Is the US gets into DEEP financial trouble (like Greece), will we print more dollars?

[JEDI]

and/or deevaluate our currency?

If so, what are the reprecussions?

And how does deevaluing our currency help solve the massive debt problem?

 

[jman19]

and/or deevaluate our currency?

If so, what are the reprecussions?

And how does deevaluing our currency help solve the massive debt problem?

Increases trade.

 

[Tristicus]

Of course, we can pull money out of our ass and nothing will happen to us at all! Ask Obama.

 

[Hacp]

We have nukes. Greece doesn't. At least thats what I think Obama's reasoning is.

 

[piasabird]

The USA is already in deep financial trouble.

 

[First]

Welcome, Ron Paul. Tell us how we've been on the verge of hyperinflation for 30+ years again.

 

[Zorkorist]

We have nukes. Greece doesn't. At least thats what I think Obama's reasoning is.

lol!

 

[Zorkorist]

It's not really funny, because America will be worth next to nothing, like Greece.

Soon.

-John

 

[totalnoob]

We've already had the inflation/devaluation. We just haven't felt it yet because the economy is crap. Once things pick up and the money starts circulating, look out..

 

[Moonbeam]

I haven't finished reading my economics book yet so I'm not yet a world authority like you guys are. And all the crap I was stuffed full of and ate like a pig each relish, I shit.

However when my head swells up like a balloon I will surely be back with an opinion.

One little thing I do know is that Greece can't print Euros but the US can print dollars.

A second small factor I happened to hear was that the dollar is strengthening against the Euro, I guess because all the stupid people in the world don't know we are about to collapse.

 

[Zorkorist]

So, Moon beam, you are all for playing little financial/ political tricks, tricks that only end up hurting the people.

-John

 

[cubeless]

all the wallstreet guys use $100 bills to light their cigars... the fed's plan to soak up the extra $$$ they introduced is to have them smoke more...

i did read an interesting article where a guy says that so much 'money' (paper net worth) was evaporated in this little soiree that the fed can print for a long time and no 'real' inflation will occur...

 

[Zorkorist]

That paper money, was normal American's investments.

The only fokes that soaked anyone, was the Federal Government.

-John

 

[Zorkorist]

IS the Federal Government.

And now they want to do healthcare.

-John

 

[Zorkorist]

Can you imagine a world/socio/political system dominated by Government?

Aldous Huxley did.

-John

 

[santz]

There are so many countries in the world, whose currencies are pegged to the dollar, They are all so super screwed. But its not like the world population has an alternative currency to keep their deposits in, as all the currencies are currently doing bad.

US Dollar has traditionally been a safe haven currency to convert your money into. Lot of people are doing just that without knowing how much money is currently being printed here and what its repercussions may be....

 

[Taejin]

Can you imagine a world/socio/political system dominated by Government?

Aldous Huxley did.

-John

Can you please fucking edit your posts instead of posting over and over when no one has responded?

 

[JMapleton]

We've already had the inflation/devaluation. We just haven't felt it yet because the economy is crap. Once things pick up and the money starts circulating, look out..

Nice to see someone with actual facts in this thread.

The US Dollar is done for over the next 5 to 10 years. Anyone who says differently is ignoring absolute facts. You cannot print this much money and nothing happens.

Currency is not wealth, it's a piece of paper. We're brainwashed into believing "money" has real value.

 

[Craig234]

Can you imagine a world/socio/political system dominated by Government?

Aldous Huxley did.

-John

Aldous Huxley would be a Democrat IMO. You should learn more of him. Try 'Brave New World revisited'.

He was against a Soviet-style takeover. So are nearly all Democrats.

 

[LegendKiller]

Nice to see someone with actual facts in this thread.

The US Dollar is done for over the next 5 to 10 years. Anyone who says differently is ignoring absolute facts. You cannot print this much money and nothing happens.

Currency is not wealth, it's a piece of paper. We're brainwashed into believing "money" has real value.

And then this moron opens his mouth. You do realize that a few trillion in wealth disappeared in the last 3 years *just* from the housing market?

That's not even including the assets that have disappeared from CCs, bonds from bankrupt companies, and stocks from the same and/or declines in the market.

For every dollar the Fed pumped in, I'd guess there were 3 that disappeared.

One good example is the ABCP market. About $1TR in ABCP has disappeared. Where did it go? Well, the SIV assets went back on BS for the banks, who then wrote a huge portion of them off.

That's not even to mention they can simply sell assets into the market to pull in liquidity or they can raise the required capital ratios against RWA. Or they can raise rates.

Really, we're supposed to believe you're some hotshot investor and you can't even look at the whole picture?

 

[heyheybooboo]

Too bad the monetary tin-foil hat crowd (with their Fed chart) ignore the simple fact (which strikes directly at the heart of their alarmism) that the Fed has already begun rolling back the monetary base.

And will continue to do so as the economy improves.

I guess they prefer illiquid, insolvent financial institutions ....





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[Jhhnn]

Totalnoob's chart reflects a total collapse in the value of so-called securities held by banks and institutional investors.

Both money and securities are theoretical stores of value. Banks are allowed, under fractional reserve principles, to lend several times more money than they have, either in cash or securities. For all practical purposes, the credit they extend is the same as money in the economy.

During the Bush years, banks were allowed unreasonable leverage against securities held, and were also allowed to overvalue such instruments. When that value plummeted, they were over-leveraged in a completely unsupportable way, and were also stuck holding over-valued securities they'd intended to sell to investors, aka chumps, suckers, marks, which includes our pensions and other retirement plans.

Rather than allowing the whole rotten edifice to collapse, or nationalizing the affected banks, the Treasury and Fed stepped in, paid cash for crap, moved it off banks' books so they could continue to operate and to lend. The govt also engaged in large deficit spending as stimulus. They didn't really increase the money supply at all, they merely sustained it somewhat. Had they not done so, what we see as the money supply would have dried up entirely, a la 1931.

The reason that dollar value hasn't plummeted is that the world's other major economies and currencies have been treated the same way, and that we're basically holding the world economy hostage, extorting value from it with overvalued "money"...

 

[Moonbeam]

So, Moon beam, you are all for playing little financial/ political tricks, tricks that only end up hurting the people.

-John

What gave you the impression I was in favor of anything other than a modest realization that I don't know much of anything whereas others, similarly equipped, are full of opinions?

 

[mumedina]

And then this moron opens his mouth. You do realize that a few trillion in wealth disappeared in the last 3 years *just* from the housing market?

I agree, but you forgot to mention that the "wealth" that has "disappeared" was created artificially by the housing bubble, among many other things. And, money doesn't just vanish out of thin air as you are implying...it merely shifts. The liabilities of an individual and institution stays with them.

Anyway, in a way it is good that Greece isn't able to print money because it will force them to deal with the problems now...so in the long run it will work out better for them. By printing money a country only delays the inevitable and in the end it will make things worse. The problem with politicians is that they often opt for short term fixes with things having to do with the economy because they want to get reelected.

 

[Udgnim]

China will bail the US out