Capitol Hill Blue Forums Political Issues Finance, the economy & Economics Hal Turner Shows New AMERO Currency

Fiat Money



That's just crazy!
What were they thinking?

They were thinking that each and every one of those emblems would someday be worth more than money, and they are now.
I would rather have a pile of vintage FIAT automotive emblems
than a pile of one dollar bills as I wager the melt value on those emblems alone is worth more than a dollar each.

But the dollar has increased in value this year against the currency of just about every major economic country with the exception of China, Japan and Israel. (see WSJ).

The price of oil has dropped to $77.70 per barrel, a 13 month low. The price takes time to get reflected at the pumps, but if it doesn't spike upwards again, gasoline will continue declining in price for the next couple of months at least. This in turn affects the price of electricity and food.

The dollar's value hasn't tanked in this current mess, it has instead increased as investors look for safe haven in T-Bills.

There is a great deal of difference between the exchange rate of currencies and the actual purchasing power of currencies based upon the inflation of the monetary unit in each country. Also, it is very important to understand that inflation is cumulative in nature and judging from how much money the central banks of the world and the US has been pumping into circulation then we should be in for one heck of a period of inflation if not worse. Also, it is important to remember that deflation is always a precursor for hyperinflation.