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Nothing Lasts Forever; World Bank Ex-Chief Economist Calls For End To Dollar As Reserve Currency
In the past we have discussed at length the inevitable demise of the USD as the world's reserve currency noting that nothing lasts forever. However, when former World Bank chief economist Justin Yifu Lin warns that "the dominance of the greenback is the root cause of global financial and economic crises," we suspect the world will begin to listen (especially the Chinese. Lin, now - notably - an adviser to the Chinese government, concludes that internationalizing the Chinese currency is not the answer (preferring a basket approach) but ominously concludes, "the solution to this is to replace the national currency with a global currency," as it will create more stable global financial system.
The infamous chart that shows nothing lasts forever...
Nothing lasts forever... (especially in light of China's earlier comments [21])
Via China Daily,
The World Bank's former chief economist wants to replace the US dollar with a single global super-currency, saying it will create a more stable global financial system.
"The dominance of the greenback is the root cause of global financial and economic crises," Justin Yifu Lin told Bruegel, a Brussels-based policy-research think tank. "The solution to this is to replace the national currency with a global currency."
Lin, now a professor at Peking University and a leading adviser to the Chinese government, said expanding the basket of major reserve currencies — the dollar, the euro, the Japanese yen and pound sterling — will not address the consequences of a financial crisis. Internationalizing the Chinese currency is not the answer, either, he said.
...
"China can only play a supporting role in realizing the plans," Lin said. "The urgent thing is for the US and Europe to endorse these plans. And I think the G20 is an ideal platform to discuss the ideas," he said, referring to the group of finance ministers and central bank governors from 20 major economies.
The concept of a global "super currency" tied to a basket of currencies has been periodically discussed by world leaders as well as endorsed by 2001 Nobel Memorial Prize-winner Joseph Stiglitz. A super currency could also be tied to a single currency, but the interconnectedness of world financial markets and concerns about the volatility that can occur as a result of the system being tied to one currency have made this idea less popular.
...
Arguments in favor of a global currency resurfaced during October's US budget impasse, which forced the government to shut down (as we noted here).
"It is perhaps a good time for the befuddled world to start considering building a de-Americanized world," a Xinhua News Agency commentary said on Oct 14. The piece argued that creating a new international reserve currency to replace reliance on the greenback, would prevent government gridlock in Washington from affecting the rest of the world.
In March 2009, China's central bank governor, Zhou Xiaochuan, called for the creation of a new "super-sovereign reserve currency" to replace the dollar. In a paper published on the People's Bank of China's website, Zhou said an international reserve currency "disconnected from individual nations" and "able to remain stable in the long run" would benefit the global financial system more than current reliance on the dollar.
Of course, as we are seeing now, it's not just the Chinese that are concerned...
On that note, David Bloom, global head of FX research at HSBC, said US monetary policy change "will bring fluctuations for emerging countries' currencies and lead to financial instability".
Chen Wenling, chief economist at the China Center for International Economic Exchanges, a government think-tank, said, "A supranational currency may be a new direction for development of the global financial system. It also requires different countries to cooperate in coordinating macroeconomic policies."
Bloom and Chen both said China needs to play a more important role in global financial governance. But Bloom said it is difficult for international financial organizations to reach a consistent conclusion on how to improve the foreign exchange system.
He said the renminbi is predicted to be stronger this year, even against an appreciating US dollar, and internationalization of China's currency will accelerate when the government decides to further open the capital market.
Of course implementation will be painful...
Pierre Defraigne, executive director of the Madariaga College of Europe Foundation in Brussels, said of Lin's infrastructure proposal, "It is excellent, but the problem is how to implement these plans to link those countries that need such infrastructural construction and those with enough foreign reserves, by using an effective global mechanism."
As we noted previously, the muddle-through is over and there is no painless solution left...
Michal Krol, a researcher at the Brussels-based European Center for International Political Economy, said ...
"I don't think that the largest economies and their currencies are at this moment ready for the introduction of a supranational currency," Krol said. "Neither the EU nor China have financial markets and monetary systems yet that are sound, solid, predictable and well functioning to be the cornerstone for a global system. But, indeed, it is time to formulate the fundamentals for global monetary governance."
