Dollar to Be 'Discarded' by World: China Rating Agency

Did you guys catch S&P downgrading Moody's and Berkshire? Seems like there is some MASSIVE turmoil going on behind the scenes with the elites.

Maybe the execs or owner of S&P got a good backstabbing and is now dishing out the haterade on his new enemies...highly likely scenario if you ask me...

Another highly likely scenario is a team efforts with most if not all the elites to shake down the global markets and scare them into more bailout money to keep the American financial system affloat and USD as reserve status.

This financial crisis made it ABUNDANTLY clear that having the world's reserve currency being based on only 1 country's currency is STUPID and dangerous. So of course the dollar will be replaced, it's inevitable.

The consquence will be that the US can't just keep on printing money like they have in the past...and that's a MAJOR problem for a country mostly funded on debt. Unless they find a solution QUICKLY, they're in for even more rough times. The Sterling lost over 80% when it was replaced (last reserve currency), and the US economy couldn't handle that given its current state...neither could the government with its ridiculous deficit.

China is merely pointing out the obvious that the Dollar is almost worthless and that it is not at all fitting of the world's reserve currency as it should be.

And certainly not at all in accordance with the original Bretton Woods agreement which tied the Dollar to some stable measure of value called GOLD.

GOLD is still what is used by the World's Central Banks as a measure of worth and value.

This isn't merely an opinion of the Chinese...this is proven by the spot price of an ounce of Gold priced in USD.

GOLD is currently trading at $1716.50 per ounce to be exact.

When the United States Dollar was originally made the World's Reserve Currency due to the Bretton Woods agreement of 1944, Gold was at $35. per ounce.

But the debt created by the debt based financing of the Vietnam war began the devaluation of the Dollar until 1971 when our previously strong Dollar became a worthless FIAT currency.

On August 15, 1971, the United States unilaterally terminated convertibility of the dollar to gold. As a result, "[t]he Bretton Woods system officially ended and the dollar became fully 'fiat currency,' backed by nothing but the promise of the federal government."[1] This action, referred to as the Nixon shock, created the situation in which the United States dollar became the sole backing of currencies and a reserve currency for the member states.

....And the rest is History.


Links:

en.wikipedia.org...

Originally posted by burdman30ott6
reply to post by Iwinder

 

The easiest and quickest way out of this mess is to flat out eliminate global free trade. There is no way in hell these companies would abandon the 3rd most populous, #1 economy on the planet. They would figure out how to work within the new (old) system of actually protecting America's interests first.

The lap dogs and criminals in Washington won't do anything of the sort.

When this country falls, they need to be the first to feel the pain. From Obama downwards. Leave them swinging in the wind from lamp posts.

Stopping globalization? Pleeeeeeeease...don't be ridiculous

Originally posted by Aggie Man

Originally posted by MRedfield

Ten years ago, the US could play hardball with China and win. Now, not so much.

I'm not nearly sold on that. Go to any retail store and pick up 10 products....my guess is that 8 of 10 say "Made in China". When 8 of 10 say made in the USA, then where will China stands on a global economic level. Don't even act like there are other economies that they can sell their junked up, toxic, copyright infringed crap to. To this day, the US consumer props up China's economy.

edit on 7-8-2011 by Aggie Man because: (no reason given)

Common sense tells you that a person can't buy his way to financial success. Why do we not apply this to nations as well. We can't beat china economically by out consuming them. It is not our consumption of their goods that does them any good. It's the value of what we offer them in exchange that does them good.

If the us dollar becomes practically valueless, what good does it do them to have it. Why trade their valuable goods, for meaningless pieces of paper. It's not the paper they've been doin it for, it's the Food they've been able to buy with it. Currently us dollars are able to buy less and less food. Couple that with massive drought in the U.S.'s biggest food producing regions, and you have a situation where china is actually better off keeping their goods. It's getting close to a point where china might not sell their goods to us whether or not we're playing "hard ball".

Obviously america should never starve, because we're one of if not the largest producers of food. So if it comes down to is then we just seize those assets, as property of the people, rather than starving to death. We should still be able to defend our borders for some time. (because believe you me if we're not supplying the chinese with food, and they think they could win a war, then wage a war they will).

The real question then is can china find some other way to feed it's people. If not that it's essentially #ed. It has alot it can spend right now so it could feasibly buy up land in south america, and produce food there. But the good ol US of A, and our corporations still have alot of influence down there i do believe. So we could drive land prices up. Land in Africa, however, will always be cheap. If they could find a way to efficiently get water to arid land, and fertilize the ground (which research is making more and more possible, even in a hollistic way), than that would be an option. They can definitely defend that land from any opposing african force that would try to seize it for their own good.

