Do you care that China has accumulated $ 2 Trillion in dollars and appears to be the only major county at this point that is not shedding Dollars? Is it important to you that China and other Countries have been seriously talking about using something other than the dollar as the international “reserve” currency?
“Market Forces: The Future of the U.S. Dollar” in the Dismal Scientist by Alaistair Chan talks about China’s recent moves to suggest alternate reserve currencies, and China has already moved toward trading with some partners using Yuans.
The fact that faith in the dollar’s stability is under considerable scruitny overseas should tell you something about its future here in the states. As India, Korea and others begin to dump dollars in light of our current policy to print mountains of cash, we may find that there are many dollars and no one wanting to hold them.
If the government wants to print another Trillion dollars because they created a new scheme that is based on a 1930’s law, that’s ok. If they want to bail out the auto industruy a few time . . that sounds good, the airline industry, why not, we wouldn’t want them to go out of business, would we?
Fiscal responsibilty has become an oxymoron. Its my opinion that U.S. citizens don’t really feel responsible for the debt that is being created. They really were not part of the decision-making process that created the debt. If people actually had to sign notes that said theywould repay the $ 118,000 per person, which I’m sure will increase to a significantly higher number in time, they would almost to a person refuse to sign the document, but as long as the government keeps swiping the charge card the bill will keep getting bigger, it becomes less likely that our currency and our way of life will survive.
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I agree with the points made above, and I’d ask what can be done about it at this point?
I think it’s remarkable how China seems to have been able to pull off this long term plan to switch the importance of their currency with that of the US.
That’s a very good point. If you think about it there are other alternative besides dollars and it seems China had seen that.
Each and everyone doesn’t actually sign up on the document wherein every one sake is with, so I hope the government would really consider the benefits we’re gonna have with it.
I think that the fact that China and other countriesare reconsidering using the dollar shows that the US no longer has the economic strength that they once had. Where other countries used to follow and do whatever the US does now they are looking at the US and wondering if we are still as strong as we used to be. I think the US has to take a good long look at what other nations believe and do something to show the world that we are as strong economically as in previous years. I don’t know how the government can do this but it would be nice if they start by looking at its citizens. If the citizens of the US have no faith in the government how can other countries have faith?
Yeah i think its true US citizens have nothing to do with the debts being created , but still its the taxpayers money who pays it..meaning still unknowingly its them who pays the debts! just like what happens globally..the decision of the government on loans and everything its the constituents who always suffer in the end unless the result is a good one! when we talk about government it means us, so that we must be careful in selecting/electing the representative of the government in that effect. Our future depend on them.
Well, we can’t say for certain if it’ll still help even the gov’t get our faith back to our own currency. After China pointed out to the world that there really are other alternative currency besides dollar, I don’t think other countries would still choose US dollar that easily.
Do you think dollar would still prevail in the next years. Because if this is the reality then this means people are now looking for other possibilities in the currencies and this can be a problem. Dollar is the currency that ha always been accepted right? I wonder if this sort of thng would be detrimental.
I don’t think the Dollar is going to make it, and based on what I have read in the Press the Chinese have the same opinion. Will its loss in value and confidence in it be detrimental? Well if you follow the increasing cost of imported products over the next year, you can formulate a conclusion yourself. My opinion is that it will have a devastating negative effect on our purchasing power.
I’d say that the current rise of the Canadian dollar against the US greenback supports the theory that the US dollar won’t have the staying power it used to have. And the Canadian manufacturers who export are concerned about this, along with those involved in Canadian tourism.
I heard a report the other day that the Canadian economy may have actually already bottomed out and is showing signs of recovery – But a strong US dollar would be helpful to Canada in several ways.
US Dollar is loosing its grip I admit it. But everyone knows that USA is a most powerful country at earth. I think other currencies should take some time to compete US Dollar.
Yes i agree with points mention above. In time there will be a change with the status of Dollar.
well i guess its how nature rules here..sometimes your up and sometimes your down..its like a force of gravity i think..and maybe it could be happening..i mean in the near future dollar would be use only internally..