The U.S dollar is shrinking as a percentage of the world’s currency supply, raising concerns that the greenback is about to see its long run as the world’s premier denomination come to an end.
When compared to its peers, the dollar has drifted to a 15-year low, according to the International Monetary Fund, indicating that more countries are willing to use other currencies to do business.
While the American currency still reigns supreme — it constitutes $3.72 trillion, or 62 percent, of the $6 trillion in allocated foreign exchange holdings by the world’s central banks — the Japanese yen, Swiss franc and what the IMF classifies as “other currencies” such as the Chinese yuan are gaining.
(Read More: Hedge Funds Reap Billions on Yen Bets)
“Generally speaking, it is not believed by the vast majority that the American dollar will be overthrown,” Dick Bove, vice president of equity research at Rafferty Capital Markets, said in a note. “But it will be, and this defrocking may occur in as short a period as five to 10 years.”
Bove uses several metrics to make his point, focusing on the dollar as a percentage of total world money supply.That total has plunged from nearly 90 percent in 1952 to closer to 15 percent now. He also notes that the Chinese yuan, the yen and the euro each have a greater share of that total.
via Is the Dollar Dying? Why US Currency Is in Danger.
The White House has leaked immigration legislation it’s preparing in case Congress fails to craft its own. According to USA Today, 11 million illegal aliens could apply for a “Lawful Prospective Immigrant” visa and after 8 years could get a green card. Criminals would be excluded––unless they served less than a year for their crime, or were convicted of 3 different crimes resulting in 90 days in jail. That will hearten the hit-and-run drivers and welfare cheats. Once they get a visa, their families will be in line for visas too. In other words, the president’s plan amounts to an amnesty that vaults lawbreakers, including some convicts, to the head of the immigration line.
The Republicans are squawking, but any plan they would sign off on will end up doing the same thing. Too many have drunk the electoral kool-aid and believe that caving on illegal immigrants will get them more Latino votes. But even if the Republicans’ share of Latino voters reached the 40% George W. Bush got, the Dems would still net 1.5 million more votes if illegal aliens became citizens. That’s not much of a payoff for betraying principle. And reaching that 40% appears increasingly unlikely, given that 75% of Hispanics want bigger government and more services, according to a Pew Hispanic Center poll last April, while a 2011 poll from Moore Information found that 29% think the Republican party “favors only the rich” and Republicans are “selfish and out for themselves.” They are already Democrats no matter what happens with illegal immigrants.
More important, the public discourse about illegal immigration is filled with incoherence, duplicity, and wishful thinking. One problem is the constant confusion of legal and illegal immigration. People justifiably worried about the latter are constantly chided for being “anti-immigrant” and forgetting that America is “a nation of immigrants.” But these are two separate complex problems, and trying to fix both with some “comprehensive reform” will end up with new policies that likely will make both worse. Today legal immigration is marred by “family reunification” preferences that count not just spouses and minor children but parents and siblings as “family.” Two-thirds of legal immigrants have come under these provisions, which take no account of whether or not these “family” members have skills beneficial to this country or are likely to become public charges.
via Half-Truths, Delusions, and Immigration.
(NaturalNews) This is it, folks: the final chapter of America’s great financial blowout has begun. The Federal Reserve’s decision to announce “infinite” quantitative easing has now put us all on the path of infinite money creation. With up to $85 billion in monthly money creation — including $40 billion a month in purchases of mortgage-backed securities — the Fed is now wholly committed to the creation of new fake money to cover old fake debts. Mathematically, this financial death spiral can only end in sheer catastrophe.
This massive money creation tactic is the Fed’s last-ditch plan to desperately try to save the economy. “I think the country should have panicked over what the Fed is saying that we have lost control,” said Ron Paul, “and the only thing we have left is massively creating new money out of thin air, which has not worked before, and is not going to work this time.”
Peter Schiff added, “This is a disastrous monetary policy; it’s kamikaze monetary policy.” (End Of the American Dream)
And he’s right. It’s suicide. It’s also highly offensive to anyone who can actually do math… which, sadly, isn’t that many people these days.
Steal from the poor to give to the rich
Quantitative easing, you see, is essentially the Federal Reserve creating money and then handing it to the richest banks. Meanwhile, all that new money floating around erodes the value of the dollars in the hands of the working taxpayers. So their grocery bills go up. Their fuel costs go up. Their daycare costs increase and their utility bills creep ever skyward.
But the rich banksters are simultaneously rolling in FREE Fed cash, and instead of actually lending this money out and doing something useful with it, they crank up their own executive bonuses to make sure they get paid while the rest of the economy crumbles. And why? It’s simple: Because people are crooks, and if they get handed $40 billion a month in free money, they’re just going to grin and say, “How can we get MORE?”
via Infinite quantitative easing (QE3) now initiated; the final chapter of America’s financial blowout has begun.
Scott Brown‘s shocking victory in Massachusetts on Tuesday was a shot across the bow of the liberal ruling class in Washington and declared one clear message: Americans do not like the direction the country is heading, and they’re not going to stand for it, even in the solidly-blue Bay State.
The United States‘ direction today is a dangerous one, even when compared to the country’s state of affairs just one year ago, as revealed in the 2010 Index of Economic Freedom, which we are releasing this morning in a joint project with The Heritage Foundation and The Wall Street Journal. The Index analyzes just how economically “free” a country is, and this year America saw a steep and significant decline, enough to make it drop altogether from the “free” category, the first time this has happened in the 16 years we’ve been publishing these indexes. The United States dropped to “mostly free.”
Jobs and Freedom
It could take until November 2018 to get the full story behind the U.S. bailout of insurance giant American International Group (AIG.N) because of an action taken last year by the Securities and Exchange Commission.
In May, the SEC approved a request by AIG to keep secret an exhibit to a year-old regulatory filing that includes some of the details on the most controversial aspect of the AIG bailout: the funneling of tens of billions of dollars to big banks like Societe Generale, Goldman Sachs (GS.N), Deutsche Bank (DBKGn.DE) and Merrill Lynch.