The final collapse of the US dollar it is just around the corner

Why not print $1.5 Trillion in new money and pay off all creditors in full now. Simultaneously enact a transaction tax of 1% on all monetary exchange and use in dollars. The new money just has to change hands 100 times and we have collected the $1.5 Trillion back. Destroy the $1.5 Trillion collected and problem solved. Debt eliminated, booming economy and M0 levels same as now.

We can create value out of thin air by printing money.
We eliminate all interest expenses.
We pay off our debt by monetary transaction taxes.

We should continue this monetary transaction tax until the dollar is reduced to the levels of gold we possess. This will insure the dollar remains the Settlement and reserve currency of the world.

Bottom line is our economy only thrives when money is frequently exchanging hands for goods and services in taxable transactions.
 
Please, the dollar is not going to just collapse you fools.

It will slowly decay. Over 10, 20, 30, years.
Even with QE 3, 4, 5 6.

So, all you "Dollar Collapse overnight people" sound like uneducated idiots.

There is a test case for what the US is going through, it is called JAPAN the last 30 years.
 
Quote from Cache Landing:

You guys do realize that an inflated USD is about the best thing that could happen to America right now, right?
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typical third world thinking.
 
Ok complete currency collapse during a short period (1week-1month) HAS happened in the past and definatly CAN happen in the future ....http://en.wikipedia.org/wiki/Hyperinflation


Through history the average life of a fiat currency (not backed by anything) is 40 years. We are on year 40 since the gold standard was abolished in 71.

The "breaking point" may or may not happen within the next 10 years as far as a very quick devaluation period ( 2 weeks) .

I can tell you that a very likely possibility is that OIL is priced in something other than USD in the near future. That would kill america everyday thereafter when the dollar decreases in value relative to purchasing power for oil. We are pretty much robbing the world with oil being priced in USD and they will rob us when it is priced in something else.

If force majeure is heard on the news then I hope you have some gold, silver, food, ammo and new pair of underwear for when you shit your pants.
 
USA is not going to collapse anytime sooner if it did it woulded happen 2008. Foreign Countries need USA and USA need Foreign Countries. Think about it. If USA collapse how China economy going to keep growing at the rate it's growing now? WE buy 95% of their items were the reason why China is growing at the rate it is. You guys have to think and stop reading that conspriracy theory stuff.
 
Quote from tech723:

Interesting that this thread started now, because just last week a friend sent me this video on this topic.
Like most Americans, I discounted the facts, and figured we could merely print more money, as we have in the past. And as a general rule, I find most all these doomsayer’s as laughable, but after viewing this video, I must say, I am concerned. But still skeptical, and don’t want to believe it.
Keep in mind, I do not know this guy, nor do I endorse anything he is selling, just thought it to be interesting and intriguing. It will be interesting to hear others opinions.

Here it is, check it out for yourself and make your own decision.

2011 Financial Crisis: End of America? DEATH of Dollar!!

http://www.youtube.com/watch?v=dJ7aTN-CXuY
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That is the same guy that you hear on talk radio commercials all the time talking about correctly predicting collapses and another dire prediction.

To anyone interested, a quick background check reveals that he is only correct about 50% of the time. His main investment strategy is long term value investing of distressed companies. His secret strategy that nobody knows about is selling naked puts (synthetic covered calls to the options amateur). Covered calls are hands down the absolute most common options strat in the world!

He is a big gold and silver champion, and the "world's most valuable asset during a crisis" is......... wait for it.......farmland!

To top things off he lost a lawsuit with the SEC where it was determined that he defrauded investors, after claiming he had an inside source on some plutonium deal that wasn't yet made public. He was ordered to pay something like $1.5MM in damages. He still claims innocence but his story doesn't completely pan out, and his representation of the "facts" suggests to me that either he is delusional or pathological.

I never subscribe to any of these services, but I enjoy taking a couple minutes to uncover a fraud. Do yourself a favor, stay away from this guy.
 
Quote from SouthAmerica:

March 10, 2011

March 4, 2011
Harvard historian Niall Ferguson explains America's place in the new world economic order.
http://www.cnn.com/video/#/video/us/2011/03/04/gps.niall.ferguson.cnn?iref=allsearch


Yes, they did cut the part of that video with critical information that they don't want Americans to know about it.

Basically Niall Ferguson said: based on global history, and he mentioned many actual examples in the last 1,000 years - every time a superpower starts spending more money on interest expense related to its outstanding debt, than in defense spending – that is a major “Red Flag” and a signal that the superpower has reached the end of the road, and the United States as you can see by these figures is reaching that point when empires die a quick and sudden death.


