it's a scam, just another scam. everyone wants to be insulated from rising
commodity prices when the dollars declines, but it can't happen because the
world is far too interconnected now. allow the us dollar to sink without
say, changing oil prices denominated in sdrs and you will see a huge
recession in the us that will clobber manufacturing, and both events will
trigger a collapse in the price of commodities.

the chinese government is trying to make its own citizens wealthier using
the us and europe to drive the chinese economy. having discovered that they
made a devil's bargain with the us when they took on so much us debt and
pegged their currency to the us dollar, the chinese leadership have decided,
in effect, to push for sdrs to isolate the us currency, ultimately
surrendering most of the monetary gains represented by the us debt they
hold. the shock of such an act ,would badly damage the us economy, leading
to another global collapse - unless rising demand in china, india, russia,
and brazil keeps the rest of the world at work. if that happened, the us
would end up like argentina, unable to purchase oil and other commodities on
the international market. the inability to meet the demand for oil would
force a radical shift in the way americans live. us military power would be
greatly reduced, and a rise in global piracy would follow, causing havoc
with the global economy.

in short, there is no easy way out of the current predicament in which we
find ourselves. the human race has become a super-organism straddling the
globe like a vast ant colony, everyone connected to everyone else by the
modern world. we have to figure out how to survive together as a species or
we are all screwed.


On Mon, Feb 14, 2011 at 6:56 AM, Vivec <[email protected]> wrote:

>
> Sounds awesome for the rest of the world.
>
>


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