To: PGR88
That’s not the only thing; the other thing is the whole foreign bond ownership, which is not as high as domestic but has far more potential to nuke the dollar if they dumped those holdings. If a dump occurs and the US dollar ceases to be the world’s reserve currency, then what printing will result in is hyperinflation, even worse than what the Weimar Republic experienced.
8 posted on
07/03/2014 7:54:04 AM PDT by
Olog-hai
To: Olog-hai
Thats not the only thing; the other thing is the whole foreign bond ownership, which is not as high as domestic but has far more potential to nuke the dollar if they dumped those holdings. To keep the edifice of the Progressive nanny-state alive, The Fed/US Gov't have printed money/debt that the rest of the world, until now anyway, has been forced to accept. That's the benefit of having the world's reserve currency (and the world's largest military), but at least since Nixon severed any link to gold, we have been abusing that position. The world is indeed holding $trillions of dollars because of this abuse of the printing press by the Fed. As you point out - how much longer will it last?
11 posted on
07/03/2014 7:59:01 AM PDT by
PGR88
To: Olog-hai; PGR88
Correct. But also remember our Stock Market is also a house of cards......the one everyone celebrates as breaking 17,000. When the US Dollar is removed as the world's reserve currency, our markets will implode. We have 77 million Baby boomers, with 10,000 retiring each day. They are relying on a combination of their 401Ks, IRAs, and Social Security checks to survive. The markets need the infusion of money that less and less younger workers can hand over. When the US Dollar is no longer the reserve and the Fed pumping Ponzi scheme ends, there will be blood in the streets. It will ALL come crashing down. And, the days of the US Dollar are numbered, and the noose is tightening.
13 posted on
07/03/2014 11:36:11 PM PDT by
SkyPilot
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