Point is, this situation is not so cut and dry. Both economies have dependencies on eachother, and both economies will suffer if they deside to wage "war", or cut trade lines. But it's not really clear who would come out on top in that situation. The only way for the US to ensure victory in this situation would be to invade china, but I really don't think we would come out victorious in that scenario. Not that they would conquer us, but that they could just keep us out. With a billion people, being surrounded by mountains, being in a much better economic condition, financially we could not hold up an attack on them. Nuking them to death wouldn't help anything, because we would be destroying our supply of cheap goods, the very thing we're trying to avoid.

Originally posted by jimnuggits
We are resilient.

We are brave in the face of near apocalypse.

We can shape up, cut down and reinvent ourselves to come out on top.

We are the most diverse, creative and innovative population in the world.

We have the capability to produce anything and everything.

We have decades of untouched resources.

We have been written off at least a dozen times in the world's press.

We argue, fight and negotiate until the middle path is found, and ten out of ten times, it was the right thing to do.

We have been down before, only to tighten our belts and emerge better than we started.

We are Americans.

Do not underestimate us.

Thankyou my Friend.

We definitely need more people to realize the true potential of us Americans. Most of the people and most of the notions about Americans who live outside of US which is far from the truth. Generally it is based on MSM and Internet publishings (just the way we have about their country due to the MSM as well).

Originally posted by MrXYZ
This financial crisis made it ABUNDANTLY clear that having the world's reserve currency being based on only 1 country's currency is STUPID and dangerous. So of course the dollar will be replaced, it's inevitable.

You are correct in your own way. However it will not disappear from the reserve currencies of the world. It might be joined by few other currencies.

Even if you think it is destined to be replaced completely or crash, it will take atleast 5 to 10 years before it really happens since the economies around the world cannot handle a total sudden collapse due to your above mentioned statement (...having the world's reserve currency being based on only 1 country's currency is STUPID) as their economic systems and trading platforms are based around it and to be realistic and change for it to adopt to the multi national reserve currency is similar to the Y2K project(s) when it comes to the Information Technology systems which can drive another wave of changes to the computing system(s) for alteast 10 years. Atleast that is what I have gathered from the past.

You guys all know that the Chinese credit agency is a joke right ? When they say stuff like that people really do not care. Just the doomers here do because they want to believe that the US is on the decline.

reply to post by hp1229


Of course it won't happen tomorrow...but in the medium term, it's inevitable. And yes, a basket of currencies (incl. the dollar) is a possibility. If that happens, the effect will be less drastic, but even a 40% drop in value would be horrible given the current economic state of the US

reply to post by SaturnFX


I suggest that you read The Secrets of The Federal Reserve.

In the first chapter you will discover that Paul Warburg a representative of The House of Rothschild drafted our Federal Reserve Act. That is a well documented fact and can be found in numerous publications including many in the Library of Congress Washington, D.C.

As you may or may not know Mayer Amschel Rothschild basically purchased Europe a couple hundred years ago.

His descendants then methodically created both world wars and financed both sides.

It did not matter which side won, the Rothschild Bankers came out on top.

“Let me issue and control a nation's money and I care not who writes the laws.” Mayer Amschel Rothschild (1744-1812)

Here are the locations of Rothschild banks throughout our world. The London Connection. Keep in mind this map does not even include such government financier banks or Central Banks like The Federal Reserve which are under direct Rothschild control. edit: I see my picture has cut off the hong kong, beijing, & shaghai branches, please click the link below the pic to see them.

[atsimg]http://files.abovetopsecret.com/images/member/c1780361483a.png[/atsimg]
www.rothschild.com...

Give that book a read my friend. The libricide of the book is fascinating on it's own considering it is the only publication destroyed in mass quantity in Europe 'post' Nazi occupation.
Here is the Free Ebook

reply to post by vermonster




No doubt the Rothschild's have money, but that map is laughable. You take pretty much every global company and get a similar map

reply to post by MrXYZ


How laughable is Eustace Mullins and Ezra Pound?

You make jokes and 20 bucks says you have never read the book mentioned above.

Originally posted by MrXYZ
reply to post by vermonster

 

No doubt the Rothschild's have money, but that map is laughable. You take pretty much every global company and get a similar map

I don't see how Mc Donalds is in control of the world's money supply.

Yet the trash they put into circulation is a different discussion but serves the same agenda.

