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Trump's Policies XI

UAH said:
The decline of the purchasing power of the dollar relative to CPI, particularly after the US left the gold standard in 1971 has accelarted dramatically. China and the Brics are investing heavily in gold to reduce their dependency on the USD. We will see rapidly increasing trade outside the USD and the US- European Swift system. I have read that China is reducing US bond exposure in as orderly manner as possible as the Federal Reserve is rapidly building their US Bond holdings. Very difficult to project all of the fall out from USD weakening. None of it is good! I repeatedly see that the only winners will be those who own real assets. This will make 2008 look like childs play.
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China holds less than 2% of our debt. China liquidating will have no material impact on the value of our debt.

Since WWII, we have ran up a good portion being the world policeman primarily defending against Russia, Iran, China, Venezuela, and cartels.

If we want to reign in our deficit going forward, we really need to reign or topple those regimes because we cant afford to defend against them for the entire free world any longer.

You pick entitlements or defense spending to say is the source of our our debt. We have probably spent $25T since the mid 80s on defense spending.

Bottom line is could not and still cannot spend money to the level we are on entitlements and defense needs.

Europe got to spend money on entitlements and focusing on production based economy without having to invest very much of its gdp on defense spending. The came out of the new world order smelling like a rose.

Somehow this inequity needs to be rebalanced if we are to survive as a democracy. Conquest of authoritarian regimes might be the only way to rebalance it...
 
JDCrimson said:
China holds less than 2% of our debt. China liquidating will have no material impact on the value of our debt.

Since WWII, we have ran up a good portion being the world policeman primarily defending against Russia, Iran, China, Venezuela, and cartels.

If we want to reign in our deficit going forward, we really need to reign or topple those regimes because we cant afford to defend against them for the entire free world any longer.

You pick entitlements or defense spending to say is the source of our our debt. We have probably spent $25T since the mid 80s on defense spending.

Bottom line is could not and still cannot spend money to the level we are on entitlements and defense needs.

Europe got to spend money on entitlements and focusing on production based economy without having to invest very much of its gdp on defense spending. The came out of the new world order smelling like a rose.

Somehow this inequity needs to be rebalanced if we are to survive as a democracy. Conquest of authoritarian regimes might be the only way to rebalance it...
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Sounds as if you had a bad day. I am reminded this morning that the Soviet Union controlled all of Eastern Europe and half of Germany during the Reagan administration "Mr. Gorbachev tear down this wall". One could argue that Germany, Poland and others in the east have done a reasonable job rebuilding from that.

There is a lot to unwrap regarding immigration in Europe. It is a huge political issue here as well. We have to realize that the Putin backed dictatorship and resulting civil war in Syria was a huge factor in a flood of immigration into Europe. Enough blame to go around here including and particularly Obama's "red line".

The US has spent a huge amount in defense spending and maintaining troops in Europe it is arguable as to how much spending was necessary.

With regard to our defence spending, Europe had nothing to do with our decades long wars in Vietnam, Iraq and Afghanistan except to attempt to support our misguided pursuit of democracy in primarily ancient Muslim countries.

China is an entirely other topic . They have been a major owner of US debt over the last couple of decades. The point is someone has to buy our debt instead of the Federal Reserve for us to remain remotely solvent.

Much to unpack as to what the future in the US will look like.
 
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UAH said:
The decline of the purchasing power of the dollar relative to CPI, particularly after the US left the gold standard in 1971 has accelarted dramatically. China and the Brics are investing heavily in gold to reduce their dependency on the USD. We will see rapidly increasing trade outside the USD and the US- European Swift system. I have read that China is reducing US bond exposure in as orderly manner as possible as the Federal Reserve is rapidly building their US Bond holdings. Very difficult to project all of the fall out from USD weakening. None of it is good! I repeatedly see that the only winners will be those who own real assets. This will make 2008 look like childs play.
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It's what happens when a complete idiot is elected, and sycophants never challenge him.

Oh, I left out - something, something, Democrats didn't have a good candidate, so I voted for the dimwit instead.
 
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crimsonaudio said:
I don't think either of those economies will be safe if the USD falls off a cliff.
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Well, it would take too long, but I could tell you, since I was in Switzerland in 1972 when the USD did fall off a cliff. No fun becoming instantly poor, with a pocket full of American Express checks in your pocket, with a sign on their door reading "CLOSED TILL FURTHER NOTICE!"
 
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TIDE-HSV said:
Well, it would take too long, but I could tell you, since I was in Switzerland in 1972 when the USD did fall off a cliff. No fun becoming instantly poor, with a pocket full of American Express checks in your pocket, with a sign on their door reading "CLOSED TILL FURTHER NOTICE!"
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The truckling sycophants who voted for the sucker who couldn't manage not one but six casinos are going to somehow blame it all on the Democrats when he bankrupts the entire country. Well, they'll blame them and somehow this will be the fault of the Reagan-Bush era Republicans, not the MAGA.
 
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Huckleberry said:
Wow, these people are stupid (or think the rest of us are).
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As I understand it (and I'll admit I may not comprehend it correctly), several businesses along the lines of Walmart and others have tried to keep prices down because they know the volatility of General Discomfort Turbulence, and they'd be doing nothing but re-pricing things by the hour.

But there's a limit to what any business can tolerate, too.
 
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