[poll] - The U.S. Dollar Collapse Is Accelerating

[adamstgBit]

http://youtu.be/US0c8POzIR4

is the CAD doomed aswell?  http://seekingalpha.com/article/1139891-can-the-canadian-dollar-collapse?source=google_news

[1714148598]

1714148598

[1714148598]

1714148598

[1714148598]

1714148598

[humanitee]

When he showed the OBV for the dollar I about shit my pants. Dat volume.

[XxionxX]

I keep reading all this stuff about the dollar, and I feel like I should find some people saying some kind of opposition. Does anyone NOT think the dollar will collapse? Why? This all seems like a far off doomsday scenario even though I understand that this is happening now. Even though I understand, I can't believe it. Why aren't more people worried? I am prepping with what little I have... Not like hedging your bets ever hurt anyone.

[humanitee]

Just go read something by Paul Krugman, the international man of idiocy.

[cypherdoc]

I keep reading all this stuff about the dollar, and I feel like I should find some people saying some kind of opposition. Does anyone NOT think the dollar will collapse? Why? This all seems like a far off doomsday scenario even though I understand that this is happening now. Even though I understand, I can't believe it. Why aren't more people worried? I am prepping with what little I have... Not like hedging your bets ever hurt anyone.

i go over this alot in my newsletter.  it's called the deflationary theory.

[XxionxX]

Here is a great article contrasting the two views.

[adamstgBit]

I keep reading all this stuff about the dollar, and I feel like I should find some people saying some kind of opposition. Does anyone NOT think the dollar will collapse? Why? This all seems like a far off doomsday scenario even though I understand that this is happening now. Even though I understand, I can't believe it. Why aren't more people worried? I am prepping with what little I have... Not like hedging your bets ever hurt anyone.

i go over this alot in my newsletter.  it's called the deflationary theory.

deflation is unacceptable!
governments will fight deflation with inflation, no matter what.

[cypherdoc]

I keep reading all this stuff about the dollar, and I feel like I should find some people saying some kind of opposition. Does anyone NOT think the dollar will collapse? Why? This all seems like a far off doomsday scenario even though I understand that this is happening now. Even though I understand, I can't believe it. Why aren't more people worried? I am prepping with what little I have... Not like hedging your bets ever hurt anyone.

i go over this alot in my newsletter.  it's called the deflationary theory.

deflation is unacceptable!
governments will fight deflation with inflation, no matter what.

until they lose control.

[XxionxX]

Here is a great article contrasting the two views.

I particularly like this quote from Krugman in the Rolling Stone article:

The deficit is way overstated as an immediate action-forcing issue. It's something to worry about over the next decade, but not something that should be dictating your policies right now

Lol wut? You mean, just let the kids in 10 years handle it!? Wtf is this? This is the opposition!?

From his opinion column in the NYT:

You say in the book that higher inflation would be a good thing. That's not something you hear very often.There's nothing in the Fed's charter that says inflation has to be at 2 percent. Back when Ronald Reagan was president they used to consider 4 percent perfectly OK.

I was going to try and play devil's advocate in this thread, but I don't even understand what this man is saying anymore. I think I need to read some more about Keynesian economic theory before I can understand what is going on here...

Can anyone explain this to me?

[btcprophet]

I know nothing about nothing but here it goes:


Kurgman's position isn't 'party hard on a credit card, let our kids pay for it'. It's a pragmatic observation that if you drastically slash spending in a sluggish economy to balance the budget, you'll inevitably tank the economy and thus also reduce tax income - leaving you with a deficit again plus a nasty recession. And a ginormous debt that we already have that our kids will inherit minus any means to ever pay it down.


Economy is not a zero sum game. Government doesn't (just) spend money on hookers and blow, it educates the next generations of our workforce, builds crucial infrastructure, funds early (commercially unviable) r&d that will power the economy that our kids will work in. That's not wasteful spending that our kids will have to pay for, it's a crucial investment in their future.


