US Dollar in free fall

[thereisnospoon]

News Headlines.
For those of you who blame speculation on oil prices as the sole reason for the recent price spikes in gasoline, look no further than Capitol Hill and 1600 Pennsylvania Ave to point the finger. Oh you can add the Federal Reserve as well.
Anything which ties it's value to the US Dollar will see huge price increases for the foreseeable future due to out of control government spending, an increasingly illogical domestic energy policy and the Federal Reserve's refusal to raise interest rates and take action to correct it's monetary policies.

 

[JackDan]

this spells trouble. gold, silver, nickel, copper, and all precious metals and commodities are going to keep going up. hopefully you have been moving your greenbacks into these categories.

 

[LordBrownTrout]

Big time troubles are looming.

 

[Toro]

The US peso.

I will pedict this though. Sometime within the next 12-18 months there is going to be a violent rally in the dollar and precious metals are going to get hammered. But you should put zero credence in predictions.

 

[Mr. H.]

Yeah and oil will crater too. Maybe just in time for the elections. Convenient.

 

[JackDan]

pretty much the US needs to cut all spending. shrink the government completely. Get rid of all the handouts to both people and big business. Cut the deficit. do it now. not just a little, all of it. This country needs to run like a business, and business can't survive in the red forever.

This will never happen, but it is the only way to right the ship.

 

[JackDan]

The US peso.

I will pedict this though. Sometime within the next 12-18 months there is going to be a violent rally in the dollar and precious metals are going to get hammered. But you should put zero credence in predictions.

I could see it.

 

[LordBrownTrout]

I'm starting my third company and this is the first time that I've ever had to worry/contemplate have contingency plans on a horrid dollar crash.

 

[william the wie]

As best of the worst on unfunded liabilities the US dollar will eventually rally. The iron rice bowl of the Chinese housing bubble assures that, as China's export machine gets hurt by the declining dollar and China's own shrinking labor force the dollar will be forced up. Likewise with the EU.

 

[signelect]

When we start to elect businessmen and women to congress and elect presidents with real world experience where you have to understand basic economics we are going to continue down the road. Blame Bush all you like, we blamed Clinton, but now it's your turn again, wear it like a man.

 

[william the wie]

The sinking dollar will do wonders for our trade balance.

 

[MikeK]

pretty much the US needs to cut all spending. shrink the government completely. Get rid of all the handouts to both people and big business. Cut the deficit. do it now. not just a little, all of it. This country needs to run like a business, and business can't survive in the red forever.

This will never happen, but it is the only way to right the ship.

I frequently hear the, "get rid of handouts," refrain but it's never supported by specifics.

You've included big business in your recommendation, which is a plainly comprehensible specific and one I readily agree with. But your reference to "people" is entirely generic, so I can't say I agree or disagree with it.

Which "people" do you believe should be cut off from federal aid? All recipients? If so, how do you suggest we get rid of all the corpses that will derive from starvation and untreated illnesses? Burial? (Where?) Cremation (Hmmm.)

Have you thought about how to control the multitude of new homeless who will inhabit the Nation's streets? And have you considered the cost of policing and imprisoning the wave of property criminals who will necessarily need to steal and rob to survive?

I don't know how you feel about it but the thought of millions of dying, sick and hungry people living on the streets is rather depressing to me.

But if you wish to get rid of the "handouts" to only specific categories, please tell me which ones so I can either agree or disagree.

 

[JackDan]

pretty much the US needs to cut all spending. shrink the government completely. Get rid of all the handouts to both people and big business. Cut the deficit. do it now. not just a little, all of it. This country needs to run like a business, and business can't survive in the red forever.

This will never happen, but it is the only way to right the ship.

I frequently hear the, "get rid of handouts," refrain but it's never supported by specifics.

You've included big business in your recommendation, which is a plainly comprehensible specific and one I readily agree with. But your reference to "people" is entirely generic, so I can't say I agree or disagree with it.

Which "people" do you believe should be cut off from federal aid? All recipients? If so, how do you suggest we get rid of all the corpses that will derive from starvation and untreated illnesses? Burial? (Where?) Cremation (Hmmm.)