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NWO coming at us all !!!
:(
"I looked, and there before me was a pale horse! Its rider was named Death, and Hades was following close behind him. They were given power over a fourth of the earth to kill by sword, famine and plague, and by the wild beasts of the ear" - Revelation 6:8
The US losing reserve currency status is a hidden blessing.
Being the reserve currency has allowed both the people and the government to live beyond their means for a couple generations, and with that societal decay.
Forcing the country to produce again and the government to scale back (which it would have to no matter how hard they push taxes) is not a bad thing.
Seriously.
This is true. We simply cannot press each other's pants forever
They say 49% of the population get some sort of govt money. Include corporate handouts and us stand alone working stiffs just can't carry the load.
I'd rather play golf.
I'd rather play golf, too.
Especially when it's either the IMF or Das New Worldie Order Bankie suggesting anything.
These are the guys, remember, who've never ever been right about anything.
Maybe oughta hire Paul Krugman?
fonestar doesn't care what these economedians call for. The point is that the markets get to choose what is the world's currency and not the IMF or World Bank.
Markets are Rigged, No?
Here we go...
The International Usurers' Ultimate Wet Dream... a Global Currency - in which THEY are in charge. Brace yourselves everyone... and FIGHT this one to the death. If they succeed, we and all of our progeny are doomed to eternal slavery.
The good news is rounds have gotten a lot cheaper. Hey, we all need to be optimistic.
USD won't go away without a fight.
We all agree that USD are fit to wipe one's ass with, but how is any other fiat currency a better candidate for reserve status? If you have 2 leaky tires, what difference does it make if you use one over the other?
"but how is any other fiat currency a better candidate for reserve status?"
No other fiat needed. Just BITCOIN!
These bankster bastards are going to convince the sheeple that their international fiat currency is going to be better and safer than that of any individual country, or even group of coutries. Of course it will become the biggest ponzi scam the world has ever had, and that's saying something after what we've already got. Enslavement for all! Come on NSA agents that read all these posts... haven't we been able to convince any of you who the real enemy to society really is?! You've got friends, family, kids that are all going to be robbed blind by these thieves in the years to come! Where is your conscience?!
Conscience? Sociopaths have no conscience. Haven't you learned this yet?
We already have a new world reserve currency. For now, it's called Bitcoin. It may go by a different name in the future, Litecoin, Namecoin, ANYcoin but the USDcoin. Most likely, there will be hundreds or thousdands of coins and tokens with different values determined by the market and seemlessly transferable on market exchanges.
Decentralized crypto currencies are the world's savior from the propoganda of a centralized new world order and Biblical Revalations - both false fear based prophecies designed to stifle our courage and squelch our hope. Fear not, the people have already won.
USD is going TKO from Satoshi.
I would have thought that people gotten used to slavery by now to the money masters. As long as slaves believe that the impressive paper they print is money, we are doomed - period.
"in which THEY are in charge"
and just so happen to be immune from them pesky national laws.
This Justin Yifu Lin has obviously been wined and dined by the Rockefellers and is a good little internationalist pawn
The only undisputed world currency has always been gold. Everything else has proven to be capable of being counterfeited, diluted or manipulated into extinction. In order to establish a unilateral world fiat currency all precious metals and minerals would have to be confiscated and controlled. Conversely, for a true commodity-based world currency to succeed, I think we all know the trading of paper derivatives and naked shorting would have to cease and also what Bill Shakespeare recommended.
I hope you wont say we make Bitcoins the reserve currency fone?
Of course we should make Bitcoin the world's reserve currency! fonestar will be rich as shit, and I guess it will be good for humanity and freedom and stuff too....
Bitcoin:Rai of Yap
Bitcoin is backed by 82 other crypto curencies, i think i got that right.
