- Williams has missed the fact that there are two loops
-- one with plentiful dollars and the other, the domestic economy loop,
with deflation and high monopoly prices. Actually the prices of distressed
assets are very low for those buying US real assets -- land, homes, factories,
privatized public utilities.
-
- Williams thinks the dollar is being inflated to destroy
the national debt. But the debt is owned by the people who also own most
of the dollars. Right now they are selling their securities to the Fed
and buying dollars in order to purchase US assets.
-
- Williams says nations are shifting away from the dollar
- this is not true. They can't. There is no currency that is available
to them (China's currency is not available to them) that is big enough
and stable enough and independent of the dollar enough to take the shift.
When the Euro was strong there was a chance of currency speculators leveraging
a dollar collapse.
-
- The money power has gone long, not short, on the dollar.
It is the US securities that are shaky, not the dollar. The world is
heading towards what that old taboo, repudiation of debt. When that happens
the dollar will still be around. The Euro and the US securities and gold
will fall agains the dollar on international markets.
-
- Everybody needs to realize that a collapse of the US
economy spells the end of US securities. The dollar however is independent
of that collapse. The dollar is not really a United States currency.
The Fed is not really tied to the US and will not share the fact of the
United States failure to meet its debt obligations.
-
- Not only is are domestic prices going up because of monopoly
pricing of gasoline and food -- but they are also going up because credit
is not being extended to the US because of correctly perceived inability
to pay. This is a crisis of US securities, not of the dollar. The dollar
buys the land -- the securities buy the governments promise to squeeze
its taxpayers for interest payments. It is the latter that is failing,
not the former.
-
- The dollar is as sound as . . . guess what?
-
- Dick Eastman
- Yakima, Washington
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