American Insolvency?

[sparky]

Dollar Decline vs. Dollar Collapse

The decline of the U.S. dollar is very different from a collapse. One could occur if it loses its status as a global currency.

www.thebalance.com

are we?

opinions?


~S~

 

[JackOfNoTrades]

Possible. But unlikely. At least not in the near future. Hence the worries of our children and grandchildren.
Print more. Borrow more. Trade offs and crossing fingers.
Where is the US government getting all the money it’s spending in the coronavirus crisis?

 

[sparky]

hmmmm, lotta if ands butts, and possible trajectories there Jack

maybe i should ask what are the signs & symptoms ?

~S~

 

[Gdjjr]

All empires have collapsed. It's not if but when-

 

[Gdjjr]

I posted something similar to this article a few weeks ago- China and Japan own a lot- not just Treasury's but property- real property- tangibles whose values would be ruined so it wouldn't make any economic sense for China to intentionally cause the problems we're having- unless they plan on invading us militarily- then all bets are off.

 

[sparky]

I posted something similar to this article a few weeks ago- China and Japan own a lot- not just Treasury's but property- real property- tangibles whose values would be ruined so it wouldn't make any economic sense for China to intentionally cause the problems we're having- unless they plan on invading us militarily- then all bets are off.

maybe the invasion is economic Gdjjr......

~S~

 

[Gdjjr]

maybe the invasion is economic Gdjjr......

They may be dumb but they ain't crazy- they have a lot, economically, invested in this Country- or they may be crazy but not dumb- either way it makes no sense for them to wreck us economically as the entire world economic system would collapse as well as all societies including theirs- we have more to fear from the crooks already here residing in the halls of congress- those empty suits can use the color of law to ruin us- oh, wait!

 

[sparky]

maybe the invasion is economic Gdjjr......

They may be dumb but they ain't crazy- they have a lot, economically, invested in this Country- or they may be crazy but not dumb- either way it makes no sense for them to wreck us economically as the entire world economic system would collapse as well as all societies including theirs- we have more to fear from the crooks already here residing in the halls of congress- those empty suits can use the color of law to ruin us- oh, wait!

so if we loose, they do too?
now this is sounding like a game of chicken Gdjjr

~S~

 

[Gdjjr]

so if we loose, they do too?

yep- I don't make the rules I just see the game being played.

now this is sounding like a game of chicken Gdjjr

The only winner(s) are those who can adapt- it's been that way since man has been here.

 

[georgephillip]

Dollar Decline vs. Dollar Collapse

The decline of the U.S. dollar is very different from a collapse. One could occur if it loses its status as a global currency.

www.thebalance.com

are we?

opinions?


~S~

Your link:

"Two conditions must be in place before the dollar could collapse. There must be an underlying weakness in the value of the U.S. dollar, and there must be a viable alternative."

I see the underlying weakness.
Where's the viable alternative?

 

[sparky]

I see the underlying weakness.
Where's the viable alternative?

Alternative......or Ultimatum ......i'm unsure ,and to be quite frank am somewhat at a loss for the math ......

seeing a lot of this online lately.....>>>>

Why the coming recession could force the Federal Reserve to swap greenbacks for digital dollars

Paper bank notes are being upgraded for a digital future around the world.

www.marketwatch.com

~S~

 

[Denizen]

A collapse of US exports could trigger a sharp drop in the US$.

Military sales and Boeing exports account for about $40 billion of USA's exports. These could fall to zero if countries are strapped for cash for many years and the airline industry has not recovered. Boeing has a bigger effect on domestic aircraft sales.

Apart from the effect on foreign exchange, a decrease in exports will also have negative internal effects on jobs.

Because the US economy is the biggest foreign capital will always flow in and nothing much would change that other than the government taxing capital inflow to encourage the US$ to fall.

 

[sparky]

yep- I don't make the rules I just see the game being played.

I don't even understand the rules existing on the bottom of an immense socio-economic maelstrom churning it's way to perdition....

~S~

 

[georgephillip]

I see the underlying weakness.
Where's the viable alternative?

Alternative......or Ultimatum ......i'm unsure ,and to be quite frank am somewhat at a loss for the math ......

seeing a lot of this online lately.....>>>>

Why the coming recession could force the Federal Reserve to swap greenbacks for digital dollars

Paper bank notes are being upgraded for a digital future around the world.

www.marketwatch.com

~S~

Your link:


"A wake-up call for many central bankers has been Facebook Inc.’s FB, +2.66% proposed cryptocurrency, Libra. Given Facebook’s scale — it claims nearly 2.5 billion users worldwide — a successful rollout of its own digital currency could give it unprecedented power over the global economy.

"Cash usage in the United States is nowhere near as low as in Sweden, but studies suggest that it is declining, from 31% of all transactions in 2016 to 26% in 2018, with cash use most predominant in small transactions. Only 6% of purchases of more than $100 were made with cash last year, according to the Federal Reserve."

Could a cash-less society be one of the consequences of Covid-19?

 

[Gdjjr]

FaceBook is no more reliable than the fed reserve and is clearly more biased in their political leanings-

The fed reserve, for the enormity of not just our economy, but the world's, doesn't do a bad job- it's that it has a job is what's disturbing. FaceBook can barely manage itself, never mind a world wide economic system-

 

[Gdjjr]

I don't even understand the rules existing on the bottom of an immense socio-economic maelstrom churning it's way to perdition....

I expect you don't give yourself enough credit

 

[georgephillip]

The fed reserve, for the enormity of not just our economy, but the world's, doesn't do a bad job- it's that it has a job is what's disturbing. FaceBook can barely manage itself, never mind a world wide economic system

It's hard for me to believe FaceBook really believes itself capable of managing a global currency, but, as I understand it, the Fed is toying with the idea of replacing paper currency with a digital surrogate?

Why the coming recession could force the Federal Reserve to swap greenbacks for digital dollars

"A movement, meanwhile, has been brewing among economists, financial-services professionals and central bankers to encourage a rethinking of the technology of currency — those paper notes we carry in our wallets — with an eye toward issuing a digital currency.

"Some argue that could give central banks the tools necessary to break free of chronic disinflation and persistently low or negative interest rates, while providing Americans a risk-free means to transact in a world where digital commerce constitutes a growing share of the economy.

"'The debate isn’t about whether we need [a digital currency],' Michael Bordo, an economist at Rutgers University and a fellow at the Hoover Institution, the public-policy think tank at Stanford University, told MarketWatch. 'It’s about how you do it.'"

 

[ReinyDays]

Will the US dollar lose it's value in international commerce ... who cares ...

Will the US dollar lose it's value here in the US ... never, not unless we amend the Constitution and start letting each State issue their own currency ... noteworthy is that the last time Congress was able to send an amendment to the States was March 23rd, 1971 ... 49 years ago ... I think it's safe to assume the current members of Congress have forgotten how to send an amendment to the States now that John McCain has passed away ...