When Faith In U.S. Dollars And U.S. Debt Is Dead The Game Is Over Michael Snyder The Economic Collapse May 29, 2011 A day is coming when the rest of the world will decide that it no longer has faith in U.S. dollars or in U.S. debt. When that day arrives, the game will be over. Traditionally, two of the biggest things that the U.S. economy has had going for it were the U.S. dollar and U.S. Treasuries. The U.S. dollar has been the default reserve currency of the world for decades. All over the globe it was seen as a strong, stable currency that was desirable for international trade. U.S. government debt has long been considered the âsafest debtâ in the entire world. Whenever there was a major crisis, investors would flock to U.S. Treasuries because they were considered a rock. Sadly, all of this is now changing. Today the rest of the world is losing faith in the U.S. financial system. In fact, even the United Nations is now warning of the collapse of the dollar. But if the U.S. dollar and U.S. Treasuries collapse, that will be an absolute nightmare for the U.S. economy. If the rest of the world does not want our dollars someday, then what are we going to give them in exchange for all of the oil and all of the cheap imported goods they send us? If the rest of the world does not want our debt someday, then how in the world are we going to be able to continue to consume far, far more wealth than we produce? Article continues............ http://www.infowars.com/when-faith-in-u-s-dollars-and-u-s-debt-is-dead-the-game-is-over/
The problem isn't necessarily just people losing faith in dollars.... What if they lose faith in the economy itself? What do you think is happening around the world... people are losing faith in their governments, their fellow co-workers, and their future prospects. Replacing those negative prospects with another money system is unlikely to change those STRUCTURAL problems. What if you have a class of unproductive worker drones (redundant retail/service type jobs) and government workers who produce nothing... Moving to a gold standard isn't going to change their behavior at that point... It's the breaking point of labor you need to address, and the currency problem would be revealed as secondary to the main problem of addressing these structural issues. You could argue that the majority of monetary policies have been designed to circumvent the real structural problems in our economy, and we are living the consequences today. Read Franco Berardi and Charles Hugh Smith for more on that....