Replies to post #42236 on ~*~Mining and Metals Du Jour~*~

[srm4u]

If the world stopped accepting the US dollar as the world reserve currency, the Ponzi scheme would come to screeching halt and the last forty years of American prosperity would be exposed for what it is: worldwide theft. The Ponzi scheme has lasted this long because the whole world is in on the game.
When America No Longer Prints the World’s Reserve Currency ...
counterfeit currency

If the world stopped accepting the US dollar as the world reserve currency, the Ponzi scheme would come to screeching halt and the last forty years of American prosperity would be exposed for what it is: worldwide theft.
The Ponzi scheme has lasted this long because the whole world is in on the game. If you are a very large, old world nation, you are encouraged to print your own worthless currency and trade it for our worthless currency. If you are a small nation, America will send you a river of American dollars to buy your loyalty. If your country is neither big nor small and you are an emerging market with natural resources America wants, America will flex the muscle of its military to convince you to keep your mouth shut.

Brazil, Russia, India, and China (called BRIC) is the largest entity on the global stage. They are tired of the United States stealing from them by trading with a counterfeit currency and they have formed an economic coalition to find a solution. China is America’s largest lender and trading partner and they are worried America is about to default on its bar tab. China manufactures all of the iPads in the world and then trades them for counterfeit American dollars. If you were China, wouldn’t you be worried?

Imagine if the whole world suddenly decides to exchange their dollars for food, energy, labor, and real estate. When the whole world clamors to turn in their US dollars for something of tangible value, a massive influx of worthless dollars will flood the US economy causing tsunami like inflation. America is too deeply in debt to return to a sound money policy where dollars are backed by gold or anything else of intrinsic value. It is only a matter of time before the world abandons the US dollar as a reserve currency (probably replacing the US dollar with a new currency backed by BRIC). In the big scheme of world history, the US dollar has been the world’s dominant reserve currency for a very short time. It would be foolish and arrogant to think the US dollar would have world dominance forever.