Have you thought about how to control the multitude of new homeless who will inhabit the Nation's streets? And have you considered the cost of policing and imprisoning the wave of property criminals who will necessarily need to steal and rob to survive?

I don't know how you feel about it but the thought of millions of dying, sick and hungry people living on the streets is rather depressing to me.

But if you wish to get rid of the "handouts" to only specific categories, please tell me which ones so I can either agree or disagree.

This converation could go a many of ways. Since it will never happen, there is no reason to argue but I would give you some specifics of an overall plan to reduce handouts and the deficits. I would pretty much just cut everything I could. Now don't get me wrong here, I think that most of these things are really good for society, but not for our debt, so as a business owner I would simply cut them. You are speaking from a quality of life issue and I am speaking fiscally. Eventually if we were to experience hyper inflation and the dollar collapsed and a loaf of bread was 10,000$, then your senario would play out anyway. It would be the same thing with people in the streets and crime you speak of. So why not try to prevent it ahead of time by cutting the things you can? Social programs have gotten out of control, and the government has grown to be too large. Also it would be temporary, and some things you could cut wouldn't even effect people in this country.

Absolutely zero funds going to:
foreign aid
illegal immigrants - free schooling, health, and everything else that entails,
Politicians (no salary at all, make it public service)
special interests - from planned parenthood, labratories, colleges, and companies, the government funds to many different things and it just needs to back off for now.

I would largely decrease funds to:
defense spending
New road construction
overall government - buildings, staff, panels,commitees, etc.
welfare
foodstamps
unemployment


Yes some of these last ones will hit home for you, and yes I believe they are necessary to some degree. As I said this would be scaled back to save money because it has proven that we are not sustainable at this rate of spending. I think you are over estimating the amount of people that would die, millions? Probably not. Just think of it as survival of the fittest and the USA population correcting itself to sustainable levels.

On the flip side, do you propose we just keep giving out more and more and more until we become a third world country?

 

[thereisnospoon]

The sinking dollar will do wonders for our trade balance.

the economy will slow dramatically as consumers slam shut their wallets.

 

[thereisnospoon]

pretty much the US needs to cut all spending. shrink the government completely. Get rid of all the handouts to both people and big business. Cut the deficit. do it now. not just a little, all of it. This country needs to run like a business, and business can't survive in the red forever.

This will never happen, but it is the only way to right the ship.

I frequently hear the, "get rid of handouts," refrain but it's never supported by specifics.

You've included big business in your recommendation, which is a plainly comprehensible specific and one I readily agree with. But your reference to "people" is entirely generic, so I can't say I agree or disagree with it.

Which "people" do you believe should be cut off from federal aid? All recipients? If so, how do you suggest we get rid of all the corpses that will derive from starvation and untreated illnesses? Burial? (Where?) Cremation (Hmmm.)

Have you thought about how to control the multitude of new homeless who will inhabit the Nation's streets? And have you considered the cost of policing and imprisoning the wave of property criminals who will necessarily need to steal and rob to survive?

I don't know how you feel about it but the thought of millions of dying, sick and hungry people living on the streets is rather depressing to me.

But if you wish to get rid of the "handouts" to only specific categories, please tell me which ones so I can either agree or disagree.

Oh please. Here we go ..The "homeless dying in the streets"; "starving children" straw man argument....
Thwe federal government does NOT keep people in their homes with spending on social entitlements. The amount of crime does not increase with reductions on social spending.
Those arguments are horseshit political blurbs from elected officials who's political careers continue based on the amount of government dependency they can create.
Sen Charles Schumer (D-NY) was quoted referring to the original GOP plan to cut the budget by $60billion as "draconian"....$60 billion of $3 trillion is less than one half of one percent of the total budget. This is the shit we have to put up with. Lies and deception.
Your argument that in the absence of social entitlements we will have mob rule where criminals will be created out of decent people is nonsense. Excusing this is even worse.
Look, if you think the world needs saving, write a check.

 

[JackDan]

Look, if you think the world needs saving, write a check.

couldn't agree with you more spoon.

