This is the single largest problem facing the world and the USA today and for the next several yrs. Most people don't realize the massive problems coming from this. After a while there will most likely be shortages of almost everything. The real problems will be what happens when Governments fail on their debts.Look around the world, several countries are failing now. In this country, USA manny still don't think our Gov. can fail. I really hope it doesn't. Result, if it does. Anyone getting a Gov. check for anything, won't get it.The money will be no good.Just before the failure inflation will be so high that it could take a wheel barrel load of greenbacks to buy a loaf of bread.(Germany right before Hitler took over) Now is the time start to prepare by talking to family and friends about how to get through the possible bad times.People will adapt, but being somewhat prepared will help. I pray our country will not have the extreme of this. Study your history of the 1920's-1930's. You will see what's coming.
Since the U.S. happens to be the world's biggest importer, those countries whose exports are linked to the US are bound to feel the impact of this predominantly US phenomenon. Added to this is the fact that the dollar has been rising in the past few weeks. As a result, importers from those countries whose currency has shown a value erosion vis-a-vis the US dollar, are bound to reduce their imports from the US. The net result of all this would be that due to a lessening of US demand, and also the the domestic demand in these countries not picking up, industries ( esp. the export-oriented ones ) will face closure and consequent unemployment.Which again, will lead to reduced purchasing power in the hands of the people and a consequent lack of demand thus accentuating the recessionary trends. A complete discussion would fill volumes but suffice it to say that our country is an exception to this as here the domestic market is indeed a very vast one and also the purchasing power is adequate enough to sustain demand at high levels.
USA is epicenter of this unstoppable and deepening world crisis,and we , Bolsheviks,are very happy indeed.We are using this crisis to ferment unrest at scores of countries.We started on Greece, because a lot of reasons,specially because its near the Balkans, and because the revolts will easily spread to Europe.
America, the historically highest point of development of world capitalism, has been transformed into the center of world capitalism has become the center of its deepening crisis.GM once a symbol of USA is on irreversible bankruptcy.
While, with the growth of US deficits, the need for foreign investors for financing it grows, US creditworthiness is rapidly deteriorating. The ratio of total US debt to GDP from 163 % in 1980 became 240% in 1990 and jumped to 346% in 2007.It is enormously aggravated with the dramatic developments of 2007-2008, including the addition to the public debt of $6 trillion liabilities of Fannie and Freddie and the $700 billion of the Paulson Plan. America has been transformed into a super-Argentina in a non-declared default. The problem of US over-indebtedness is transferred to the next Administration.All the efforts of US Fed and the Central Banks of the Big Powers will be in vain.
Any State intervention is totally inadequate to face the enormity of the problem produced by the over-accumulation of fictitious capital.
The derivatives market expanded from a $100 trillion in 2002 to $516 trillion in BIS's estimation in 2007 or $585 trillion in other estimations! Comparatively all the real goods and services produced by all economies in the world annually, the global annual gross domestic product is less than $50 trillion, and the US annual GDP of approximately $13 trillion. It becomes crystal clear that no intervention by the State, by a central bank or by all of them in the world put together could ever control the tempest of this ocean of derivatives.
The theory of the"uncoupled" economies is a complete failure and depicts the inferior quality of Capitalist "economists" they not only failed on forecasting this unstoppable world crisis ,but also they failed on recognizing the deepening recession at the very core of Capitalism ,USA.
The door for us is again open!We are very happy!
Btw our Brothers and Sisters at Italy are very active!
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This is the single largest problem facing the world and the USA today and for the next several yrs. Most people don't realize the massive problems coming from this. After a while there will most likely be shortages of almost everything. The real problems will be what happens when Governments fail on their debts.Look around the world, several countries are failing now. In this country, USA manny still don't think our Gov. can fail. I really hope it doesn't. Result, if it does. Anyone getting a Gov. check for anything, won't get it.The money will be no good.Just before the failure inflation will be so high that it could take a wheel barrel load of greenbacks to buy a loaf of bread.(Germany right before Hitler took over) Now is the time start to prepare by talking to family and friends about how to get through the possible bad times.People will adapt, but being somewhat prepared will help. I pray our country will not have the extreme of this. Study your history of the 1920's-1930's. You will see what's coming.
Since the U.S. happens to be the world's biggest importer, those countries whose exports are linked to the US are bound to feel the impact of this predominantly US phenomenon. Added to this is the fact that the dollar has been rising in the past few weeks. As a result, importers from those countries whose currency has shown a value erosion vis-a-vis the US dollar, are bound to reduce their imports from the US. The net result of all this would be that due to a lessening of US demand, and also the the domestic demand in these countries not picking up, industries ( esp. the export-oriented ones ) will face closure and consequent unemployment.Which again, will lead to reduced purchasing power in the hands of the people and a consequent lack of demand thus accentuating the recessionary trends. A complete discussion would fill volumes but suffice it to say that our country is an exception to this as here the domestic market is indeed a very vast one and also the purchasing power is adequate enough to sustain demand at high levels.
USA is epicenter of this unstoppable and deepening world crisis,and we , Bolsheviks,are very happy indeed.We are using this crisis to ferment unrest at scores of countries.We started on Greece, because a lot of reasons,specially because its near the Balkans, and because the revolts will easily spread to Europe.
America, the historically highest point of development of world capitalism, has been transformed into the center of world capitalism has become the center of its deepening crisis.GM once a symbol of USA is on irreversible bankruptcy.
While, with the growth of US deficits, the need for foreign investors for financing it grows, US creditworthiness is rapidly deteriorating. The ratio of total US debt to GDP from 163 % in 1980 became 240% in 1990 and jumped to 346% in 2007.It is enormously aggravated with the dramatic developments of 2007-2008, including the addition to the public debt of $6 trillion liabilities of Fannie and Freddie and the $700 billion of the Paulson Plan. America has been transformed into a super-Argentina in a non-declared default. The problem of US over-indebtedness is transferred to the next Administration.All the efforts of US Fed and the Central Banks of the Big Powers will be in vain.
Any State intervention is totally inadequate to face the enormity of the problem produced by the over-accumulation of fictitious capital.
The derivatives market expanded from a $100 trillion in 2002 to $516 trillion in BIS's estimation in 2007 or $585 trillion in other estimations! Comparatively all the real goods and services produced by all economies in the world annually, the global annual gross domestic product is less than $50 trillion, and the US annual GDP of approximately $13 trillion. It becomes crystal clear that no intervention by the State, by a central bank or by all of them in the world put together could ever control the tempest of this ocean of derivatives.
The theory of the"uncoupled" economies is a complete failure and depicts the inferior quality of Capitalist "economists" they not only failed on forecasting this unstoppable world crisis ,but also they failed on recognizing the deepening recession at the very core of Capitalism ,USA.
The door for us is again open!We are very happy!
Btw our Brothers and Sisters at Italy are very active!
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