The USA, where most of the rest of our debt is held.
Dirty little secret no one is talking about...
- Thread starter Mvic
- Start date
The USA, where most of the rest of our debt is held.
You guys don't get it! History is repeating.
In keeping with current "citings" in this thread
, excerpts from Wikipedia
article: http://en.wikipedia.org/wiki/British_pound
The gold standard was suspended at the outbreak of the war, with Bank of England and Treasury notes becoming legal tender. Prior to World War I, the United Kingdom had one of the world's strongest economies, holding 40% of the world's overseas investments. However, by the end of the war the country owed £850 million, mostly to the United States, with interest costing the country some 40% of all government spending. In an attempt to resume stability, a variation on the gold standard was reintroduced in 1925, under which the currency was fixed to gold at its pre-war peg, although people were only able to exchange their currency for gold bullion, rather than for coins. This was abandoned on 21 September 1931, during the Great Depression, and sterling suffered an initial devaluation of some 25%.[9]
In 1940, an agreement with the U.S.A. pegged the pound to the U.S. dollar at a rate of £1 = $4.03. This rate was maintained through the Second World War and became part of the Bretton Woods system which governed post-war exchange rates. Under continuing economic pressure, and despite months of denials that it would do so, on 19 September 1949 the government devalued the pound by 30.5% to $2.80. The move prompted several other currencies to be devalued against the dollar.
In the mid-1960s, the pound came under renewed pressure since the exchange rate against the dollar was considered too high. In the summer of 1966, with the value of the pound falling in the currency markets, exchange controls were tightened by the Wilson government. Among the measures, tourists were banned from taking more than £50 out of the country, until the restriction was lifted in 1979. The pound was eventually devalued by 14.3% to $2.40 on 18 November 1967.
G20 meets (again) by coincidence or ironically, in London, on 4/2/2009. (Bretton Woods II??)
Replace pound sterling with USD in the above, and you will see "the precipice".
Once unthinkable, now unstoppable.
Obama-lama
In keeping with current "citings" in this thread
, excerpts from Wikipediaarticle: http://en.wikipedia.org/wiki/British_pound
The gold standard was suspended at the outbreak of the war, with Bank of England and Treasury notes becoming legal tender. Prior to World War I, the United Kingdom had one of the world's strongest economies, holding 40% of the world's overseas investments. However, by the end of the war the country owed £850 million, mostly to the United States, with interest costing the country some 40% of all government spending. In an attempt to resume stability, a variation on the gold standard was reintroduced in 1925, under which the currency was fixed to gold at its pre-war peg, although people were only able to exchange their currency for gold bullion, rather than for coins. This was abandoned on 21 September 1931, during the Great Depression, and sterling suffered an initial devaluation of some 25%.[9]
In 1940, an agreement with the U.S.A. pegged the pound to the U.S. dollar at a rate of £1 = $4.03. This rate was maintained through the Second World War and became part of the Bretton Woods system which governed post-war exchange rates. Under continuing economic pressure, and despite months of denials that it would do so, on 19 September 1949 the government devalued the pound by 30.5% to $2.80. The move prompted several other currencies to be devalued against the dollar.
In the mid-1960s, the pound came under renewed pressure since the exchange rate against the dollar was considered too high. In the summer of 1966, with the value of the pound falling in the currency markets, exchange controls were tightened by the Wilson government. Among the measures, tourists were banned from taking more than £50 out of the country, until the restriction was lifted in 1979. The pound was eventually devalued by 14.3% to $2.40 on 18 November 1967.
G20 meets (again) by coincidence or ironically, in London, on 4/2/2009. (Bretton Woods II??)
Replace pound sterling with USD in the above, and you will see "the precipice".
Once unthinkable, now unstoppable.
Obama-lama
You citing a FACT or just parroting something you heard or read? Or is it more profound that that for you... something deep down in your heart, you truly believe?
I've recently heard that China's economy had recently increased from #6 to #4, and now that article says #2. I don't have facts, I admit it. Only stating what I've heard and perceive.
Regardless, there are not other economies 5 times bigger than China who are going to step up and buy our bonds... more likely, we'll get them shoved up out collective butts.
haha yeah what a bold statement, he really likes to stick his neck out sometimes...
kind of reminds me when colin powell endorsed obama the week before the election, after it was pretty clear he would win anyway
Quote from Debaser82:
Chinese economy is the biggest in the world by far but its numbers are artificially depressed due to the artificially depressed Yuan exchange rates.
By the way US economy isnt 14 trillion $ that's al mombo jombo government statistics.
Despite financial mess, U.S. economy still most competitive in the world. It's a fact, not opinion.