Collapse Of The US Dollar and Hyperinflation Is Just A Breath Away

[nvKyleBrown]

You guys really live for the idea of a US collapse. The links below the article contain articles from years back with the same crap in them. And, the ruble keeps dropping. And the renminbi is still tied to the dollar by the Chinese government.

If the dollar drops precipitously, it makes American industry more competitive internationally. Exports increase, imports decrease. People who buy imported stuff have to pay more, but there are no critical imports for the US outside of oil. We can feed ourselves, albeit not with caviar and French wine. Rich people would have to cut back on their European visits. Boohoo! On the oil front, we can provide for ourselves by fracking shale. Its more expensive at the moment, but a drop in the dollar vs other currencies would effectively mean imported oil costs more - meaning shale oil becomes more economically feasible. People have to drive a bit less (which they should anyhow).

There is a lot of room for the dollar to drop before average Americans are seriously affected. And that assumes that it actually drops. We should talk about what happens if it continues to rise - which could be more damaging to American industry.

 

[GDan]

So a blog published by a company that sells gold and silver uses inflation fears to recommend people buy gold and silver? This is definitely newsworthy.

 

[Zerozen]

So a blog published by a company that sells gold and silver uses inflation fears to recommend people buy gold and silver? This is definitely newsworthy.

ha-ha, Gold and Silver?! I buy land because it workable and theirs a return of investment.

 

[Aepsilons]

SPDR Gold Trust (ETF), iShares Silver Trust (ETF): Collapse Of The US Dollar and Hyperinflation Is Just A Breath Away | ETF DAILY NEWS
October 3rd, 2014

The Silver Bug: Americans standard of living currently depends on an ever growing Ponzi scheme.

The US government debt levels continue to balloon year after year, and currently stand at a staggering $17.8 Trillion dollars.

Soon to hit $18 Trillion.


This should come as a shock to no one, as it has been discussed numerous times in the past, including on this blog.

But what is shocking, is the rate that this increase is occurring and the ramifications that it could have for not only the US economy, but the World as a whole.

Since the 2008 economic crisis.

The US government has drastically increased their debt issued in an attempt to stay solvent.

This has worked, but will only do so, for so long.

To maintain interest levels, and ensure that the debt issued by the FED is purchased by creditor nations.

The maturity of the debt issued has continued to decrease.

This puts the United States in an incredibly fragile position, as the short term year to year debt, that is needed to be rolled each year has exploded to roughly $8 Trillion a year!

You read that correctly, $8 Trillion a year!

Hyperinflation is just a breath away, at any given time it could all come crashing down. Chinese officials know this, they know that they have the US government trapped in a corner.

A simple, no show to a short term debt offering, would result in a huge monetization of debt, as the Federal Reserve steps in to burden the cost.

A burden, they are already overweight with.

This would result in a massive depreciation of the US dollar and a possible loss of its reserve currency status.


Gold would explode in price, like never before seen.

So what happens in this scenario?

What happens when a socialized, welfare state can no longer keep interest rates low and food stamps coming?

A collapse of epic proportions occurs.

A collapse that will make the fall of the Roman Empire, look like an opening act.

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Another doom and gloom article, my Russian buddy ? lol