That is, it would take a prolonged effort to destroy the currency and PANIC from the population, and only works in a developing economy(more or less), when there is a considerable amount of "PRIVATE" debt caught in a bad spiral ( debt money to start businesses - and what we have today is only the FIRE sector that is in a bad spiral, and they pass as not private but "national socialists" [though for legal purposes they ALL are private and some with special charters], that is, they lose and the losses are socialized for future generations to pay, by the way of bailouts )...
3 factors :
1) lack of generalized resources in a country and no currency value to buy it from abroad(USA has plenty of resources- its big- and the dollar is still a world reserve currency) ;
2) Panic from the population not by the lack of money but by lack of "RELATIVE" value of it. Actually the clima is "deflation" and will continue because medium earnings (salaries) are decreasing in "RELATIVE" value to the power of the currency, not that prices are exploding ’per se’ - its not the prices that are higher and higher, its you that don’t earn enough(less and less) units of the denominated currency - many countries that were more or less ok trough many crises ended up with bank notes in the 10K and 100k of the currency units ;
3)the most important trigger is considerable amount of "PRIVATE" (sovereign countries=governments with sovereign currency can issue currency to the infinity) debt caught in a bad spiral, that is, the greedy exploitation from loaners about the "perceived" clima by continuously rising "interest" demanded for servicing the debt, pushes hard for businesses to raise prices incontrollably) ;
So INFLATION = INTEREST EXPLOITATION as it most effective extrapolation. USA is in a funny situation because its the FIRE sector that has the most astronomical amount of debt = out of balance sheets = relative to the casino bets on wall street derivatives bubbles. They will not trigger INTEREST EXPLOTATION because are they who will lose the most(if it where the ppl it would had been done a long time ago)... matter of fact the clima is opposite with interests from central bank going close to ZERO = NADA!!)
Thought the Bush and now Obama administrations have done a great job of trying to destroy the dollar - in a absolute enormous level of corruption, including too many stupid wars( the distraction factor), to put the nation in private "internationalist" hands (Vatican bank the world biggest holder of gold by an enormous advantage[5 centuries collecting it] , and associated BIS interests) - to the point its clear that the FED is a foreign instrument to the ppl, not necessarily to the country, and the government is its lackey and does not serve the ppl in any way - which amounts to massive treason at all levels(not any other way to put it).
The American population has a great trump to end it tomorrow... only if they understand... go and take the money out of the banks!.. that ’s right! a CLEVER SOFT run on the banks ( hide it underground, under the matches in the underware... and spend it wisely=local businesses)... and this before the banks take the money from the population(like in Argentina)... and ’chip’ them(population)... and a sudden chock is better than a prolonged agony before things change( Argentina is thriving now considering the very bad clima, and even showed the finger to the IMF recently- the USA could do a lot better).
In a word, in an economy like USA - NO!
That is, it would take a prolonged effort to destroy the currency and PANIC from the population, and only works in a developing economy(more or less), when there is a considerable amount of "PRIVATE" debt caught in a bad spiral ( debt money to start businesses - and what we have today is only the FIRE sector that is in a bad spiral, and they pass as not private but "national socialists" [though for legal purposes they ALL are private and some with special charters], that is, they lose and the losses are socialized for future generations to pay, by the way of bailouts )...
3 factors :
1) lack of generalized resources in a country and no currency value to buy it from abroad(USA has plenty of resources- its big- and the dollar is still a world reserve currency) ;
2) Panic from the population not by the lack of money but by lack of "RELATIVE" value of it. Actually the clima is "deflation" and will continue because medium earnings (salaries) are decreasing in "RELATIVE" value to the power of the currency, not that prices are exploding ’per se’ - its not the prices that are higher and higher, its you that don’t earn enough(less and less) units of the denominated currency - many countries that were more or less ok trough many crises ended up with bank notes in the 10K and 100k of the currency units ;
3)the most important trigger is considerable amount of "PRIVATE" (sovereign countries=governments with sovereign currency can issue currency to the infinity) debt caught in a bad spiral, that is, the greedy exploitation from loaners about the "perceived" clima by continuously rising "interest" demanded for servicing the debt, pushes hard for businesses to raise prices incontrollably) ;
So INFLATION = INTEREST EXPLOITATION as it most effective extrapolation. USA is in a funny situation because its the FIRE sector that has the most astronomical amount of debt = out of balance sheets = relative to the casino bets on wall street derivatives bubbles. They will not trigger INTEREST EXPLOTATION because are they who will lose the most(if it where the ppl it would had been done a long time ago)... matter of fact the clima is opposite with interests from central bank going close to ZERO = NADA!!)
Thought the Bush and now Obama administrations have done a great job of trying to destroy the dollar - in a absolute enormous level of corruption, including too many stupid wars( the distraction factor), to put the nation in private "internationalist" hands (Vatican bank the world biggest holder of gold by an enormous advantage[5 centuries collecting it] , and associated BIS interests) - to the point its clear that the FED is a foreign instrument to the ppl, not necessarily to the country, and the government is its lackey and does not serve the ppl in any way - which amounts to massive treason at all levels(not any other way to put it).
The American population has a great trump to end it tomorrow... only if they understand... go and take the money out of the banks!.. that ’s right! a CLEVER SOFT run on the banks ( hide it underground, under the matches in the underware... and spend it wisely=local businesses)... and this before the banks take the money from the population(like in Argentina)... and ’chip’ them(population)... and a sudden chock is better than a prolonged agony before things change( Argentina is thriving now considering the very bad clima, and even showed the finger to the IMF recently- the USA could do a lot better).