Weak currency is inflationary. Sooner or later, things cost more, people buy less, Real GDP drops, etc. The export argument doesn't bridge the shortfall in GDP from inflation. Its just spin to jawbone investors to play the Stock Market. Financial service companies are the benefactors. Its almost like a paid advertisement.
we do have a large deficit. both a budget and a US total debt. but Both measures are small when you look at other developed and undeveloped countries (including Europe). 2)cant really argue with this, but EVERYONE was bitching in AUG-FEB the fed was not cutting enough. I love the fact that no matter what they do everyone Monday morning quarterbacks the fed decisions 3)people will adjust, no more big SUV or house they cant afford. people adjust very quickly. 4)SS and medicare are underfunded, but nothing that cant be solved, by either raising taxes, lowering benefits, or emigration. You think we have a problem when entitlement programs, look at the age of Europe and japan. 5)We may be spending 600 billion. but we are also the 3rd largest producer of oil also, so while we consume much more then we make. many areas of the economy benefit. we hwere the best economy and country since world war 2- about 2003. i dont think that changes within 8 years. the problems we are dealing with that we cant solve everyone is dealing with
Last time i checked China would also have a weak currency and they have done pretty well over the past 20 years. japan may not have a good economy now, but has one cheap currency, and has had deflation for the past 10 years
The government is intentionally trying to kill it. I'm serious. There's no other way to interpret their actions.
devaluation and it's consequences.. you're being defrauded out of your future saving and standard of living death by a thousand cuts
While "other countries" have problems like ours, that doesn't mean we should be complacent. The $USD is weak because in spite of what's going on elsewhere, (1) the world perceives that the problems in the USA are WORSE than other places, and (2) there has been no progress on addressing our issues. It looks to foreigners like we're going to allow the USA to burn up in inflation and print-money... looks that way to me, too. (Not that I'm any body, but I don't want my government to destroy my wealth and leave a crushing debt and inflation to my kids and grandkids.)
Let's get down to the heart of the matter! I think the overriding question we should ask ourselves is the WHY of this situation. With the evidence squarely pointing to a far reaching collapse of the real estate market, auto sales, smaller brokerage firms and banks, etc. One has to wonder when time after time the FED and Gov't continue to spew what we know to be blatant lies. We need to peel the veneer off and clearly show what is REALLY happening behind this economic collapse. Many of you already know that the drop in real estate is at the steepest decline since the GD, yet the crooks pass this fact along as just a "minor correction" in real estate values. If you listen to them you'd think that twenty percent appreciation is soon to follow the summer break! The manufacturing(producer) base of this country is crucial to a sustainable society, yet it is eroding at a rapid pace with the beneficiaries being China and India. This situation will not cure itself whether a democrat or republican is voted into office, because both parties in my opinion are thoroughly corrupt in so many ways. To accuse them of lying, corruption, corporate thievery, and morale shortfalls is a total waste of time. But it still needs to be done. I'm not trying to turn this into a political tug of war with both sides claiming to be better than the other. In truth, they're on the same page. To put it bluntly; the political parties and the people of this country are all controlled by the Fed! You have to ask why the founding father's were so against the banks with regard to producing money at will and through the use of fractional reserve banking. A quote from Thomas Jefferson... "I believe that banking institutions are more dangerous to our liberties than standing armies . . . If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] . . . will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered . . . The issuing power should be taken from the banks and restored to the people, to whom it properly belongs." WOW! That says it all. We could go on with the many prophetic statements from great but not perfect men that are no longer with us. I think they might be turning in their graves over our current quagmire. Such high hopes were expected of this great land from them, but sadly i see all the potential disappearing from our hands like grains of sand in the wind. The underlying cause of this purposefully torturous credit crunch is the Federal Reserve. The monetary policies of the Fed did take advantage of the great depression, WWII, Vietnam to name a few if not being the root cause of them. When one thinks of the economic woes that have befallen us, we should closely tie the Fed's monetary policies with the true intentions and outcomes of their decisions. This amounts to a plan to gain control over the populace via chips that are implanted into the body and identification cards that we will soon be required to carry . If not, then forget about opening an account at a bank, access to federal buildings, state aid, and on and on. Until you eventually break and submit to their demands. This is only a brief example of the many ways in which the Fed will get their way. What really throws me off is that the Fed is a private entity. :eek: Compounding this is that they won't even allow an audit of the reserves that they supposedly have. The staggering amount of power that a "family" of huge banks has is unreal and until we break free of the bonds of debt and interest, then i fear we are doomed to repeat the empires of the past. We could begin with a system of interest free loans. The possibility is truly spectacular. As an example: http://en.wikipedia.org/wiki/JAK_members_bank Although different, this is another example of monetary reform: http://www.feasta.org/events/debtconf/sleepwalking2.htm#global The Federal Reserve http://www.youtube.com/watch?v=_dmPchuXIXQ Keep in mind that i only agree with the above video alone and not about the other things on there. I know that there is much more to this then i described, but in bringing this to light i hope that we can have a substantive discussion about the TRUE reasons behind this mess we are in. Note: I am just stating my opinion. Okay... let me step away from the pipe. Oneday
The forever printing press Fiat Fed, and horrible U.S. deficit spending are killing the dollar....everyone around the world sees our house of cards. http://www.dollarcollapse.com/faq/
which deficit do you speak? budget, current account, or government debt? becuase i think our budget, and government debt are low. who cares if we carry a 3% budget deficit, if we grow at 6%-7% a year OVER THE PAST10 Years on average? the our debt gets smaller vs our gdp.