On a side note does anyone have any guidance on dual citizenship? This MyRAss' shit is too much. I have herd Singapore, but i am too poor to live there. Could probably buy farm land in argentina and milk goats because i would consume all the product of i grew agave....
just pick yourself a country and go wife shopping, learn the ropes and blend in like a local
there is a piece of land in Argentina, 698000 ha for 13 million usd. Let me know if you are interested. Should be enough agave for half the continent
Sinapore is a centrally planned and controlled dictorship ? They may have low taxes but it is by decree to attract the big money. Everyone lives in tiny little dog-boxes and you get jail time for dropping your gum on the road and death for smoking a scoob ... Fuck that.
I was looking at a beach front shack in Chile for $100,000 US yesterday .... place looks a bit third world though and every window had steel bars - not a good sign. Thailand looks lush, cheap and has plenty of good looking women - you can have more than 1 wife there too I think ?
Suggestions ??
More than one wife??? Yikes. Think past your Chaney for a minute, bro.
FWIW I have a friend who has spent a huge amount of time checking out such locations including many personal visits. His choice? Uruguay.
I suggest one wife may be one too many. Think of the nagging & splitting income & now add more. Pass. Thailand I'm sure will be fine but a harem of girlfriends, not wives, would be fine.
Bitcoin will be good for contract lawyers too. I'm checking into being a lawyer. We have no use for them on q99x2 but I can see an opportunity when it shows itself.
and STUFF? Are you fonestar or Raymond K. Hessel?
FDR and Nixon were real proponents of "democracy" in restructuring the global currency markets the last two times around, and the US is so much less fascist now then it was in 1944 or 1971. /sarc
It is actually precisely the IMF and BIS that will decide the next evolution the global fiat ponzi game, which is why there has been such a fight over quotas, allocations and bylaws going on the last few years.
Things like Bitcoin actually may spell the death knell for the IMF and BIS over the long term. You really don't need them when you have a global currency aka crypto-currency everyone is willing to use to facilitate commerce with between themselves. The ledger aka blockchain keeps track of all the transactions and the counterparties will know which wallets belong to each anyways so they have a record for legal issues of nonpayment, etc. on that is not easily cheatable. The settling of debts and deliveries portions doesn't change one bit. The global crypto-currency just fills the void as the middle man.
The ledger isn't needed - a proper currency should have no ledger for all transactions. It's also exposing what should be secret AND growing exponentially.
That's a negative, a real problem, not a benefit.
I could much more easily use GPG to sign for trades & verify attendance for physical meetings is of trusted parties so business happens in person.
Digital transactions are over-rated: it's the wrong way to do business. The SERVICE you pay for or the GOODS you pay for have to travel TO YOU or YOU TO THEM so there's no reason to make the money move so fast it can vanish before goods are delivered. The lack of security is appaling with bitcoin.
"The global crypto-currency just fills the void as the middle man"
That void should be CLOSED, not filled. Total concept inversion.
What, didn't call for the S D R - Satoshi Digital Reserve?
I'm shawked.
CANDYMAN CANDYMAN CANDYMAN
"Lin, now - notably - an adviser to the Chinese government..."
Riiiight. No bias in this call since it's not like China's not trying to prevent a literal collapse of its own economy at present, which is probably in the worst shape of any EM, and since it has a shadow debt that is GARGANTUAN and a financialized, synthesized credit crisis due to fast spoiling and massive bank loans at the the same time its one trick pony of an export based manufacturing economy is under massive stress.
Nope. No bias, let alone outright political propaganda by Glorious & Esteemed Party Member Lin!
Ideas stand on their own two feet; if his argument is sound and it is supported by facts,
then it is not important whether or not he is biased.
So what's the rebuttal to my explicit claims that China's economy & currency is in far deeper trouble, for a far wider array of issues, than the economy of the current issuer of the world's reserve currency?
China is in very bad shape.
We have all seen the videos of empty cities, but where are all of the millions of workers that built them, what are they doing now?
How long will they do what "we" don't know their doing?
This video should be watched again.
http://www.wimp.com/ghostcities/
There is credible evidence and data supporting the fact that China has expanded its monetary base by an amount greater than the U.S. And the E.U. COMBINED (as weighed in USD) in the last 5 years -
- and that amount is most likely significantly understated as no one (except PBoC members) knows the actual/true amount of provincial bank loans that are in the pipeline, spoiling, forming a massive shadow monetary black hole of liability.
