Article from Forbes discussion on USD collapse

[eljefino]

Only way to solve is to strike fear of god into poorly managed investment agencies and tank the economy in an everything everywhere all at once failure.

If you want to do this, arrest the CEOs for fraud based on whatever optimistic outlooks they sign off on with their annual reports. Think of Enron, when the guy was telling his subordinates to buy stock in his company while he was selling off his. Watch how quickly the others will revise their rosy statements!

The problem with America isn't "the poors", they don't have enough influence.

 

[nickaluch]

If you want to do this, arrest the CEOs for fraud based on whatever optimistic outlooks they sign off on with their annual reports. Think of Enron, when the guy was telling his subordinates to buy stock in his company while he was selling off his. Watch how quickly the others will revise their rosy statements!

The problem with America isn't "the poors", they don't have enough influence.

The CEO of Enron went to prison for 12 years my opinion got off easy his original sentence was 24 but with appeals it got knocked down. I think the other Enron guy died before the trial can't remember his name.

 

[dubber09]

If I understand it correctly 2025 is when the USA hits the wall, that's when the country will be making debt payments covering interest only and none will go into principal.

 

[SC Maintenance]

If I understand it correctly 2025 is when the USA hits the wall, that's when the country will be making debt payments covering interest only and none will go into principal.

I think the last time we paid any federal debt principal at all was a couple quarters in 2000 and I think that was an accounting gimick in how treasuries rolled over, and it was an extremely small amount at that. We run a deficit - meaning we accrue debt every year - never pay any principal back. Its been interest only payments for decades.

 

[dumkid]

Im surprised this isn't locked

 

[GON]

Im surprised this isn't locked

Why?

This has been a discussion with numerous points of view that has been civil, on a subject that may be of great importance to all of us, regardless of one's assessment of the future standing on the USD. No political or other violations of BITOG terms of service have been part of this thread.

 

[dumkid]

Why?

This has been a discussion with numerous points of view that has been civil, on a subject that may be of great importance to all of us, regardless of one's assessment of the future standing on the USD. No political or other violations of BITOG terms of service have been part of this thread.

Fair enough. Most threads like this one have a bunch of deleted political posts so the moderators shut it down

 

[daves87rs]

The USD needs a bit of help from being sold too far down the road. Some of the biggest issues:

1. Profit at all costs. It’s great that Wall Street can fatten your 401k, but most profit tends to be short sided with no long term benefit. With everything going on, most profits are not simply substainable without even more cuts and consolidation of major companies…….

2. Transparent spending. Would be nice to know where the money goes….

3. Way more things built here. Spending and earning done here….

 

[wpod]

The cost of our government , military [the size and their constant warring] , foreign aid and welfare bankrupted us and destroyed this republic,,, all going as planned if we paid attention. I wonder if the taxpayers will tire of the politician thieves stealing and redistributing their income, well actually printing money which causes a decrease in value,. I remember gold costing $350.00 per ounce and the last time I looked it was close to $2000.00 per ounce. Gold is what you buy with extra money. If the stocks amounts are big , some property investments, a ash cushion etc and what to do with some extra money buy some Gold ! The taste on it , the feel of it ,the smell of it. Like any commodity I would bet the price of Gold is manipulated.

 

[BMWTurboDzl]

Article from Forbes implying the massive rise in Bitcoin and gains in gold is in reference to a future USD collapse.

Over the past months, I have tried to understand this, without clear comprehension. One thing I speculate is that all the worlds currencies are being printed, so devaluing all currencies masks the printing of USDs.

What I can't figure out is the Kuwait Dinar. One of the worlds strongest currency, by a nation that's exports more than it imports- yet Kuwait also has inflation, and the buying power of their Dinar is not static.

I can't find an example in history where a nation devalues it currency, imports more than it exports, and spends more than it takes in, that has a happy ending. The Roman empire is a good case study.

U.S. Dollar Death Spiral âCrisisâ Fears Grow After Bank Of America Issues Shocking â$1 Trillion Every 100 Daysâ Warning Amid Huge Bitcoin, Ethereum, XRP And Crypto Price Boom

Bank of America analysts have warned the U.S. debt load is about to ramp up to add $1 trillion every 100 daysâfueling a bitcoin price surge...

www.forbes.com

The USD is a reserve currency which means high demand.

Unlike the Roman Empire and others which came after it there are no gold coins which get refined into new coins but with less gold in them.

The US system is based on "credit dollars" or "dollar substitutes". Basically it's debt and it's debt which is mostly created by the banking sector. Example: You get a loan to buy a car.
The bank creates your loan and deposits those credit dollars into your checking account, you then use those credit dollars to buy the car. A portion of those credit dollars find their way into someone's paycheck and they use it to buy groceries.

If you want to see the scale of credit dollars in the system Google M1. This is the world supply of physical currency. Then look up say the amount of mortgages financed in the US. You're going to see a huge disparity between the two sets of numbers.

As for BTC and Gold. They lack utility. BTC is not free because it requires a lot of energy (power generation) to keep the system afloat. You can't use it if you don't have power. Gold is essentially useless under just about any circumstance other than global collapse of society.

The USG can change the supply of "dollars" via interest rates and taxation. Raising rates pulls money into the Fed because, iirc, the member banks earn a higher rate of return on their deposits at The Fed.

My two cents.