 

[william the wie]

The sinking dollar will do wonders for our trade balance.

the economy will slow dramatically as consumers slam shut their wallets.

People will hold on to rapidly depreciating dollars during inflation or foreign consumers will not buy ever cheaper America imports in the EU and Far East?

 

[Trajan]

As best of the worst on unfunded liabilities the US dollar will eventually rally. The iron rice bowl of the Chinese housing bubble assures that, as China's export machine gets hurt by the declining dollar and China's own shrinking labor force the dollar will be forced up. Likewise with the EU.

yes but the tripod like a triumvirate is the weakest of structures...

 

[thereisnospoon]

pretty much the US needs to cut all spending. shrink the government completely. Get rid of all the handouts to both people and big business. Cut the deficit. do it now. not just a little, all of it. This country needs to run like a business, and business can't survive in the red forever.

This will never happen, but it is the only way to right the ship.

I frequently hear the, "get rid of handouts," refrain but it's never supported by specifics.

You've included big business in your recommendation, which is a plainly comprehensible specific and one I readily agree with. But your reference to "people" is entirely generic, so I can't say I agree or disagree with it.

Which "people" do you believe should be cut off from federal aid? All recipients? If so, how do you suggest we get rid of all the corpses that will derive from starvation and untreated illnesses? Burial? (Where?) Cremation (Hmmm.)

Have you thought about how to control the multitude of new homeless who will inhabit the Nation's streets? And have you considered the cost of policing and imprisoning the wave of property criminals who will necessarily need to steal and rob to survive?

I don't know how you feel about it but the thought of millions of dying, sick and hungry people living on the streets is rather depressing to me.

But if you wish to get rid of the "handouts" to only specific categories, please tell me which ones so I can either agree or disagree.

This converation could go a many of ways. Since it will never happen, there is no reason to argue but I would give you some specifics of an overall plan to reduce handouts and the deficits. I would pretty much just cut everything I could. Now don't get me wrong here, I think that most of these things are really good for society, but not for our debt, so as a business owner I would simply cut them. You are speaking from a quality of life issue and I am speaking fiscally. Eventually if we were to experience hyper inflation and the dollar collapsed and a loaf of bread was 10,000$, then your senario would play out anyway. It would be the same thing with people in the streets and crime you speak of. So why not try to prevent it ahead of time by cutting the things you can? Social programs have gotten out of control, and the government has grown to be too large. Also it would be temporary, and some things you could cut wouldn't even effect people in this country.

Absolutely zero funds going to:
foreign aid
illegal immigrants - free schooling, health, and everything else that entails,
Politicians (no salary at all, make it public service)
special interests - from planned parenthood, labratories, colleges, and companies, the government funds to many different things and it just needs to back off for now.

I would largely decrease funds to:
defense spending
New road construction
overall government - buildings, staff, panels,commitees, etc.
welfare
foodstamps
unemployment


Yes some of these last ones will hit home for you, and yes I believe they are necessary to some degree. As I said this would be scaled back to save money because it has proven that we are not sustainable at this rate of spending. I think you are over estimating the amount of people that would die, millions? Probably not. Just think of it as survival of the fittest and the USA population correcting itself to sustainable levels.

On the flip side, do you propose we just keep giving out more and more and more until we become a third world country?

Infrastructure and national defense are essential functions of government. So is "promoting the general welfare" of the people....
Now, let's address social spending.....In and of itself, social programs are not the problem. It is the administration of said programs. The cost to administer these programs eats up nearly half of the funding. This is due to the number of employees to do the work. Add to that the bureaucratic costs. Few would disagree with the idea of social safety nets provided these things were well run and not full of non-essential employees and un-elected bureaucrats who's job it is to keep their job.

 

[thereisnospoon]

The sinking dollar will do wonders for our trade balance.

the economy will slow dramatically as consumers slam shut their wallets.

People will hold on to rapidly depreciating dollars during inflation or foreign consumers will not buy ever cheaper America imports in the EU and Far East?

Happens every time there is economic malaise. People simply stop spending.