Re: Euro =1.43 Dollar ->Dump monopoly money (USD), China!

On Tue, 23 Oct 2007 08:05:40 -0700, david_huang2007 wrote:

On Oct 23, 2:47 am, Les Cargill <lcarg...@xxxxxxxxxx> wrote:
david_huang2...@xxxxxxxxxxx wrote:
http://www.abcnews.go.com/Business/wireStory?id=3721104
<snip>

The crux of the hypocrisy is that while the US uses the WTO provisions
in order to urge China to open its financial sector to outside (read:
mainly US-based) investment, it lets other countries such as Canada or
Australia to restrict foreign ownership, in direct violation for
existing Free-trade agreements with these countries, and get away with
it. And two years ago, when we were attempting to buy a medium-side US-
based oil company you raised stench to high heaven and we had to
eventually back off. ("National security" grounds, my a$$).

No, that's about right. Mineral reserves on the ground in the US
can be governed by national security policy left over from WWII.

The sale of US natural resources is, IMHO, not an option. Talk about
eating you seed corn. If the alternative is sweat shop wages for an auto
industry that produces nothing but dirt cheap motor vehicles for Chinese
then so be it. You don't sell the damned farm.

You know what? You've been enjoying our free lunch for way too long.
Unless you learn to shut up and be humble, and stop making China into
your own scape goat, let's see what's gonna happen if we dump all our
dollar reserves and invest in the Euro. I'm sure France and Germany
are much more receptive to Chinese investment, whine less about our
environmental record (as if you implemented Kyoto!!!). And we'll see
how you'll function after we get rid of our dollar T-bonds. And with
your already falling dollar, I'd rather buy Euros anyway.

Go for it. It's headed that way anyhow. And when you take back
Euro denominated bonds in exchange for Chinese goods, what happens
to the exchange rate of the dollar and Euro?

You seem to miss the point. The currency (all currencies) are used to buy
OIL, and OIL is the standard against which all currencies are actually
measured as to value. All trades become trades for oil because oil is now
life. Without it there is simply not enough food. When all the dust
settles it is the nations that have oil in excess that will rule the
roost. That sure as hell isn't China, but it is not the USA either unless
the USA militarily dominates the OPEC nations, i.e. controls the oil in
those nations. That is the REALITY. A shifty from dollars to euros as
the currency in which oil is traded is the DEATH of the Republican "create
money from thin air" economy and the death of the "free ride" for America.
The Republicans got us here. There is no easy way out. They and their
rightarded cronies will proclaim (hav proclaimed) a "religious war" in
order to steal the resources of the OPEC nations. The American public is
actually aware of this, but they choose to ignore it and drive their SUV's.

What might happen, also corroborated by Alan Greespan and other
renowned economists, is that the US inflation rate would shoot up to
the sky; right now people are talking about the record wheat prices
due to climate change, which combines with the ethanol boom to spike
almost every grocery staple sky-high; plus the price of oil and gas is
hitting $90. You think That's inflation? wait till we pull our dollar
reserves (1.45 trillion of them), and you'll see almost overnight an
interest rate jump of at least .75%. You really need it right now with
all the subprime mortgage mess going right now.

David Huang

I wonder why the brain dead neoconomists can never grasp the reality of
money; never grasp the reality of money being created at will and not
being anything of real LONG TERM value. The presumption that interest
rates will, as a matter of immutable science and logic, increase so as to
thwart "OMG Martha Hide the Kids" INFLATION. Such INFLATION resolves the
mortgage loan crises in that wages will rise with the inflation. People
are gonna gave a hellova time getting to work because gasoline will be $10
a gallon but that is the way it is in the real world. Maybe telecommuting
will finally find its way past the suit wearing blowhards on the top floor
who feel insecure without all those "employees" below them on the other
floors choking on a tie. Videoconferencing and is simply a lot
less expensive than all that gasoline.

:)

But yeah - media outlets in the US cannot avoid Yellow Peril
nonsense. Worked for Hearst, works now.


Les Cargill

It would make no difference if it were the Brazilians or the or the Swiss.
You don't give up the natural resources of your nation to any other
sovereign. Because when you do you are nothing but a colony.

--
"I know no safe depository of the ultimate powers
of society but the people themselves; and
if we think them not enlightened enough to
exercise their control with a wholesome
discretion, the remedy is not to take it from
them, but to inform their discretion by
education." - Thomas Jefferson
http://GreaterVoice.org/extend

.

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