Originally Posted by partdeux
Oil and food are principally traded on the dollar. We are trashing the dollar by printing lots of extra dollars, which has a HUGE impact on people that must buy things... like food, based on the dollar.
What would you call 50% of the households that receive at least some of their money from the govt, 50% of the population that does not pay income tax, huge increase in general welfare, etc etc etc? How about the United States. Do you realize when you apply GAAP accounting standards to the US debt, we are actually in worse shape then Greece? These are the same accounting standards the US govt requires of all public traded corporations.
We are the global trading currency of the world. There is NOBODY else prepared to take over that role. This will work, right up until the trust leaves the system. Not many people realize that's what happened in '08, the trust suddenly evaporated when they realized that AIG and Lehman couldn't cover their bets.
Dont forget about MF GLobal! They made one too many bad investments and they went under. Instead of liquidating and trying to repay the investors who funded the venture, MF Global was "allowed" to pay off the banks that backed them first! This set a precedent for no accountability! This is a prime example of corrupt politicians helping out their buddies! This kind of stuff gets me fired-up!!! Thank God I live in TEXAS!