Default by the US government is no longer unthinkable

Discussion in 'Economics' started by lrm21, Sep 22, 2008.

  1. lrm21

    lrm21

    http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/09/21/ccliam121.xml

    Here comes the next move. Dollar is going to collapse. Once the train leaves this station it will not be coming back.

     
  2. the US is a roughly 12 -14 trillion dollar economy off the top of my head. we dwarf all other economies. a few hundred billion here or there is chicken feed
     
  3. What scrip are you advocating using?

    Euro's? Turkish Lira? Panamanian Balboa? Mexican Peso? Indian Rupee? Renminbi?

    PAB is 1:1 exchanged to the dollar... So it will tank.

    What currency has the most liquidity and value independent of the dollar? Not many... if any...

    How about a relatively closed and protected currency like the Indian Rupee?

    Reality is although cash is king the world has gone plastic... Electronic currency is the next natural evolution. E-money that loads on your cell phone... exchanging like text messages...

    No wire fees... just a centralized clearing system...

    Back to the default issue: never gonna happen.
     
  4. dollar is rallying while this is posted. hehehe.
     
  5. kashirin

    kashirin

    against what??
    zimbabwe dollar?
     
  6. :p
     
  7. EURUSD is little changed from Fridays sprint... 1.4503

    USD will fare terribly into next year - December 2008 will be very interesting.
     
  8. EURUSD getting ready to sprint some more ... payback. :)
     
  9. joesan

    joesan

    I exchanged all USD in my account to some other currency pegged to USD immediately after I saw this post.


    Impossible is nothing.
     
  10. mind

    mind

    GDP is near USDtrn14, debt is near USDtrn 10.

    i have no idea what to think about the whole bailout.
    business as usual? crisis done? FED policy as good as
    ever, meaning will be continued with minor changes
    here and there?

    jim rogers predicted the current crisis and shorted the
    twins at around 70. he now predicts the FED is out of
    business within a decade or two. i find both tough: to
    believe this opinion and to dismiss it. but i learned in
    this business that the guys who make the unlikely
    calls and are right more often than they are not, are
    ... well, smart.

    i guess we will return to normal right now. in a few
    months this all is history. will it make a difference if
    the US have a percent or two more debt in relation
    to GDP? probably not. will the doomsday prophets
    finally be right, one day? you know when you are
    there. before you don't.
     
    #10     Sep 22, 2008