Argentina Tops List Of 20 Signs Of Global Economic Meltdown

[bigbadwolf]

Some argue gold has intrinsic value, others say it doesn't. In the end, it doesn't really matter. As long as it's an agreed upon form of money, that's all that matters; and it's been this way for 5000 years.

That's my thinking. Others may have a different opinion. Good for them. My thinking -- for what it's worth -- is that a US $100 bill is going to be worth as much as a 100-rouble note of the Soviet Union after it collapsed. What maintains the value of the dollar is the USA's ability -- backed by armed force -- to have it accepted as payment for real goods. Without this armed force the USA and its currency would have imploded because of inherent economic weaknesses a long time ago -- something familiar to Argentinians. With armed force, the USA has bought itself a bit of time -- which I suspect is running out. And which the rest of the world is cottoning on to. The various bilateral agreements which various countries are entering into are designed to circumvent the dollar and, incidentally, to avoid disruption when the USD stops being the reserve. I don't think there will be a "global economic collapse" -- my feeling is that like the cheshire cat, the USD will disappear as reserve, US economic power will vanish (what remains of it, that is), and the rest of the world will go on merrily without it. My two cents.

 

[sleazemerchant]

That's my thinking. Others may have a different opinion. Good for them. My thinking -- for what it's worth -- is that a US $100 bill is going to be worth as much as a 100-rouble note of the Soviet Union after it collapsed. What maintains the value of the dollar is the USA's ability -- backed by armed force -- to have it accepted as payment for real goods. Without this armed force the USA and its currency would have imploded because of inherent economic weaknesses a long time ago -- something familiar to Argentinians. With armed force, the USA has bought itself a bit of time -- which I suspect is running out. And which the rest of the world is cottoning on to. The various bilateral agreements which various countries are entering into are designed to circumvent the dollar and, incidentally, to avoid disruption when the USD stops being the reserve. I don't think there will be a "global economic collapse" -- my feeling is that like the cheshire cat, the USD will disappear as reserve, US economic power will vanish (what remains of it, that is), and the rest of the world will go on merrily without it. My two cents.

This is perhaps the most delusional economic prediction I have seen, ever. Currencies trade against each other and in and of themselves have no absolute value; the other major currencies are printed by governments that are at least as indebted as or worse than (as a percentage of GDP) the USA. Other than the fact that all major commodities are traded in USD (which could change, but won't as long as the USA "franchise" stays intact), the USA produces an almost unfathomable number of value added products and services that will always be priced in USD. The world wants what Google, IBM, Apple, Boeing, General Electric, Westinghouse, Caterpiller, John Deere, Honeywell, Rockford Collins, Northrup-Grumann, General Dynamics, Lockheed Martin, Colt, Armalite, Smith and Wesson, Coca Cola, Pepsi, Jack Daniels, McDonald's, Merck, Pfizer, and hundreds if not thousands of other US-based companies are producing and they have to pay for it in USD.

 

[SarahAnn]

mind boggling video clip. But the crisis was predicted for 2012-2013. Its 2014, can I come out of the fallout shelter now ?

Hilarious website, thanks for the link. I think my favourite article was "37 Things You Should Hoard: These 37 Items vanish first in a crisis. Here is how to get them before anyone else!"

 

[bigbadwolf]

The world wants what Google, IBM, Apple, Boeing, General Electric, Westinghouse, Caterpiller, John Deere, Honeywell, Rockford Collins, Northrup-Grumann, General Dynamics, Lockheed Martin, Colt, Armalite, Smith and Wesson, Coca Cola, Pepsi, Jack Daniels, McDonald's, Merck, Pfizer, and hundreds if not thousands of other US-based companies are producing and they have to pay for it in USD.

You're obviously a troll and one who doesn't know the first thing about the way the world operates. But for the benefit of others, most US multinationals have the majority of their business outside the USA -- in terms of both production and sales. Coca Cola, McDs, Intel, and Motorola won't cease operating when the dollar goes down the toilet. They can live without it.

