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US Dollar Devaluation : What Does the USA Dollar Devaluation Mean to You?

Economist Views : http://www.plim.org/01%20usa_dollar_devalua.htm

What Does the USA Dollar Devaluation Mean to You?

Yahweh said to Israel that they perished for a lack of knowledge (Hos. 4:6). Most Americans, no matter their vocation, are totally ignorant of the current plight of the US dollar, especially in relation to the Euro. In short there is dollar crisis in the world economy due to the level of debt of America, who is the largest debtor in history, owing between $70-$100 trillion.
Americans have no knowledge that the US private control central bank, the Federal Reserve Bank, creates money out of this air and it is the chief cause of inflation in America and the creator of various financial bubbles in stock market and real estate.
The reason that Americans are ignorant of the current dollar and economic crisis is that the US controlled media has not reported on it. The US media is controlled by five or six major corporations; Disney owns ABC, CBS is owned by Viacom, GE owns NBC. In short, the truth is suppressed and kept from the American masses. This is the chief cause of the mind control of 99.0% of Americans.

Although many world authorities, such as the IMF (International Monetary Authority) and World Bank, said the dollar will be devalued. this has not been reported in the US media.

Effects of US Dollar decline

Formerly economic adviser to President Clinton Robert Reich said in Canada recently that the US dollar will collapse, which was not reported in the news.

The devaluation of the U.S. dollar means a decline in the purchasing power of the dollar, which leads to a decline in living standard. For example, if the US dollar declines 40% and you had a million US dollars, the million dollars will only buy $600,000.00 worth of goods and services. You would have lost $400,000.00 in purchase power.

Any type of investment in dollars, such as saving accounts, saving bonds, annuities, pensions, etc., will suffer from this decline. In the coming decline of the dollar it will impoverish almost 50% of the white middle class and the other 40% will barely survive. Now between 5 -10% of Americans will prosper from this decline of the dollar because they have the knowledge of how to protect their asset.

U.S. dollar world currency

The US dollar is the world trading currency, which means all goods and services are priced in U.S. dollars. With a U.S. dollar devaluation, the impact on international trade is tremendous. Any countries trading with the US will Immediate raise their prices in anticipation of this devaluation.

All commodities, such as oil, coffee, chromium, copper, iron, etc., are setting record prices due the dollar decline and anticipation of the US dollar devaluation. This is one reason why oil is now over $50.00 per barrel. The oil producers know that the dollars they are receiving for their oil is declining in purchasing power, so they raise their prices to protect their investment. No one wants to hold a currency that is declining in value.

Dollar is reserve currency

Since no currency is fully backed by gold or silver, the US dollar is the world reserve currency. This decision was the result of the Bretton Wood agreement signed after World War II and means that the various nations' central banks, which create money for the countries, must have their currency backed by the US dollar. In short, these central banks must hold US dollars and Treasury instruments.

In other words, for over the last 50+ years the US dollar has served the same purpose as gold & silver in backing the currency. This arrangement is good as long as the dollar holds its value.
The dollar is a fait currency. Meaning, it has no precious metals backing it and is accepted by faith. The only currency that has maintained intrinsic value for the last 5,000 years is gold and silver.

Central banks will hold these dollars only up to certain point, If dollars were to decline drastically, they will be forced to sell them for they are losing value and their currency has no backing. So they will sell dollars, causing a further decline in the dollar and buy the next strongest currencies.

What causes dollar devaluation?

Now the problem arises when the US dollar begins to fall in value, as the result of the Federal Reserve Bank printing too many dollars to cover budget deficits, causing inflation, a decline in purchasing power.

Budget deficits, spending more than tax revenue collected, and trade deficits, buying more imports than you can sell exports, are two of the primary reasons for the US dollar decline today.

Now under Bush Jr.'s administration, the budget deficit is close to half-trillion dollars and the trade deficit is close to half-trillion dollars. So, the sum of these two deficits are one trillion dollars. Neither party has addressed these deficits which will get worse and this is beginning to cause a crisis in faith in dollars

It is the Asian countries, mainly Japan and China, that are supplying the US with between 1.5 - 2.0 billion per day for exports to keep the US economy going wit out these funds that the economy would crash.

What will people and nations do in the US dollar devaluation crisis?

Real money has been gold and silver for the last 5,000 years. As the US dollar declines in value, people, investors and nations flee to the strongest currencies such as the Swiss Franc and Euro.
Central banks and people also began to buy gold and silver as a hedge against the decline of the dollar. Gold and silver rise dramatically in price as the demand increased and everyone sell dollars.

Smart money have already made the move into gold and silver. Billionaires have already began to protect their assets from the coming dollar devaluation by buying gold and silver.

Warren Buffet, the richest American according to Forbes magazine, own 20% of the world silver supply. He states that he lost faith in American dollars.

Gates of Microsoft owns 10-20% of Pan American Silver mine and Billionare George Soros also has holdings in gold and silver mines.

It is the average American that is totally ignorant of what is happening with the American dollar. It has already declined over 30% as compared to the Euro in the last four years.
Americans, regardless of your occupation, if they want to preserve their wealth and protect their family from the ravishes of poverty, they must obtained a knowledge of gold silver investments, while these metals are relatively cheap.

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Yoga, Tai Chi, and Qi Kung еxerciseѕ also helped Xуz's inner ear drawbacks. Xyz had any kind of a damaged left inner eardrums. After the ear canal injuries healed, Xyz suffered from life-long vertigo attacks whenever she became under nervousness. The stretching as well as movement of yoga when a series of postures helped her regain it balance.

Reflection is helpful when really feel an attack coming on. This method of breathing in slowly from the nose and exhaling tiny from the mouth works in letting you look closely at your breathing, which assists in easing your mind.

Be frightened attacks self help are the best option in the market to cure the disorder. They are natural, effective, and 100% safe. Most people look on to their doctor for help with their panic goes for that is often those wrong thing to might. Prescription medications exclusively dull your symptoms to do not help be frightened disorder at all. Many people are far worse off after they stop taking panic attack .

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