For your perusal and comment.
Our "power" doesn't rest in our currency. Nor does our wealth.
Our power rests in our ability to create things, freely and defend ourselves. Something much of the world has forgotten how to do.
He's exactly right. However, if we go down, everyone goes down with us. Pretty stupid to try and crash our economy.
The death of the dollar has been greatly exaggerated.
Are nations really going to dump the dollar to put their reserves into euros betting on the perpetual recession that is the eurozone to provide stability?
It matters little that it is Soros making the statement -- it is an obvious fact to anyone who reads. Markets are already more manipulated by the big players and governments, rather than by supply and demand.
Many of the self-anointed elites fared well enough through the Great Depression, and many of them will through this coming one. It was, and is, their bleeding off all the real people's operating capital through increasing taxes and decreasing real incomes that causes depressions.
What is worse this time is that they have dismantled so much of our manufacturing capability and sent it to our future enemies. Our elected politicians have joined the opposition in an economic war against American citizens.
And furthermore, business owners get tax credits for hiring foreigners here on work visas, but none for hiring Americans. That's just a damn crime.
Reads like one of those "buy gold" commercials.
The Chinese yuan might be a threat though. That is if you trust China. It's undervalued significantly and there is pressure to float it on the market.
Invade Mexico take their oil and use our HEAVILY ARMED Military to secure our borders! All of our borders, north, south, east and west.
LOL, and he has lost about that same amount this year betting against the dollar....
But we aren't in economic decline. In fact, we just led the entire world out of a recession.
I can't tell from this article whether the writer is proposing that this would just happen, or whether he's proposing that it would be an intentional effort by some foreign nation to nuke the US economy. If he's proposing the latter, then I think that's a pretty dumb idea. First, I don't think it will work. Second, it would probably take down the guy who tried it.
Suppose, for example, that China decided to dump a trillion dollars on the foreign exchange (which is purely fictional since they don't even have that many dollars). Well, that would probably cause the dollar to decline. On the other hand, they would not get much for those dollars, and they'd end up taking a bath, while we and others bought those dollars cheaply. In effect, it would be a transfer of wealth by the Chinese to the rest of the world.
No, no, no! There is no other god but Free Market, and Adam Smith is his prophet ! Bazaar Akbar!
bump for later
Someone will have something to lose if the dollar crashes. Someone will have something to gain. That said, which someone is more powerful says who will win.
Thats it... I'm converting all my dollars to beer.
Do all that... and there would be untold prosperity for generations to come. Keep going the way we are going and those doomsday scenarios become certainties. Half measures are better than nothing, but are only stop gap at best.
Growth diverges across EU economies (Euro Zone)
The Business Online ^ | August 28, 2005 | Allister Heath
THE performance of the euro zone's 15 economies is continuing to diverge, fuelling fresh fears for the future of the single currency, a top French bank will warn this week.
There are still no signs of the convergence in economic growth long forecast by advocates of the single currency, according to a report by Societe Generale's Paris economists. Instead, the growth differentials among euro-zone members continue to widen, putting intense pressure on the European Central Bank's one-size-fits-all interest rates.
Since 2001, the gap in private consumption between member countries has surged to almost 15% between the best and worst performers, according to Societe Generale. Greece and Spain have had robust private consumption, whereas Germany and the Netherlands have seen consumer spending stagnate during the past four years.
Only five euro-zone members will have run out of spare capacity this year, led by Greece, Finland, Spain, Belgium and Ireland. The others are all underperforming and still have unused resources such as labour and capital.
The five best performing countries are at increasing risk of overheating, the bank said, because interest rates are below the appropriate level for these economies.
Veronique Riches-Flores, economist at Societe Generale, said: "This situation raises obvious concerns over the potential impact of such discrepancies on economic developments. The exceptional spread in output gaps between the different euro-zone partners is not sustainable without creating, at some point, some inevitable distortions."
Growth in the euro zone should be confirmed at 0.3% quarter-on-quarter and 1.2% year-on-year for the second quarter, down from 0.5% and 1.4% in the first, and back to its lowest since end-2003.