I won't even touch on the demographic crisis nor the cost-push wage and input crisis that is threatening the Chinese manufacturing sector.
Golf. What a waste of useful land.
Tell you what: level the Federal Reserve & use that land in the short-term for a golf course. THAT will be an improvement rather than ruining land that COULD have been used for food gardens.
"I'd rather play golf." - who wouldn't, but in order to actually do anything you need consumable calories (consumable energy). Maintaining such a course also requires many. As does maintiaining a decent standard of living for 7+ billion (and growing) people.
Therein lays the rub motherfuckers.
zaphod,
I doubt anyone is going to call it a blessing when the liquidation process starts. Billions of walking unfunded liabilities will have to go... the last place I would want to be is on a Continent with 4 billion other people... no thanks.
We already have a global currency..........its called gold. Just stop fucking with the price and let it find its true value.
Oh , be patient ... IT WILL
So the US will "produce again" like Portugal, Spain, Netherl, France, Gr Britain?
Produce anything?
The Children of the Self-Absorbed, New Age Sweet Love and Me Crowd?
Work?
Produce?
Who the fuck are these people kidding.
Having done business with people at Das Newe World Order Bank several times, I can tell you from down right first hand experience those fucking leeches Do Not Produce Anything Other Than Thousands of Pounds of Waste Paper, Breathe Air and Take Up Space Intended for Productive Folks of the Earth
They are wastes of the species.
"Forcing the country to produce again"? Forcing people to produce is what led to the collapse of the Soviet Union ie; "They pretend to pay us and we pretend to work". Never has worked, never will, especially not in the formerly free USA.
Losing reserve currency status and seeing only good is like agitating for revolution and seeing only glory.
The "social decay" you mention will not be swept away or improved upon by the fallout of a currency regime change. I think it will vastly worsen. People accustomed to eating but not accustomed to manual labor will steal and murder for food rather than learn to garden.
I'm gonna plant a garden and start raising rabbits, ducks, and chickens.
I really hope that "planting a garden" is not how you expect to raise rabbits, ducks and chickens. ;-)
Watch out for chicken-hawks. No, seriously, over on youtube 2 guys have reported losses from it. A low net that easily permits light in but keeps the hawks out will save your chickens so they can freely get in & out of their coops.
http://www.youtube.com/bullorbearreport (Karl)
http://www.youtube.com/silverfuturist (Joe)
They already do. The incidence of people coming into my fields or arbors to steal fruits and vegatables mirrors the Fed balance sheet. Two have been shot because they threatened personnel on site. It will only get worse.
Let me know if you need any more ammo for that?
But one or two stockpiles of poisoned food will teach raiders a sharp lesson.
Doesn't matter who they fight to get there, once they get sick & some die they will all know it's far, far worse to die of poisoned stolen food than to just die of starvation.
I don't "know" anything but have a funny feeling that here and now things are reversing themselves. Stocks going down. Dollar down. money rotating into PM's. Gold miners hitting 3 month highs today is the tell (up 20% from late Dec lows against a falling equity market)...get ready for the next chapter.
Gold nudged up against it's breakout downtrend line @ $1270...COMEX needing much higher price to entice holders to offer metal up for February delivery. Equities breaking down with record leverage ready to unwind...
COMEX needing much higher price to entice holders to offer metal up for February delivery - That only works in every other market, but in the gold world, higher demand and lower supply leads to LOWER prices - at least this is what I've been reading on Bloomberg, Market Watch, etc.... So if they want to entice sellers out of the woodwork to meet Feb delivery requirements they really should be working the price lower, I guess by short selling to these buyers who keep buying more as the price goes down... well, it's all very confusing, but the guys writing the articles (and the 'fund managers' providing the fodder) all speak with great authority and confidence, so I have to assume they know what they're talking about.