*****


US Defense Department Base Budget:
Year 2012 = US$ 553 billion
Year 2011 = US$ 549 billion


*****


Historical Data Fiscal Year End
US Interest Expense Fiscal Year 1988 to 2010

2010
$413,954,825,362.17
2009
$383,071,060,815.42
2008
$451,154,049,950.63
2007
$429,977,998,108.20
2006
$405,872,109,315.83
2005
$352,350,252,507.90
2004
$321,566,323,971.29
2003
$318,148,529,151.51
2002
$332,536,958,599.42
2001
$359,507,635,242.41
2000
$361,997,734,302.36
1999
$353,511,471,722.87
1998
$363,823,722,920.26
1997
$355,795,834,214.66
1996
$343,955,076,695.15
1995
$332,413,555,030.62
1994
$296,277,764,246.26
1993
$292,502,219,484.25
1992
$292,361,073,070.74
1991
$286,021,921,181.04
1990
$264,852,544,615.90
1989
$240,863,231,535.71
1988
$214,145,028,847.73

Source:
http://www.treasurydirect.gov/govt/reports/ir/ir_expense.htm


Public debt owned by foreigners has increased to approximately 50% of the total or approximately $4.5 trillion. As a result, nearly 50% of the interest payments are now leaving the country, which is different from past years when interest was paid to U.S. citizens holding the public debt.

Interest expenses are projected to grow dramatically as the U.S. debt increases and interest rates rise from very low levels in 2011 to more typical historical levels.

In a Nutshell: In the coming years as interest rates go up in the United States the “interest expense” paid on the outstanding US debt will explode upwards, and by 2020 the US government is estimated to be spending about $ 800 billion in interest expense per year.


*****


US Historical Debt Outstanding - Annual 1981 - 2011

03/10/2011 14,285,000,000,000.00 = Obama
09/30/2010 13,561,623,030,891.79 = Obama
09/30/2009 11,909,829,003,511.75 = Obama
09/30/2008 10,024,724,896,912.49 = Bush Jr.
09/30/2007 9,007,653,372,262.48 = Bush Jr.
09/30/2006 8,506,973,899,215.23 = Bush Jr.
09/30/2005 7,932,709,661,723.50 = Bush Jr.
09/30/2004 7,379,052,696,330.32 = Bush Jr.
09/30/2003 6,783,231,062,743.62 = Bush Jr.
09/30/2002 6,228,235,965,597.16 = Bush Jr.
09/30/2001 5,807,463,412,200.06 = Bush Jr.
09/30/2000 5,674,178,209,886.86 = Clinton
09/30/1999 5,656,270,901,615.43 = Clinton
09/30/1998 5,526,193,008,897.62 = Clinton
09/30/1997 5,413,146,011,397.34 = Clinton
09/30/1996 5,224,810,939,135.73 = Clinton
09/29/1995 4,973,982,900,709.39 = Clinton
09/30/1994 4,692,749,910,013.32 = Clinton
09/30/1993 4,411,488,883,139.38 = Clinton
09/30/1992 4,064,620,655,521.66 = Bush Sr.
09/30/1991 3,665,303,351,697.03 = Bush Sr.
09/28/1990 3,233,313,451,777.25 = Bush Sr.
09/29/1989 2,857,430,960,187.32 = Bush Sr.
09/30/1988 2,602,337,712,041.16 = Reagan
09/30/1987 2,350,276,890,953.00 = Reagan
09/30/1986 2,125,302,616,658.42 = Reagan
09/30/1985 * 1,823,103,000,000.00 = Reagan
09/30/1984 * 1,572,266,000,000.00 = Reagan
09/30/1983 * 1,377,210,000,000.00 = Reagan
09/30/1982 * 1,142,034,000,000.00 = Reagan
09/30/1981 * 997,855,000,000.00 = Reagan
09/30/1980 * 907,701,000,000.00 = Carter


*****


As you can see by the above data: in the coming years the Defense budget will be reduced and move towards the $ 500 billion dollars per year level - at the same time that "Interest Expense on Outstanding US Debt" will explode upward into the $ 500 and $ 600 billion level.

The handwriting is on the wall: very soon the United States it will be spending more money on interest expense regarding its outstanding debt than on Defense spending.


You can see on this video the impact that a collapsing US dollar and International Monetary System will have on the global economy:

http://www.youtube.com/watch?v=PCAWqSNHRmI&tracker=False&NR=1


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The 2009 budget was signed into law under Bush. Obama is responsible for 2010 and forward. You need to shift the responsiblily up 1 for all the presidents listed, in fact.
 
Something interesting that I saw recently . I was watching "trader " with Paul Tudor jones from 1987 and they thought the debt at that time would cause huge reprocusions in a couple years and we made it this far lol so hopefully we have another 20 years left .
 
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