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Old 03-26-2012, 04:48 PM
 
Location: Planet Eaarth
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This is important to every investor as well as every citizen of the U.S. since it will determine what we pay for everything.

10 Reasons Why The Reign Of The Dollar As The World Reserve Currency Is About To Come To An End
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Old 03-26-2012, 09:12 PM
 
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The importance of the dollar as the global reserve currency is vastly overstated. The price that someone pays for an item is dictated by the cost it takes to produce either domestically or abroad. For too long, we've been raking up huge current account deficits with developing nations. Until 2008, we got overcame the trade/ current account deficits by going deeper and deeper into debt at the consumer level. Once that game ended in the 2008 crash, we've relied on the federal government going deeper and deeper into debt to sustain the current flawed system. Should the dollar lose value, we could start to compete again on the global stage and put into place a real recovery that does not rely on ever increasing debt. It would cause consumers to cut back somewhat, but would help to rebalance our economy away from an overreliance on consumer spending. Which at 70% of economic activity is not sustainable in the long run.
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Old 03-27-2012, 07:07 AM
 
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Aside from the source being questionable, the Chinese will buy dollars like crazy to keep their prices low. So print, baby, print.
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Old 03-27-2012, 10:48 AM
 
Location: Maryland about 20 miles NW of DC
6,111 posts, read 4,863,662 times
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Quote:
Originally Posted by Grandpa Pipes View Post
This is important to every investor as well as every citizen of the U.S. since it will determine what we pay for everything.

10 Reasons Why The Reign Of The Dollar As The World Reserve Currency Is About To Come To An End



A good question is what would replace it? The Euro which has no guarrenteed backer ? The Chinese Yuan/Remimbi? The British Pound? Japanese Yen? Russian Rouble? Some funny money from the IMF? None of the alternatives are either have the political or economic backing, the scale needed to cover international finance and commerce and in some cases there is a trust/corruption factor.
So is there really a alternative to the US Dollar.
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Old 03-27-2012, 11:19 AM
Status: "My eyes are rolled back so far I can see my brain." (set 11 days ago)
 
Location: Here.
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No big deal. The dollar currently represents only about 60% of reserve currency. Up until WWII, the Pound Sterling was the world currency. Great Britain hasn't exactly vanished off the face of the earth. The world currency is whatever currency is most convenient.

Should be the last of our worries as Americans.
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Old 03-27-2012, 11:26 AM
 
Location: Planet Eaarth
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Originally Posted by pvande55 View Post
Aside from the source being questionable, the Chinese will buy dollars like crazy to keep their prices low. So print, baby, print.
Do you consider the source questionable due to the ads that support the site?

If so then I remind all that CD also has ads to support the site and it's not considered questionable.
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Old 03-27-2012, 11:32 AM
 
Location: Charlotte, NC
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Well it was going to happen sooner or later.
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Old 03-27-2012, 04:38 PM
 
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Quote:
Originally Posted by Grandpa Pipes View Post
Do you consider the source questionable due to the ads that support the site?

If so then I remind all that CD also has ads to support the site and it's not considered questionable.
I didn't see any ads for brands I had heard of. I didn't see any byline so I don't know the author's credentials.
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Old 03-27-2012, 04:48 PM
 
Location: Planet Eaarth
8,957 posts, read 17,000,905 times
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Quote:
Originally Posted by pvande55 View Post
I didn't see any ads for brands I had heard of. I didn't see any byline so I don't know the author's credentials.
So what ???
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Old 03-29-2012, 06:53 AM
 
Location: San Diego California
6,797 posts, read 6,120,491 times
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Quote:
Originally Posted by mwruckman View Post
A good question is what would replace it? The Euro which has no guarrenteed backer ? The Chinese Yuan/Remimbi? The British Pound? Japanese Yen? Russian Rouble? Some funny money from the IMF? None of the alternatives are either have the political or economic backing, the scale needed to cover international finance and commerce and in some cases there is a trust/corruption factor.
So is there really a alternative to the US Dollar.
You are exactly right. The dollar may be overleveraged and depreciating, but it is really the only game out there.
Besides, what people do not really understand is that when push comes to shove, currencies are only as strong as the military that backs them. At this point, the world is betting on the US military to keep US interests at the lead of the pack.
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