Originally posted by Escrotumus
Cpdaman: But if this were true, then wouldn't this mean that the fall would only be that much harder when the dollar really does crash? Since we are
now sending so many more dollars out of the country by paying so much more for oil, then what happens when all of those dollars come rushing back home
after the dollar crashes and the other countries that have them start to unload. Seems to me that the govt. would anticipate this as an endgame to
what you are suggesting. This would be likened to taking a pill to cure you of a common cold when the pill is known to cause cancer a few years down
the road. Doesn't make sense to me.
you do have a BIT of a point (but not what you think) gov't often don't look past the short term, and this administration gov't/ globalists may
not have done this out of the intrests of it's citizens but out of pure greed and survival or golden parachutes of the elite in the plutocracy. i.e
buying a bit more time to well postion the elite's
well (sans this hypothetical new deal i think the gov't made w/ opec) the fall in dollar would have been more orderly by global central banks they
don't want a crisis in the currency markets, the only thing is the u.s gov't could have made the deal that benefited the shieks as well as gov't
insiders and financial big wigs (to recoup their losses) and known that when oil slides and U.S (petro recyling) falls and they lose more share of the
world reserve currency that; (the five points i am about to list would have already been occuring and that to them the trade off (of buying time and
making profits) may be worth the bumpier/quicker transition to the downside as well as increase the visibility of a problem the citizens may then
REACT to , giving the globalists their option to pounce. but again that is if oil falls signifcantly (30% or so)
1. the u.s bond market long term rates will go very high
2. pressure to switch to oil pricing in euro's will be elevated
3. consumer prices spikes in the u.s (due to rapid weakening of the dollar) will be first offset (at least slightly) by the fall in oil prices since
speculation had driven up prices so initially the dollar could fall but oil prices could as well
4. u.s miltary will have it's funding legs cut out from underneath
5. The insiders/globalists will be well protected by their investments and probably have houses in other country's and leave the mess to someone
else/ and the NEW american Century will be that of feudalism , an elimination of middle class and a much larger gap between rich and poor.
Right now for most of the $$ we send out for oil...lots of them come right back to us. (Petro-dollar recycling) OPEC nations especially in the gulf,
take a large portion of their petro dollars and purchase U.S gov't debt (gov't bonds) this helps keep interest rates low in america.
I don't get when people say all these dollars will come back to us, because right now they are coming back to us thru petro recyling (which is good ,
because this support's U.S govt bond market. These foreign central bank dollars should oil fall(that are no longer needed for oil) may be used by
foreign central banks to buy U.S business share's overseas, or raw materials. Or perhaps the u.s govt would finally allow foreign investors to buy
stock in financial institutions. or perhaps they would be converted to Euro's or another currency.
The current neo-con administration may have made the deal just to buy more time for globalists and neo-cons to make some $$ ( and recover some as
well) prior to sweeping changes and a inevitable changing of the guard (which based on a economy so out of balance, and consumer debt pilling upward)
was inevitable. i.e western financial system crash and the ensuing gov't bailout and nationalization all the while the emerging market fare much
better due to underlying fundamentals
[edit on 8-7-2008 by cpdaman]