Visualizing 193 Years Of Currency Regimes & Crises

Tyler Durden's picture

With aggressive monetary easing policies now being pursued in almost every major Developed Market economy, the world has clearly been pushed into a "currency war" and while this term was 'coined' by Brazil's Guido Mantega in 2010, the last 200 years or so are rife with different exchange rate regimes, all of which ended in currency crises shaping the next regime. The following chart shows these crises and regimes and given the current 'non-cooperative way forward', global preferences for a weaker currency will do nothing but generate more instability in FX markets as the fight against deflation flares everywhere.



Chart: Goldman Sachs

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Ahmeexnal's picture

Global Holomodor 2013.

MrX's picture

another good visualization(albeit abstract) of economic Crisis:

Ag Tex's picture

Bitcoin:  The new greater fool currency.

dick cheneys ghost's picture

I dropped my bitcoin wallet in the toilet last nite.......Im Fucked

ghandi's picture

I lost my bitcoins in a boating accident.

SafelyGraze's picture

all this talk on zh about "bali-in" and "cyprus" .. 


if there was anything going on, it would have been reported by cnn already


SafelyGraze's picture

re: cyprus, cnn is *on* it

"Cypriot banks are back in business  [Updated 1 day ago] Banks have been closed for nearly two weeks following a financial crisis and fears of a run on the banks."

kaiserhoff's picture

Must pay right perty to do the Lloyd's work.

ihedgemyhedges's picture

You can forget all the past currency crises.  Now we just deploy aircraft carriers and/or drones and VOILA, crisis over....

James_Cole's picture

Thats how I think whenever I hear someone talking about how the US needs to take an axe to the military budget, if they were to do that the currency would plummet followed by the economy collapsing like the house of cards that it is. 

TraderTimm's picture

@Ag Tex

Preserving your post for posterity and comparison in the future. As of this date, March 30th, 2013:

1 BTC = $92.00 USD

1 USD = 0.01086956 BTC

I'm sure the market will have the final say.

Ag Tex's picture

Are we talking about Bitcoin I, II, III, IV, V.......MMMDCCCXCVIII?  These are algorithms that can be hacked and stolen.  Why are 25% of Bitcoins owned by a single individual and who is this individual?


This is created out of thin air.  Sound familiar?  Again, the greater fool theory. 

TraderTimm's picture

Oh my, hyperlinked and everything. How elaborate.

I'd say bitcoin on its current version including upgrades. I think it will beat any sovereign currency you can throw at it. I put the line in the sand, all we have to do is watch, eh?

Yen Cross's picture

     The idiotic central banksters keep talking about deflation, while the prices for food and fuel sprial out of control. Corporate balance sheets are cash rich because CAPEX isn't practical in a world that is showing lack of demand [deflation]. We are being 'force fed' inflation by central banksters trying to save their asses.

Ahmeexnal's picture

In time, they  -and their masters- will have to face the spades!

ghandi's picture

I love it how Goldman Sachs does not mention itself.


I wonder:

How many of those crises listed above were aided/engineered by Goldman Sachs?

McMolotov's picture

Watch your mouth, blasphemer! These people do God's work.

akak's picture

Indeed they do --- if the god under discussion is Baal.

graspAU's picture

“So, it’s business as usual...getting richer than God? An impish grin spreads across Blankfein’s face. Call him a fat cat who mocks the public. Call him wicked. Call him what you will. He is, he says, just a banker “doing God’s work”
-London Times interview, November 8th, 2009, with Lloyd Blankfein (Chairman and CEO of Goldman Sachs since 2006

“Banks do not have an obligation to promote the public good."
- Alexander Dibelius, the head of Goldman Sachs in Germany, Austria, Russia, Central and Eastern Europe – January 14th, 2010

“A deposit insurance system is like a nuclear power plant. If you build it without safety precautions, you know it’s going to blow you off the face of the earth. And even if you do, you can’t be sure it won’t.”
—L. William Seidman, Chairman, FDIC


RhoneGSM's picture

Different departments, Chinese Walls. It's all on the up & up when you are doing God's work.

kchrisc's picture

Only one problem with this chart: it is incomplete.

It does not show the end or last step--guillotines. We don't know what will happen between the end of this chart and the guillotines, but it does end with guillotines.                       hujel

Yen Cross's picture

         Who's the 'rocket scientist' that coined the phrase 'bail in'?  I need to see that  'Fruit Loop ®'  in living color.

bozzy's picture

HAH! Even the squid occasionally speaks the truthy - lookly here - the most recent on the chart talks of the US initiating "COMPETITIVE easing"

Yen Cross's picture

   You might enjoy this file Tyler. I'm currently sifting through it. (Factors Affecting Reserve Balances 3-28-2013)

Crash Overide's picture

Anyone know what the longest lasting fiat is/was? I am pretty sure they all eventually fail over time.

TPTB_r_TBTF's picture



Founded in 1694, the British pound Sterling is the oldest fiat currency in existence. Chris Mack


akak's picture

But it's only been a fiat currency since 1931, when Britain left the gold standard. 

Given that no (transient) fiat currency existing before the end of the world gold standards in the 1930s could long survive competition with the sound money which prevailed before the end of that era, there are no fiat currencies today which can date back to before the 1930s.

q99x2's picture

Nice diagram. The next one will show BitCoin.

akak's picture

Funny, nowhere on that chart do I see any evidence of a fiat currency which underwent an appreciation in value during any economic, fiscal and/or monetary crisis (usually accompanying a period of exponentially-rising governmental debt such as we are in the middle of today), as the deflationary flat-earthers keep insisting is imminent for our own currency during the present crisis/breakdown.  Oh, but "this time is different!"

pies_lancuchowy's picture

Fellow Europeans , how can I dodge the regime imposing 23% so-called 'VAT' theft on SILVER coins . Where do you buy VAT-free coins in EU? ESTONIA is the only country where VAT on silver is 0% , I have found one dealer operating from Estonia , but his prices are 10-15% above spot anyway , so I guess there are better choices. Can you help?

akak's picture

I am not in Europe, but I understand that the Channel Islands do not charge VAT on silver.

Svendblaaskaeg's picture

"Where do you buy VAT-free coins in EU? ESTONIA is the only country where VAT on silver is 0% , I have found one dealer operating from Estonia , but his prices are 10-15% above spot anyway , so I guess there are better choices. Can you help?"

Germany, 7% VAT, is your friend - highly recommended!


Quinvarius's picture

Every time there is a war, the bankers go off the gold standard and print up wealth for themselves.  Motive.

awakening's picture

I think they forgot about the grand-daddy of the lot, Zimbabwe (ie preview of what's to come for the US). =/