 

[Gringoboy]

And you're obviously an end of world merchant Bigbadwolf.
I hope you're stashing away your non perishables in that log cabin in Montana.
Sounds like you're going to need them in the event of the apocalypse that never arrives.

 

[ajoknoblauch]

That's my thinking. Others may have a different opinion. Good for them. My thinking -- for what it's worth -- is that a US $100 bill is going to be worth as much as a 100-rouble note of the Soviet Union after it collapsed. What maintains the value of the dollar is the USA's ability -- backed by armed force -- to have it accepted as payment for real goods. Without this armed force the USA and its currency would have imploded because of inherent economic weaknesses a long time ago -- something familiar to Argentinians. With armed force, the USA has bought itself a bit of time -- which I suspect is running out. And which the rest of the world is cottoning on to. The various bilateral agreements which various countries are entering into are designed to circumvent the dollar and, incidentally, to avoid disruption when the USD stops being the reserve. I don't think there will be a "global economic collapse" -- my feeling is that like the cheshire cat, the USD will disappear as reserve, US economic power will vanish (what remains of it, that is), and the rest of the world will go on merrily without it. My two cents.

Offer the average Argentine on the street a choice between 100 dollars and 100 rubles, and see what the answer is.

 

[bigbadwolf]

And you're obviously an end of world merchant Bigbadwolf.
I hope you're stashing away your non perishables in that log cabin in Montana.
Sounds like you're going to need them in the event of the apocalypse that never arrives.

You're not getting the message, though I've said it more than once: the world isn't coming to an end. The dollar-based world financial system is coming to an end even as I write. Either you're being disingenuous in deliberately misinterpreting what I'm saying or you're just plain obtuse.

Meanwhile, another sterling piece by Paul Craig Roberts yesterday:

http://www.paulcraigroberts.org/2014/01/30/fed-tapering/

A strategic explanation for tapering is that the growth of US debt and money creation is causing the world to turn a jaundiced eye toward the US dollar and toward its role as world reserve currency.

Currently the Russian Duma is discussing legislation that would eliminate the dollar’s use and presence in Russia. Other countries are moving away from the dollar. Recently the Nigerian central bank reduced its dollar reserves and increased its holdings of Chinese yuan. Zimbabwe, which was using the US dollar as its own currency, switched to Chinese yuan. The former chief economist of the World Bank recently called for terminating the use of the dollar as world reserve currency. He said that “the dominance of the greenback is the root cause of global financial and economic crises.” Moreover, the Federal Reserve is very much aware of the flight away from the dollar into gold, because it is this flight that causes the Fed to manipulate the gold price in order to hold it down and in order to be able to free up gold for delivery.

The Fed knows that the ability of the US to pay its bills in its own currency is the reason it can stand its large trade imbalance and is the basis for US power. If the dollar loses the reserve currency role, the US becomes just another country with balance of payments and currency problems and an inability to sell its bonds in order to finance its budget deficits.

 

[bigbadwolf]

Offer the average Argentine on the street a choice between 100 dollars and 100 rubles, and see what the answer is.

Another brain-dead post. What did I say?

is that a US $100 bill is going to be worth as much as a 100-rouble note of the Soviet Union after it collapsed.

"Is going to be worth" isn't the same as "is worth."

 

[sleslie23]

When the world has gone under in flames and anarchy, and she is standing outside our two caves in the Adirondacs, and she is hungry, she will prefer me with my meat, vegetables and bread to your worthless gold.

The intrinsic value of gold, please.

That's what people like Steve never seem to realize. In a total collapse food, guns, and ammo are all that will matter. That and having the knowledge of how to acquire more food, guns, and ammo.

 

[EdRooney]

Offer the average Argentine on the street a choice between 100 dollars and 100 rubles, and see what the answer is.

Those rubes in the street sure are dumb if they'd rather have 100 USD instead of 100 RUB (=3 USD).