Yeah, no PHD here...but I do notice gold is sitting above it's 100 dma and w/in $30 of it's 200 dma. Just a little rotation and suddenly gold is "technically" supported and every algo will buy buy buy...and gold, paper and otherwise would fly
Also, anytime something in short supply and in demand is selling below it's replacement cost...that is a green light
which DMA is that, the exponential or the linear weighted average? Do you even know the difference? What honestly do you think they matter? I say they do not. The ounces in paper & the GOFO rates matter more than any silly moving averages.
The amount of cash that would come rushing back to the good ole USA would make Niagara Falls look like a cool mountain stream.
This is just an repackaging of the current system with the same bastards in charge. Nothing changes until they are in prison or dead.
Meet the new boss, same as the old boss. Literally.
The change over is already a done deal. Almost as exactally as described above by the ex World Banker Lin www.WOCU.com
There be no shelter here, the front line is everywhere
AD
And though I walk through the valley of the shadow of death I will fear no evil, for thou art with me.
Yea, though I walk through the valley of the shadow of death, I will fear no evil, for I am the baddest motherfucker in the goddamn valley.
Not without Him, Yea.
religion is delusion
Spirit is not.
There is always One More Badder Mother fucker in the Valley
Conspiracy Theory ----> Conspiracy Fact.
I hate it when that happens.
there's an app for that. bitcoin.
" There's an app for that. " is so yesterday
So iOS3.
"The dominance of the greenback is the root cause of global financial and economic crises," Justin Yifu Lin told Bruegel, a Brussels-based policy-research think tank. "The solution to this is to replace the national currency with a global currency."
Well, one problem with that, is there is no replacement mechanic and there is no backup system.
So, after the attempt to replace USD as the reserve currency, if that is what he is proposing, well then get the party started by starting the liquidation of the walking unfunded liabilities.... my guess 100s of millions of chinese are going to have to go.... 1 billion of them is not out of the question.
I'm certain the World Bank or IMF can cook something up. Just give them some time.
Honestly there is nothing out there right now that can replace the dollar. Not in volume especially.
Perhaps if someone backed their currency with that old-fashioned metal gold?
so Long on ten thousand rounds and a .30?
It'll never happen. Just look what the common currency did to Europe. This guy is fucking dreaming if he thinks the US and the ChiComs are gonna cooperate on a "global" currency.
" "I looked, and there before me was a pale horse! Its rider was named Death, and Hades was following close behind him. They were given power over a fourth of the earth to kill by sword, famine and plague, and by the wild beasts of the ear" - Revelation 6:8 "
While you're quoting scripture lordbyroniv let me throw in this one in honor of the story on Zerohedge about the ex-World Bank economist calling for a global currency to replace the dollar as the world reserve......
Revelation 13:17
"And no one could buy or sell anything without that mark, which was either the name of the beast or the number representing his name."
RIP FRN: We hardly knew ya.
YES !! ...world needs a yuan reserve currency !! .....backed by the full faith and credit of the Commie PBOC !! LOL
Right because they won't print. Please, the Chinese will go from current account surplus to deficit so fast your head will pop off. They like things just the way they are.
And further, if we get to this utopian one-world-currency it will, of course, be immune to manipulation and over-printing because it's going to be overseen by who, exactly? Oh yeah, the benificent space aliens that are not interested in our worldly posessions and will manage it only in the best interests of all on the planet.
The best argument against ANY sort of 'one-world-currency' is the Euro. Who pays the debts of profligate monetary governors?
We will all Race TO THE BOTTOM in a race exactly proportional to the amount each Fiat has added to the creation of the super basket of Fiat.....
SDR here we come!!!
my thoughts exactly. if we are correct, this could explain why China has been accumulating so much gold ==> to add to the IMF booty in return for a greater allocation of SDR's. it currently takes 85% of votes to pass a resolution in IMF, and with 16.75%, the US is the only nation with veto power.
if China challenges the US to match their donation ounce for ounce to keep that allocation above 15%, the balance of power could change very quickly.
and then it will be time to gang up on the bully.
You speak as if all banks are dishonest instead of just the ones right in front of us.
You can see how I'm obviously skeptical.
Who will eat our inflation then?
This imply will not do. Can we get our manufacturing base back please?
Sure, but machines will do it.
