Much of the projected scenario is outlandish.
-China doesn't hold nearly as much T-bills as are held domestically. Plus, they couldn't dump their bonds if they just deemed them useless. That alone
does not make sense. They would lose more than we would in this scenario. Also, China knows that it is even more guilty than us at monetary
-OPEC can't dump the dollar in a matter of hours. It would forfiet millions of multinational contracts and billions of barrels of oil. A more likely
scenario if the above China crap goes down is that OPEC countries like Kuwait, UAE, and Saudi Arabia will race to bail the dollar out to protect their
What I have said repeatedly is that we will not know it is all over for the dollar until we look in hindsight. I am thinking more of a Soviet style
collapse. It will be a fairly organized international effort and will have already happened when we are told about it. The civil unrest won't happen
until the system reorganizes and the insurgency begins here at home.
The collapse will not be so dramatic, and we may only be able to witness it in hindsight.
edit to add: I wonder if we have already collapsed and the powers that be are picking up the pieces before they allow us to know it even happened....
something to think about.
Also: I think we are still a ways off from such a collapse. But, you never know.
edit on 25-11-2010 by DINSTAAR because: (no reason