fredag 22 maj 2009

Dollar Is Dirt, Treasuries Are Toast, AAA Is Gone: Mark Gilbert

Dollar Is Dirt, Treasuries Are Toast, AAA Is Gone: Mark Gilbert
“All currencies are being debased dramatically by their central banks at extraordinary speeds and so in relative terms it appears there is no currency problem,” Lee Quaintance and Paul Brodsky of QB Asset Management said in a research note earlier this month. “In reality, however, paper money is highly vulnerable to a public catalyst that serves to acknowledge it is all merely vapor money.”

Why pick on the dollar, though? Well, not necessarily because the U.S. economy is in worse shape than those of the euro area, the U.K. or Japan. The biggest problem is that external investors -- particularly China -- have more skin in the dollar game than in euros, yen or pounds, which makes the U.S. currency the most likely candidate to meet the cleaver in a crisis of confidence about post-crunch government finances.

The G20’s Hidden Agenda of Devaluing the U.S. Dollar to Inflate Asset Values

För lämpliga historiska paralleller:

Weimar Republic

ersätt "decreasing amount silver" med - trycka mer pengar och "because of its buying of grain" med - 70% av all olja som konumeras importeras, så ser ni kanske vissa likheter?

A simpler possible explanation for the debasement of coinage is that it allowed the state to spend more than it had. By decreasing the amount of silver in their coins, Rome could produce more coins and "stretch" their budget. As time progressed the trade deficit of the west because of its buying of grain and other commodities led to a currency drainage in Rome.

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