If Yellin' could do it all that would be reasonable.
Then make & own the machines. That's progress.
exactly. without worldwide demand for dollars, all that inflation stays here, rather than getting exported to the rest of the world. take that away, we have big problems
No, all your manufacturing base are belong to us, they are the mattering things.
You no eat here no moar, fatta boy.
Nothing surprising - Revelations called it 2000 years ago. Never thought I would live in the end times but whatever.
Anyone who refers to the last book of the Bible as "RevelationS" has pretty showed their lack of biblical textual credibility.
I strongly recommend reading the Book of Revelation (no 's') as it was meant to be read - written to real people in real churches (7 of them!) in a real place (Asia Minor) in the 1st century A.D. in apocalyptic language that they would understand.
Sure, it can have practical applications for other generations, including ours, but it was not "calling" what is happening in the world this afternoon.
Sorry for my mistake oh great one. I'm sure Jesus will punish my crime of putting a typo in Revelation. I'm so sorry. Please may God have mercy on my soul!
Don't bother apologizing to me. I've written on, spoken on and debated this book for awhile. The misspelliing of the title is practically synonomous with a skewed and erroneous view of the contents.
And I doubt it was a typo. Most people who hold your views of the book also use the plural form.
I've read through the bible many times....it was a simple typo and I do belive that if we go to a global currencey, then we will be living in the end times.
You say it was a simple typo. I accept that.
You say global currency = 'end times'. That may or may not be the case.
While global currency may have serious spiritual and economic concerns, it does not necessarily have prophetic implications.
I was on Patmos a couple of weeks ago. It did not look like end times there.
"Anyone who refers to the last book of the Bible as "RevelationS" has pretty showed their lack of biblical textual credibility."
Amillennial / premillennial I am glad to see interest in the Bible. Critics should check for syntactical textual credibility.
Historicist / preterist / partial-preterist / futurist views also are important in understanding the meaning and intent of the author.
And every generation since that incoherent book was written has thought it applied to them and their times.Many have used it to mean they can be utter assholes to everyone else on the planet too.
My biggest concern about the US collapse is a rabid return to power of religion's proud ignorance, fully supported by the masses of half-literate asses who buy that crap. If that happens you can bet they won't present their god as a loving entity like the one they try to use today in attempts to get more people into their swindle.. No, their god will once again become the war god they have always loved and of course that god will hate the same people they hate and demand a cleansing. My hope is those religious folks will cleanse themselves right up to heaven ASAP and leave everyone else alone, but that's never happened in history as they don't have enough real faith in their gawd to do that.
It is only incoherent when people try to wrestle it into conforming with their particular situation or presuppositional world-view.
When one understands it was written to a specific group of persecuted Christians living in the Roman empire in the 1st century A.D. by an apostle with an INTENT TO BOTH WARN AND COMFORT THEM, then it loses its incoherency.
It takes a great leap of incoherence to think that the writer - John - would write to friends in his day who were suffering and facing severe persecution, with something that was going to happen +/- 2,000 years later!
Taken in its context, it makes sense. Forced into wrong interpretive systems, it is indeed ... incoherent.
Good point. Thanks for trying to explain it to the true believers above, but they'll never buy the actual historical truth. Why should they when they can use their holy book to justify anything they want it to?
Christianity. It started off as a religion for slaves and illiterates 2000 years ago and remains so to this day.
No, it's only "not" incoherent when you deny pretty much all evidence of all events in history & science. THEN you can pretend the bible is ok.
That's why almost everyone who is an ardent supporter of the bible is pretty much stupid on EVERYTHING else from literacy to arithmetic to world-events.
The Gods of the Copybook Headings
AS I PASS through my incarnations in every age and race,
I make my proper prostrations to the Gods of the Market Place.
Peering through reverent fingers I watch them flourish and fall,
And the Gods of the Copybook Headings, I notice, outlast them all.
We were living in trees when they met us. They showed us each in turn
That Water would certainly wet us, as Fire would certainly burn:
But we found them lacking in Uplift, Vision and Breadth of Mind,
So we left them to teach the Gorillas while we followed the March of Mankind.