 

[JHZR2]

If you want to do this, arrest the CEOs for fraud based on whatever optimistic outlooks they sign off on with their annual reports. Think of Enron, when the guy was telling his subordinates to buy stock in his company while he was selling off his. Watch how quickly the others will revise their rosy statements!

The problem with America isn't "the poors", they don't have enough influence.

They won’t. Growth and outcomes are the mantra. That’s what gets you hired. Making good on it gets the bonuses.

The problem is that many get bonuses despite poor outcomes, and the pay, bonus or not, is excessive. Now how one defines excessive is subjective in its own right.

Lying outright is different, and should have consequences. Problem is, then figuring all that out just makes the lawyers better off.

There absolutely is an issue with the poor and all the folks who take from the system. It’s just another unfunded liability. Problem is, play Robin Hood to the extreme and at this point, I doubt you could make good for all of them and pay the debt off anyway. That’s scary.

 

[daves87rs]

The cost of our government , military [the size and their constant warring] , foreign aid and welfare bankrupted us and destroyed this republic,,, all going as planned if we paid attention. I wonder if the taxpayers will tire of the politician thieves stealing and redistributing their income, well actually printing money which causes a decrease in value,. I remember gold costing $350.00 per ounce and the last time I looked it was close to $2000.00 per ounce. Gold is what you buy with extra money. If the stocks amounts are big , some property investments, a ash cushion etc and what to do with some extra money buy some Gold ! The taste on it , the feel of it ,the smell of it. Like any commodity I would bet the price of Gold is manipulated.

Money buys you power. Part of the reason for our divide of Americans nearly fighting each other-fear and anger makes money. This goes back to my point of profit. I want companies to make money-but on a level playing field. If there is too much profit money and power- i ends up hurting both the employees and consumers. Healthy competition lets companies grow and innovate.

Gold price is driven by one thing: fear.

 

[GON]

Gold price is driven by one thing: fear.

The question is... Is the fear warranted and rational? I have zero knowledge, but would find interesting to know how much if any physical gold Bill Gates and Jeff Bezos hold. It would not surprise me that Gates and Bezos have well over a billion dollars in physical gold. Just speculation. And if the speculation is accurate, why would two of the worlds wealthiest individuals hold such large amount of physical gold? These are not dumb nor lucky men.

Some families in the US store six months+ of dry foods in their home. Many in the US laugh at these people. Is this storage of six months food supply out of fear? Or is it a practice learned from survivors of situations that have been experienced over the centuries?

 

[ripcord]

All I know is that you can't take it with you and by hook or by crook, my family is not going hungry if I have anything to do with it.

 

[daves87rs]

The question is... Is the fear warranted and rational? I have zero knowledge, but would love two know how much if any physical gold Bill Gates and Jeff Bezos gold. It was not surprise me that Gates and Bezos have well over a billion dollars in physical gold. Just speculation. And if the speculation is accurate, why would two of the worlds wealthiest individuals hold such large amount of physical gold? These are not dumb nor lucky men.

Some families in the US store six months+ of dry foods in their home. Many in the US laugh at these people. Is this storage os sox months food supply out of fear? Or is it a practice learned from survivors of situations that have been experienced over the centuries?

I think it might be more related to the fact folks want something of universal valve in case everything collapses I guess…..

 

[eljefino]

Then there's the age old question, how do you trade gold for a loaf of bread? Junk silver (dimes & quarters) are more divisible. Bullets, cigs, and TP are good barter items as well.

 

[14.1 Grms]

Then there's the age old question, how do you trade gold for a loaf of bread? Junk silver (dimes & quarters) are more divisible. Bullets, cigs, and TP are good barter items as well.

I always thought the "Hoard gold for the end of the world apocalypse!" was sort of stupid because of that. Gold is shiny, and it's a good thermal and electrical conductor. Neither have any use in a "The Road" situation where society has completely collapsed.

 

[BMWTurboDzl]

News flash-we are going to fail either way come November.......

Indeed. Lame duck in office is almost guaranteed regardless of who's sitting in the chair.

The question is... Is the fear warranted and rational? I have zero knowledge, but would find interesting to know how much if any physical gold Bill Gates and Jeff Bezos hold. It would not surprise me that Gates and Bezos have well over a billion dollars in physical gold. Just speculation. And if the speculation is accurate, why would two of the worlds wealthiest individuals hold such large amount of physical gold? These are not dumb nor lucky men.

Some families in the US store six months+ of dry foods in their home. Many in the US laugh at these people. Is this storage of six months food supply out of fear? Or is it a practice learned from survivors of situations that have been experienced over the centuries?

No the fear isn't warranted. You have to remember that the doomsayers have a vested interesting in peddling doom and gloom. They either monetize fear via clicks and views, monthly publications, or they're ahead of the trade and trying to make a profit of the monkeys who are suffering from FOMO (Fear Of Missing Out). Why do something productive with your life when you can peddle fear !!

As for Gates it's possible they hold some physical gold but it's all relative to the size of their portfolio. $1B is a lot but Gates for example has a net worth of around $128B. For comparison the value of US gold reserves is $480B at over 8k metric tonnes.

People who store 6 months of food do so out of fear based off someone else lack of planning (Donner Party). They over compensate. When you were a kid did you know any kids whos parents built bomb shelters in their backyards in case of nuclear war? It's all about fear. Fear peddling is big $$$. It gets you glued to the TV watching commercials.