Will the U.S. Dollar Collapse? - Signs in the Sun, Moon, Stars

WHAT WILL THE COLLAPSE OF THE U$ DOLLAR
MEAN TO THE WORLD?
SLEEP-WALKING TOWARDS DESTRUCTION ~ Over the last few weeks we have seen the US dollar fall in value against the Euro at an ever increasing rate. The Bank of Japan has been spending billions of dollars in vain to try and stop the dollar collapsing against the yen. As the slide in value of the dollar increases in momentum, what will this mean to the world? Can the dollar be saved? (See article posted today about China's threat to trigger a U.S. dollar crash on home page)

Many will be amazed how fast the dollar will fall, being deceived into believing by economic seers that the economy is recovering; and will suddenly wake up to find their money worthless. I wrote a couple of years ago as the Argentina currency collapsed at that time, so would the American dollar collapse likewise. However, the collapse of the US dollar is going to have much greater impact on the global economy and international political landscape than the collapse of the Argentinean+6 peso ever did. This article will discuss some of the implications that will follow as a result of the collapse of the dollar on the geopolitical landscape of the world. The collapse of the dollar will have a significant impact on the lives of Americans and British, along with Canada, Australia, and New Zealand. All these countries face the same fiscal imbalances in their economies as does the USA; i.e. large current account deficits, and continued growth of consumer spending financed by overseas borrowing. The collapse of the US dollar, will be followed by the collapse of the currencies of Britain and the old Commonwealth countries, and will reduce these nations to fourth-world standards of living, and their people to abject poverty. It will be a period of tremendous hardship and economic deprivation. There will be no money for food, or anything else. Many will die from famine. Others will die from disease, as a result of not being able to afford medication, and proper hygiene. It will be a time of great tribulation.

Without money, there will no longer be the ability to import fossil fuels. This will have a devastating effect upon the agriculture and transportation sectors. The agricultural sector will not have the pesticides to control pests and disease. Farmers will not be able to operate their machinery to produce their crops. The transportation system will not be able to distribute food without petrol or diesel. Industry will largely grind to a halt. No longer will the economy be able to function. It will see the end of the Pax Americana global empire. As with the fall of the Roman Empire, America will be forced out of economic necessity to close its military bases around the world. There will be no money for government services, education, pensions, health care, security, etc. Society will quickly slip into lawless anarchy. The war against terrorism will be dropped through lack of funds, allowing terrorist organisations to create havoc. They will achieve their declared aims of destroying America cities.

Yet even as the dollars slides downwards towards collapse, many refuse to believe that it is possible for something like this to happen today. After-all, we live in an age when Governments and their Reserve Banks can support the value of currencies through intervention. Various economists, speaking on behalf of the Federal Reserve and governments, make soothing noises that there is nothing to worry about the dollar falling. They claim that this is going to assist American exporters, ignoring that the costs of imports will rise even more; and that the trade and current account deficits will continue to deteriorate. Some claim that while there have been collapses in the past surely this would not happen today. Sadly, the reality is that not only could this happen today, but it will happen much faster than at anytime in history. Modern communications enable billions of dollars can be switched from one currency to another at a click of a mouse today, when in the past it took weeks for speculators to switch from one currency to another. Never has been a time when currencies have been more vulnerable for speculation on their values. The US Government is in a bind. If they lift interest rates to try and support the dollar, it will increase the size of the US budget deficit, plus the likelihood that the economy would go into a tailspin. The level of personal and corporate debt in the USA is now so high, that a sudden increase in interest rates would likely bring about an economic collapse. Either way, America is doomed. What we are about the experience is a run on the US dollar, till it becomes completely worthless. There have been collapses of currencies throughout history. A recent example has been the collapse of the German Mark in 1923. At that time, the German economy was saddled in massive external debts, plus was being forced to repay war reparations. America is in a similar position today, as the world's largest debtor nation. Let's have a look to what happened to the German currency in the 1920's. At the outbreak of WWI, the German Mark was going for 4.20 to the dollar, at the end of the war, the mark was 4.80 to the $, at the end of 1919 42 marks to the dollar. The End of 1920 70 marks to dollar 1921 185 to $ June 1922 600 to $ Oct 1922 4,500 to $ Dec 1922 7,350 to $ Jan 1923 49,000 to $ May 1923 69,000 to $ June 1923 154,000 to $ July 1923 1,000,000 to $ Aug 1923 10,000,000 to $ Sep. 1923 160,000,000 to $ Oct 1, '23 240 mill $ Oct 10,'23 3 bill Oct 20,'23 10 bill Oct 31,'23 73 bill Nov 10,'23 630 bill Dec 1, '23 4.2 trillion marks to one dollar.