We moved as the Spirit listed. They never altered their pace,
Being neither cloud nor wind-borne like the Gods of the Market Place,
But they always caught up with our progress, and presently word would come
That a tribe had been wiped off its icefield, or the lights had gone out in Rome.
With the Hopes that our World is built on they were utterly out of touch,
They denied that the Moon was Stilton; they denied she was even Dutch;
They denied that Wishes were Horses; they denied that a Pig had Wings;
So we worshipped the Gods of the Market Who promised these beautiful things.
When the Cambrian measures were forming, They promised perpetual peace.
They swore, if we gave them our weapons, that the wars of the tribes would cease.
But when we disarmed They sold us and delivered us bound to our foe,
And the Gods of the Copybook Headings said: "Stick to the Devil you know."
On the first Feminian Sandstones we were promised the Fuller Life
(Which started by loving our neighbour and ended by loving his wife)
Till our women had no more children and the men lost reason and faith,
And the Gods of the Copybook Headings said: "The Wages of Sin is Death."
In the Carboniferous Epoch we were promised abundance for all,
By robbing selected Peter to pay for collective Paul;
But, though we had plenty of money, there was nothing our money could buy,
And the Gods of the Copybook Headings said: "If you don't work you die."
Then the Gods of the Market tumbled, and their smooth-tongued wizards withdrew
And the hearts of the meanest were humbled and began to believe it was true
That All is not Gold that Glitters, and Two and Two make Four
And the Gods of the Copybook Headings limped up to explain it once more.
As it will be in the future, it was at the birth of Man
There are only four things certain since Social Progress began.
That the Dog returns to his Vomit and the Sow returns to her Mire,
And the burnt Fool's bandaged finger goes wabbling back to the Fire;
And that after this is accomplished, and the brave new world begins
When all men are paid for existing and no man must pay for his sins,
As surely as Water will wet us, as surely as Fire will burn,
The Gods of the Copybook Headings with terror and slaughter return!
2 Cor 4:
1Therefore, since we have this ministry, as we received mercy, we do not lose heart, 2but we have renounced the things hidden because of shame, not walking in craftiness or adulterating the word of God, but by the manifestation of truth commending ourselves to every man’s conscience in the sight of God. 3And even if our gospel is veiled, it is veiled to those who are perishing, 4in whose case the god of this world has blinded the minds of the unbelieving so that they might not see the light of the gospel of the glory of Christ, who is the image of God. 5For we do not preach ourselves but Christ Jesus as Lord, and ourselves as your bond-servants for Jesus’ sake. 6For God, who said, “Light shall shine out of darkness,” is the One who has shone in our hearts to give the Light of the knowledge of the glory of God in the face of Christ.
Bible never predicted anything, not today either.
This isn't "end times" it's just empire collapse like with Rome.
I suggest returning to a global gold currency.
You can go to any standard you want... nothing is going to stop the liquidation process train once it starts. Good luck and all.
^^^This. 2001 and the end of Glass Steagall was the big tell. the time to worry more about the return of capital and not any return on capital was 2008/2009. Luck will have nothing to do with what happens next.
"the dominance of the greenback is the root cause of global financial and economic crises"
Because surely there were no financial panics or bubbles before America. None.
If only the dollar wasn't the reserve currency there would be no financial problems ever again. None.
Really?
Is that true?
Say, let's ask that Messiah guy with the scars on his head what he thinks about this New World Order currency stuff....
Its interesting that John can come in so many ways, Sean, Shawn, Juan, Jon, Ian, Ioan, Ivan, Ewan, Jean, Giovanni....or Yuan ?
Heeeers Yuanny ! (sorry Ed and Johnny, someone had to say it)
The real problem is having the reserve currency on a fiat system rather than gold standard.
With America still having significant energy resources and providing much of the world's Agricultural product, I am left to wonder if China will be exchanging gold fo my soybeans in the future. Sounds good to me.
I also saw this;
http://beforeitsnews.com/alternative/2014/01/china-to-purchase-the-feder...
