting hold of US$, which I have done for decades. Even if the US$ disappears, I will still own my Qualcomm, Globalstar and collect royalties through Apple. Say the US$ on issue is about $10 trillion and it's diluted at 5% a year that's only $500 billion a year extra revenue for the issuers of US$. With a GDP of about $16 trillion, the average US citizen can't loll around paid for by the rest of the world, especially since most of those US$ are actually held by US citizens. If we assume about $100 billion [20%] of the dilution tax is paid for by foreigners, it's hardly enough to keep some of the federal government employees in the manner to which they have become accustomed. So when my plan to replace internationally traded currencies [US$, yen, euro, pound, the mighty $kiwi, etc] takes effect, it won't be a big deal at all for US citizens or even for the issuers of the US$ who are the main beneficiaries of the dilution tax. Mqurice