Eventually Germany was bailed out with loans from America and Britain. The Germany people suffered dreadfully during this time, and it set the stage for the rise of Hitler to power. What took 3 years to lead up to the collapse of the Germany economy could only take 3 weeks today, with the speed money is able to be transferred from one country to another. The collapse of the US dollar will remove America as a global power. The dollar will be replaced by the Euro as the world's reserve currency. There will be a shift of the balance of power from North America to Europe. The Asian economies are also going to be severely affected by the collapse of the American dollar. Not only do these economies depend upon the US market for much of their exports, but they also hold substantial reserves in US dollars. The American treasury is depended upon Japan and China buying American bonds to finance their growing budget deficit. The collapse of the dollar will wipe out these investments, as well as their export markets. China will be especially hard hit. The Chinese now have rising economic expectations, and to have their live saving wiped out will cause considerable turmoil within the country. Chinese and Japanese banking system will collapse, their dollar holding evaporating, and the high debt levels of Chinese corporations will cause a massive wave of bankruptcies. The entire world will be severely affected from the collapse of the dollar. International trade will be greatly reduced, until a recovery takes place. American based international financial institutions such as the IMF and World Bank will collapse. Much of the world's banking system will disappear along with their assets. Europe, with a large internal market will suffer less. The Euro will become the preferred currency of choice around the world, providing the Europeans with even greater political influence than the US has today. The crisis the collapse of the dollar will create the political environment that will force the Europeans to accept the political changes to bring about a United States of Europe. Already Germany has declared that they will proceed with introducing a new European constitution along the lines it considers necessary this year, with an inner core of European nations, to create a two-tier Europe. Those EU member States (mainly Britain and from NW Europe) will be left out unless they accept this new Constitution. The crises the collapse of the US dollar will be the catalyst for the creation of a new United States of Europe under a single President, supported by a single defence force. Europe will emerge from the economic chaos that will erupt across the world as the dominate economic power bloc. Germany, as the engine economy in Europe, and the largest nation, will be in the driving seat for the direction this new Europe goes in.

Meanwhile, the nations of North America, Britain, Australia and New Zealand will be asked to repay their massive external debts. Having sold off much of their family silver, our creditors will look at other means of recovering the money they have advanced. Ironically, the two of the largest creditor nations in the world today are Japan and Germany, will be placing demands upon our economies for debt reparations. We will be held in economic bondage to these nations, who were once our enemies. They are going to demand control of our economies, reducing our people to abject poverty, where our people will be held in economic bondage. Already, America is despised around the world because of its hypocrisy and double standards. The invasion of Iraq has left America and Britain with few friends today that would come to their financial rescue when the chips are down. God is allowing America and Britain to be humiliated and defeated for rejecting His Law, and relying on their own military might rather than trusting in God to defend us. We are now on the count-down towards the greatest economic melt-down in history. Yet few appear to be aware of what lies ahead. We are about to witness the end of the good-life that we have been blessed with, and enter a dark-age of tribulation and suffering that no-one has experienced in living memory.Bruce Porteousbruceport@x...

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