Now I believe that the economy is a ridiculously complex, recursive system that we just can't model. Both Keynesians and Austrians latched onto different bits that kind of make sense but neither can guarantee what's going to happen 10 years from now. Interestingly I think there's little disagreement about the effects of 'real' austerity - the death spiral of the current system. From what I can tell, that's kind of the goal of many austrolibertarians - they want to rebuild from there on their (somewhat idealistic) principles. Growing up on the wrong side of the iron curtain has left me deeply suspicious of idealists .


TLDR: we appear to be on course to economic Armageddon
Austrians: nuke it now and start over with gold!
Keynesians: poke it like we always did but harder! If that doesn't work, it'll nuke itself

[sunnankar]

Economy is not a zero sum game. Government doesn't (just) spend money on hookers and blow, it educates the next generations of our workforce, builds crucial infrastructure, funds early (commercially unviable) r&d that will power the economy that our kids will work in. That's not wasteful spending that our kids will have to pay for, it's a crucial investment in their future.


Now I believe that the economy is a ridiculously complex, recursive system that we just can't model. Both Keynesians and Austrians latched onto different bits that kind of make sense but neither can guarantee what's going to happen 10 years from now.

Yes, all government does is waste capital because it has no pricing mechanism to perform economic calculation like the market that arises from voluntary human action.

And it is the Austrian school which makes the assertion that you cannot guarantee things in economics because of human action which is inherently unpredictable. So, you misstated.

[Qoheleth]

Yes, all government does is waste capital because it has no pricing mechanism to perform economic calculation like the market that arises from voluntary human action.

Come now. It's totally possible to have a government that spends money without totally invalidating its nation's markets. If the US doesn't have a pricing mechanism, who's telling the grocery store how much to charge for my peanut butter?

The economic calculation problem is the wogly in command economies, not all government spending everywhere.

[cypherdoc]

Yes, all government does is waste capital because it has no pricing mechanism to perform economic calculation like the market that arises from voluntary human action.

Come now. It's totally possible to have a government that spends money without totally invalidating its nation's markets. If the US doesn't have a pricing mechanism, who's telling the grocery store how much to charge for my peanut butter?

The economic calculation problem is the wogly in command economies, not all government spending everywhere.

talk to me about Libor.  it's only the most fundamental interest rate upon which all bonds are priced and thus every other risk asset.

[notme]

Yes, all government does is waste capital because it has no pricing mechanism to perform economic calculation like the market that arises from voluntary human action.

Come now. It's totally possible to have a government that spends money without totally invalidating its nation's markets. If the US doesn't have a pricing mechanism, who's telling the grocery store how much to charge for my peanut butter?

The economic calculation problem is the wogly in command economies, not all government spending everywhere.

talk to me about Libor.  it's only the most fundamental interest rate upon which all bonds are priced and thus every other risk asset.

Yep... It's the bankers controlling the peanut butter prices, not the peanut farmers or the grocery store, who should be the two actors concerned with pricing.

[Richy_T]

Yes, all government does is waste capital because it has no pricing mechanism to perform economic calculation like the market that arises from voluntary human action.

This is less of an issue than the fact that in the waste of that capital, it consumes goods services and labor.

For example, Instead of doing something that helps grow the economy, Billy Bob is standing around in the airport, frisking up innocent civilians. Jimmy Joe is managing Billy Bob and friends, Mary Sue is managing their payroll, Marky Mark is cleaning their crapper, Big Dave is building the office they all work in and *it's all for nothing*. Repeat this many, many times over. It's a tragedy of waste.

[Walter Rothbard]

And a ginormous debt that we already have that our kids will inherit

ARE WE MARRIED??

 

[notme]

And a ginormous debt that we already have that our kids will inherit

ARE WE MARRIED??

 

He's probably speaking as a US citizen and by "we" he means other citizens.

[XxionxX]

I am no economist but... This is looking like it might be bad(Or good if you hold silver, gold, or bitcoins).

[adamstgBit]

I am no economist but... This is looking like it might be bad(Or good if you hold silver, gold, or bitcoins).

Weed has been under price for years now... fuck gold and silver buy weed and bitcoins.

[XxionxX]

I am no economist but... This is looking like it might be bad(Or good if you hold silver, gold, or bitcoins).

Weed has been under price for years now... fuck gold and silver buy weed and bitcoins.

I have plenty of weed, it is the others I need.