To the people saying the NWO lost, think again, the U.S may have been defeated, but the NWO will move to china next. The private banks are very much alive. Hopefully now conspiracies will come to light and the MSM actually reports the truth since U.S is already going down and the elite will probably be safe in china away from justice.

This is far from over. Now the U.S needs to regroup and start listening to the people for once. It is the only way to start repairing any damage.


Also, think about george soros a moment. He of all people probably wanted the death of the dollar. Now think about why that is. He got his wish, now the real show begins.

reply to post by silent thunder


"dollar will be disacarded by world: communist rating agency"

Originally posted by RisenAngel77
To the people saying the NWO lost, think again, the U.S may have been defeated, but the NWO will move to china next. The private banks are very much alive. Hopefully now conspiracies will come to light and the MSM actually reports the truth since U.S is already going down and the elite will probably be safe in china away from justice.

This is far from over. Now the U.S needs to regroup and start listening to the people for once. It is the only way to start repairing any damage.


Also, think about george soros a moment. He of all people probably wanted the death of the dollar. Now think about why that is. He got his wish, now the real show begins.

The NWO is not behind anything. They do not even exist. and again the US is not defeated. I still am not understanding why the dommers here keep believing this.

Here are a few quotes from two or three Guys who knew what they were talking about.
The more things change, the more they stay the same.

“America will never be destroyed from the outside. If we falter and lose our freedoms, it will be because we destroyed ourselves.” – Abraham Lincoln

“To preserve their [the people’s] independence, we must not let our rulers load us with perpetual debt. We must make our selection between economy and liberty, or profusion and servitude.” — Thomas Jefferson

“Find out just what the people will submit to and you will have found out the exact amount of injustice and wrong which will be imposed upon them; and these will continue until they are resisted with either words or blows, or both. The limits of tyrants are prescribed by the endurance of those whom they oppress.” — Frederick Douglas

“The country is headed toward a single and splendid government of an aristocracy founded on banking institutions and monied corporations, and if this tendency continues it will be the end of freedom and democracy, the few will be ruling and riding over the plundered plowman and the beggar…” — Thomas Jefferson (1743-1826)

After being questioned by the British Parliment about the colonies' new-found prosperity based on a fiat (worthless, without gold backing) paper money, without hesitation he replied:

"That is simple. In the Colonies we issue our own money. It is called Colonial Scrip. We issue it in proper proportion to the demands of trade and industry to make the products pass easily from the producers to the consumers. In this manner, creating for ourselves our own paper money, we control its purchasing power, and we have no interest to pay to no one." -- Benjamin Franklin

"If tyranny and oppression come to this land, it will be in the guise of fighting a foreign enemy".
-James Madison


"Whoever controls the volume of money in any country is absolute master of all industry and commerce." – President James A. Garfield

more here - www.abovetopsecret.com...

Here is some news, our neighbour works as a customs broker at the Bluewater Bridge here in Sarnia.
Now this guy does not get rattled but today he said there were 3 jets flying down the river in formation.
No air shows around here at all, they have to be US jets as we don't have any bases close enough to this area for them to be able to get here and fly home without refueling.
Just thought I would put this out there, anyone in Michigan seeing jets?
On a side note here I checked CNN this morning and the international version mentions the US dollar however, I checked the US version seconds later and the headline was about cheating in school.
Go figure,
On another side note, the wife's shares in Exxon/Mobile are dropping like drunks at a Stag.
She also went to the bank today and took out a substantial amount of money to stash, this is in between pays here and she said the bank was nuts as in busy busy busy.
We live in Canada and I will never forget my mom telling me about the depression, she said her father went to the bank to get out his life savings (about $2500.00) and it was locked tight.
No warning at all, right up until they locked the door everything was hunky Dorey.
Please people watch your back sides and take some cash out.
I am not trying to scare anyone here but I speak from family history passed down to me.
Also when they eventually unlock the banks ..........Your money is gone and no apologies.
Regards, Iwinder

reply to post by silent thunder


Pure Propaganda. China's Credit Rating is still two levels below ours for S & P and three levels below ours for the other two. China's Credit Rating Agency is a meaningless propaganda outlet.

They are taking advantage of Americans illiteracy on this to use it as a propaganda tool.

We stop buying their products they go belly up almost overnight. Their GDP is only one third of ours even though they have a far larger population. Their GDP per capita is still very bad. Half of the citizens of China earn less than two dollars a day in fact. This propaganda is getting out of control due to American Haters, Lying Politicians and Chinese Propaganda.

China is sitting on a huge bubble and when it pops, our recession will look like child's play compared to theirs. They have a two class system. If your not a Party favorite, you are never allowed to earn a decent living. Communism has always worked that way.