Economists are no more accurate than a crystal ball gazing gypsy. If they had been accurate in predictions, none of what we are suffering today would
have happened. They are good at only looking at past statistics to see a trend. But to use such a trend as a future for modelling is ignorance at best
and disaster at worst, for there is more than just numbers that does the talking. The players have to be taken into account.
And China is the biggest player. They are caught in a trap of their own making by buying US debt without actually researching into what they had
bought, or simply ignored the wiser men around them. With a trillion dollars of US debt, they stand to lose billions once the US dollar tanks.
To fight back, they will attempt to make their yuan weaker to boost exports, accept only US dollars in trade, to drive up the dollar. But thanks to
the fed, who will pump more dollars into the market, what China will end up with is more worthless paper later on. To rise the yuan is to limit their
exports, another no-no for the CCP.
The only hope for the commies, whom are the 'johnny came lately' in the financial markets, is to buy up whatever debts other country has with their US
dollars, in the hopes of aquiring more land holdings without conquest when US, Europe and the rest of the world tanks.
Oil producers are stuck with the US dollar. As it is already near worthless, they will demand more US dollars in order to make up for the loss in
value of the dollar. As the price of oil rises, demand slows. They too are stuck.
Many had presumed an NWO dollar will be introduced. They are right, but it will not be papers again. The only rational solution is to go back to the
gold standard. Print money only based on the gold holdings a country has.
USA will have to pay its debts, but those debts are based on dollars and not gold. It was supposed to hold the most gold in the world, and should be
able to pay off using gold as its price is relatively high today, provided there truly is gold. If there is no gold, then it is high time to pay off
the debts using one's GDP, resources or raising taxes on the rich.
As for the common man's survival, austerity measures will be in place. Many venture capitalists will call it a day until the gold standard is
recalled, to ensure they get their money's worth and stability. Meaning there will not be much jobs avaliable.
Without jobs, most will not be able to buy food. And food producers will no longer take US dollars, but only gold or paper backed by gold. It's a grim
picture, and the way out is for our leaders to implement a stable currency today, based on gold, the sooner the more will survive.
A one world currency, something hated by many, but a neccessity. But not one with fear, so long as it is backed by gold and not worthless paper
promises such as those used by the feds.
edit on 18-1-2011 by SeekerofTruth101 because: (no reason given)