Originally posted by Gazrok
China isn't about to slit the wrists of it's best customer....as doing so would be like slitting their own.

Originally posted by BitRaiser

So OPEC has the US by the short 'n curlies. They'd never consider moving away from the US dollar as their oil standard trade currancy, tho... right?

Err...

OPEC is considering a move away from using the U.S. dollar — and to the euro — to set its price targets for crude oil, the highest-profile manifestation of the debilitating effect of depreciation on the greenback's standing as the currency of international commerce.

Time to be getting worried.

Originally posted by XphilesPhan

Originally posted by behindthescenes


Dude, the US 's greatest export is FOOD! WE ARE MOSTLY INDUSTRY AND FARMLAND!

I dont think we will starve.

however, I believe we should stop exporting food. period.

I agree except we are mostly arms dealers, not really industry anymore.
Since greed overcomes sense, they want to rape the resources of our great nation for the quick buck, I'm not sure we will be the breadbasket for much longer. Corn that is grown in nitrate-saturated dead soil, seems to not feed the cattle as well as organic corn grown with plain ole manure. It seems the corn is missing Vit A + D as well as minerals when grown in dead nitrate-saturated soil. And it isn't just corn that is grown with petro fertilizers . Factory-Farming food and animals isn't good for the US in the long run. With factory farms and mega-automated wheat fields, it seems that just one bad year, or one bird flu, or one beef disease, and we become more vulnerable- kinda like the potato blight in Ireland.

As for the dollar going downhill, it seems that I have contributed by jacking up my credit card debt to the American average of $5,000. Do you know many working class americans who can save $10,000 for a down payment on a $250,000 house anymore?
I don't believe in pure capitalism, and I don't believe that corporations should be treated like an individual. I don't believe that the businesses should be taxed, I believe that the shareholders should be. (like that will ever happen)
There are few big corporations that are not multinational anymore, they really don't have anything to worry about with the dollar because currency can be exchanged- efficiently and worry-free.
We went to Iraq so that cheney could make alot of money, And Scrubby can get even with Saddam. The oil wasn't really going to us, but it seems we own alot of it now. I don't know why the neocons are crying about it, the arms industry is making a mint. and since Americans can be proud to be at the top of the list of arms dealers, we know we can count on those multinational companies to support us when the chips are down- RIGHT????
As for the minimum wage- most people working in fast food, cashiers, etc. already make $7-8/hr here in Phoenix, not $5.15. It hasn't made the burgers, merchandise cost more to the consumer. And it doesn't apply to illegals

Originally posted by Gazrok
China isn't about to slit the wrists of it's best customer....as doing so would be like slitting their own.

That's kind of one of the best things about globalization (you don't war with your trading partners).

If the dollar falls significantly, you'll see higher prices, less purchasing, and of course, less business for China. I'm sure they are well aware of this, and this is being made to be far more impactful than it really is....

Originally posted by tha stillz

Originally posted by djohnsto77
The Democrats seem to absolutely demand a higher minimum wage, which will cause inflation, and devalue the dollar in relation to other currencies.

But who foots the bill for the increase? Product will not substantially go up in price, I wouldn't think, it will be rich shareholders, and execs that would notice and, really, who gives a sh/t about them?
I don't

Originally posted by BitRaiser
Read the articals I linked to.
If you aren't worried about the impact this could have, you don't understand the situation.

Edit:

In a nutshell:
The problem is that almost every country holds a reserve of US dollars because that is currently the only currancy that you can buy oil with. This it the primary reason that the US is able to support such an insane national debt. If OPEC changed their standard from US Dollars to Euros, all those countries would dump their reserves in favor of Euros. With all that dumping going on, the US Dollar would devalue at a catistrophic rate.

It could easily drop BELOW the level of the Mexican PASO!


[edit on 9-11-2006 by BitRaiser]