When do you predict the US will lose its currency rating

[BentBow]

Originally Posted by zentropa

The Saudi's and Arab's WHAT?

And the answer to the thread title is "not in the foreseeable future in the current reality we inhabit"

But feel free to make predictions and I will bump this thread at that time.

Can Germany use the Deutsche Mark or Swiss Franks, or even the Euro to buy oil from Saudi Arabia, or the Arab Emeritus? NO

They must exchange their currency for US dollars.

What happens when the US is not the currency of choice any longer in the world?????


Look what happened in 1967 to the British Sterling(it was the world currency), and their economy ever since.

[Grim Reader]

Its foreign hands, not lands. The Romans were not big on foreign aid.

Anyway, a more interesting question is, what happens afterwards?

There is probably going to be a lot of initial pain. The dollar will drop like a rock in value. The prices of everything imported will skyrocket. Gas especially will hurt. And it will increase more in price than most things. Snotty Europeans will travel across the US, because it is so cheap, and most Europeans will be rich in comparison. A bit ike it is with Americans in the third world today.

And then...Europeans will be spending a lot more money in the US. Many consumer goods are cheaper already. With foreign imports becoming excuciatingly expensive, a lot of stuff will suddeny be profitable to make in the USA again. Americans have never been slow at seizing chances like that. Exports will boom.

It'll be a big blow to the pride of the USA, and a big adjustment, but ten years after, the American people may be a lot better off. That is my guess as a non-economist anyway.

[zentropa]

Arab Emeritus?

[oz in SC]

Originally Posted by Grim Reader

Its foreign hands, not lands. The Romans were not big on foreign aid.

Anyway, a more interesting question is, what happens afterwards?

There is probably going to be a lot of initial pain. The dollar will drop like a rock in value. The prices of everything imported will skyrocket. Gas especially will hurt. And it will increase more in price than most things. Snotty Europeans will travel across the US, because it is so cheap, and most Europeans will be rich in comparison. A bit ike it is with Americans in the third world today.

And then...Europeans will be spending a lot more money in the US. Many consumer goods are cheaper already. With foreign imports becoming excuciatingly expensive, a lot of stuff will suddeny be profitable to make in the USA again. Americans have never been slow at seizing chances like that. Exports will boom.

It'll be a big blow to the pride of the USA, and a big adjustment, but ten years after, the American people may be a lot better off. That is my guess as a non-economist anyway.

Sounds good actually....