I don't know the etymology of those words, but for me they are used to describe a situation. 'Shit, my computer crashed' or 'Shit, my back has collapsed'"bigbadwolf" said:"Crash" and "collapse" are words designed to provoke hysteria.
Why? Rome fell... I know the FED is trying do anything to keep the lifeblod, credit, flowing, but it don't work.bigbadWolf said:Collapse can be used to describe what happened to the German mark in the Weimar Republic or the post-WW2 Hungarian pengo. But it is exceedingly unlikely to occur to the world hegemon.
I don't know when exactly the dollar started to decline. Some one will say that it started when the US got off the gold standard and it depends on what you compare it with. Dollar vs Gold, Dollar vs other currencies, dollar vs oil +++bigbadWolf said:There are also some mistakes in the video: the dollar didn't start declining from 1999; it was probably early 2001. The US doesn't need $3bn a day; it's around $2bn.
Check out this graph:bigbadWolf said:These mistakes and exaggerations weaken the credibility of an otherwise good line of reasoning. Stephen Roach happens to be one of my favorite economists. And I too have been short the dollar since 1998 (even while the dollar kept appreciating against the euro until one euro could only buy $0.83 in late 2000/early 2001). And I agree that the road to any kind of equilibrium will involve massive convulsions in the US economy and the world economy. Perhaps the current US recession is a harbinger of much greater troubles to follow.
No, but Warren Buffett has invested big-time in Brazilian reals. The smart money moved out of dollars a while ago. In fact you shouldn't even quote Argentinian pesos in terms of dollars as the US dollar is no longer a stable repository of value. Use some other more solid currency to measure the peso against. For instance the peso has been devaluing continuously against the euro."ghost" said:Any contrarians out there that are going for AR Pesos when they hit 4 to 1?