One has to wonder where oh where would all those outstanding dollars go to? The plan above sounds like America will be "ringfenced". I seem to remember a simlar plan indebted countries before WWI. Interesting times indeed.
Please help an aging PhD understand.
How does China's explosive debt, far more than the US and EU, fit into this scenario?
China has been dumping US debt, and it is now about 1/3rd of what it ws just a few years back.
It is hard to conteplate letting China have thi much control, partcularly givn the anmosities of it's neighbors. Militay assets?
Like pr WW1 or 2, it's hard to see this getting sorted out or reset without bloodshed.
In many ways, China is more akin to germany pre WWI. No one in the world has been honest about their eCONomic and monetary realities, but some animals are indeed "more equal" than others. The time to negotiate some set of world standards in accounting or currencies was in 1971. Now there is no way it won't get bloody.
Well, people could be gassed, or irradiated, or biologically infected, or poisoned - all without bloodshed, per se.
Melamine
@BG
As an aging PhD the first thing that you need to do is learn to use that so-called brain of yours.
"China has been dumping US debt, and it is now about 1/3rd of what it ws just a few years back." Well, BG, the truth is that Chinese holdings of US Tsy bonds as of November 2013 were $1316.7 trn. That's a new record high.
Source
always get a giggle out of the categories Carib Bnkng Ctrs & Oil Exporters
If you believe that figure , I have some long term UST's you might
like to buy for your IRA.
China has nothing but short term bills.Western banks are the bagholders
holding those mythical Chinese holdings as colateral.
That bird has long flown the coup.
yes, we wouldn't be reading this article if China was still stuck on the long end of the curve.
China's already setting up shop in South America to cover that angle.
Yifu? seriously? not Yippee or Yahoo. Yifu. LOL
http://en.wikipedia.org/wiki/Yippee,_Yappee_and_Yahooey
Yeah, no fucking shit, Global SDR coming soon bitchezzz, and guess what, it's gonna be even worse than the shit we have now
This is just Chinese propaganda.
The Chinese or anyone else in the world is free to use whatever currency or basket of currencies or commodities they wish for their reserves. The United States does not force anyone to buy US bonds or to price their goods in US dollars.
This is really an attempt by the Chinese to force the United States to abandon monetary sovereignty. Not going to happen.
Really? Have you heard of the Petro Dollar?
have you? did you know it can also refer to Canadian dollars?
No, it can not. Canadian dollars in truth are mostly backed in the entral bank by US dollars & nothing else. Canadian oil is NOT produced or exported or used at market prices. It's charged far over domestically & far UNDER for export as total subserviance to the American military devils.
+1, Absalon nails it, we're done here folks
The FRN has been used to rape developing countries for decades now. Not saying that this benefits all americans, but, as you can see by looking at the world around you, the overlords love it. and once the FRN is worn out, they move on to set up another scam.
Yeah, I don't know. The dollar is backed by American military hardware. When (if) the soldiers come home, the empire is done and then China (et al) can choose their currency.
Are you daffy? When Libya & Iraq tried it everyone was executed except those who ran fastest or took up with Al Qaeda as funded by the CIA.
Now if only the WB and China would stop hoarding our debt/dollars we could replace this system!
the use of any debt based fiat currency that one party can print any ammount of is the 'root cause of all global financial and ecnomic problems'
a global currency.. oh you mean gold?
no, we mean energy... a BTU would serve just as well
Peak oil implies severe deflation dead ahead
Bullshit. The demand for energy will not decrease with a population of 7+ billion and growing.
Its not the demand for BTUs but the inability to provide them.
Yes, which makes them priceless. Not very "deflationary."
Print MOAR so we can buy MOAR OIL!
'Cause that's never blown up in anybody's face in the past.
Same thing. Is it the water in the glass or the empty space above the water that matters?
Peak oil means extremely high prices on everything unless you find a way to make by hand & barter.
Deflation would actually require a massive drop in oil price. For decades.
Personal BTU storage & trading as currency for food items, rent, etc., appears not to work very well. Chemistry & physics has something to do with that, density of purchasing power, instability of chemicals, shelf-life, entropy.
im all for a global currency.
gold and silver.