Thread: US dollar in decline, what are your thoughts?

http://ca.news.yahoo.com/s/capress/0...onal/inflation

The canadian dollar has gone from 75 cents to a US dollar to almost 1.04 cents CDN to a the US dollar.


Discuss...

(Canadian, BTW)

The falling value of the dollar isn't a recent phenomenon, but the degree to which the Federal Reserve has pursued an inflationary strategy has jumped considerably in the last decade. Many economists agree that such a policy, at the very least, is problematic because the market is continually given false information about the cost of capital, encouraging poor investment.

The Canadian dollar is only the latest harbinger of the dollar's weakness. The Euro has steadily increased relative to the dollar while gold and oil have skyrocketed in recent years. Dollar hegemony is the only market force that prevents the dollar from falling quickly, but it is being undermined by various events.

Well, to be fair, the canadian dollar IS going up relative to other currencies too. Our exports are in demand and our economy is booming. That plus america's semi-recessive economic state makes our "funny money" look a little more serious ...

Goin to America with Monopoly money, brb.

Goin to America with Monopoly money, brb.

Wow is it really that bad.

Can i come?

Our economy isn't doing too well, thats why. I think it will get better though within a couple years.

To be honest, I think China will be the biggest superpower withen 20-30 years. Their economy is raping everyones.

The American economy is in quicksand. Currently, they are in a vicious cycle where the only way to keep the economy going is by getting Americans to spend even more money they do not have (hence the 8.6 trillion dollar national depth and the mortgage-market problems and such). However, the longer they keep pushing economy to the limit, the worse the -not if by when- collapse of the dollar will be for America. I do understand why it is happening this way, thinking long-term doesn't matter for the people that control the economy. Either their time in office is over so it doesn't matter to them, or if they aren't politicians but just ultra-rich stock-brokers, a regression probably wouldn't hurt them at all, probably it give them even more nice business opportunity.

Thus, the dollar will keep dropping as it has the couple of years, and I hope that Europe will have a nice period of being the wealthiest before inevitably Asia will become the long-term dominant force in the world, replacing what America has been the last 30 years. Asia, that by the way are making a good profit of lending America the billions, or actually trillions of dollars it spends but doesn't have.

Nope, it takes longer than 10 years. It long term problems. The economic problems of the US started back 90 years ago. Since then we have had a lot of highs and lows. Depresssions followed by times where people make tons of money, then more depressions. To really understand the economy you have to know history as well.

Central banks normally gain more power after some problems and tend to make things seem really good for a while, untill they end up making things far worse than they ever were before. A lot of people are not even aware of the problem untill it happens. Thinking you are safe because its been 10 years though? You are giving them far to much credit.

If you believe money is actually worth something in the larger scheme of things that's really foolish. What the elite have done for some time is pretty much this.

Got some bit of paper and put a number on it from their head and then suggested now work for me I gave you this paper which is worth 'this much'. So I gave you 'this much'. Now work for me. When really it cost them nothing.

Like what a bully does when it approaches children that are really weak and not able to defend themself or think properly.

Inflation doesn't happen for nothing. The illusion has to go somewhere. If you have a bunch of toilet paper. You can say it's a million dollars and pass it around to fools. But sooner or later someone is going to realize wait this sucks it's not real. Until then maybe they are stupid enough to work for you like dogs.

Say the government has a 999 US dollars, and you have 1 US dollars. The government wants to borrow a 1,000 dollars. So they print out a 1,000 dollars. They just doubled the money supply. The value of each dollar was just cut in half because the supply doubled. The government now has 1,999 dollars and you have 1 dollar. Seems fine right? Well if you go by the actual value of the dollar, everything is half what it was worth before. So the government really only has 999 dollars and 50 cents, and you, you really only have 50 cents.

The government just took half your money and you didn't even notice. Thats inflation. Thats why people call inflation the invisible tax. No one knows where its going but when you try to spend that dollar you are only going to get half as much. So when I say the dollar has lost 90% of the value over the last 100 years, it means the government as sucked 90% of the value out of every dollar through inflation.

People think that if they have a job they get money. Which they can use to buy stuff. That it's all equal and fair exchanges. However not only do you have tax when it an excuse to rob you in many ways. It gets dumb after a while when 1 piece of fruit or chocolate bar starts costing 2 hours of labor one day. Then 5 hours work the next day for a meal. Then back to 15 minutes work. Try living in that. When prices on everything vary, devalue, going up and down randomly. That's called stupidness and people will realize they have been conditioned and brainwashed on a mass scale to work as a slave race for something that isn't even real. They are actually funding their own enemies operations to deceive them. That is how poor you all are. Your working so your slave drivers can have the wealth and resources to keep deceiving you into poverty. How dumb are you? Why do you even go along with it?

If everyone knew what value really was. Everyone would have enough. No-one would be homeless. No-one would have more than they were entitled to have.

lol - So you are sugesting everything be free, and worth nothing?? No one work, and everyone be free spirits doing WTF they like? Thats just fucking dumb!

If no one worked, what would we have then? Who would work the hospitals to help people, police the cities, put out the fires, build our cars etc. etc....