Chinese economy overtakes Japan
China has become the world's second-biggest economy after the US, pushing Japan to third place in 2010.
That reserve currency only lasts until the supply runs out and as it is the American currency, the US is in the enviable position to manipulate the supply and therefore the value of that dollar... Hell, the Chinese gvt was recently rattling their sabre about that.
What good is a money supply if nobody any longer accepts it? If you don't have pesos before you head into Mexico good luck spending them or exchanging for a fair rate. The banks aren't taking them so resorts and bars are nervous.
I hate to point this out but maxing out your debt every single year does not mean you have a vibrant economy.
But everyone does accept it. In fact, one might say that it is the closest thing that we have to a world currency.
In terms of Mexico, its been a while since I have visited, but I'd wager that things haven't changed much in that they prefer the greenback to the Peso
You're right. But this isn't about debt, it's about the trading platform (ie Greenback). Further, the Chinese have been buying up US dollars for years when teh dollar was strong. Today it is weaker and they (the Chinese) have (relatively) lost money on the FX exchange
Only because they haven't tried collecting that debt yet. All those Federal blocks of 'heritage/wildlife lands' will also be down in value to compensate for the decline of the dollars worth.
China and Russia do zero oil sales in US dollars. They once used to but not any more.
Any business that they do in North America are (almost exclusively) done in USD.
To this day, the Chinese currency is tightly controlled and rarely traded in Western markets.
I don't really see the relevancy in that issue... Those lands will never be sold off regardless of the economic situation.
They already have been. Let the 90% who are not the elite to die off in a 5 year campaign of starvation/poison/shooting and China has an open country with a population that would gladly serve China's wishes or the new immigrants will just kill them off like we killed off the Indians when Europe claimed the land as theirs. The issue isn't what language we end up speaking it is if we will have a tongue that wags at all.Quote has been trimmed, See full post:
CRITIQUE OF “Feds Grant Eminent Domain as Collateral to China for U.S. Debts.” by Bernadine Smith
This is written in response to criticisms regarding the article on eminent domain being circulated, entitled: "Feds Grant Eminent Domain as Collateral to China for U.S. Debts." Whether it is based on information gained or not, the circumstances tie into facts that need to be taken into consideration, and it most likely characterizes reality. In the least it could be a warning of circumstances which need to be taken into consideration. The thoughts it evokes is something dreadful, but these possibilities have to be dealt with! Let's examine the similarity to the facts:
And if nobody is taking your money in the big city either you get pimped out to clear yahoos out of the Himalyas so your boss can move in or you starve as a nobody.
China has become the world's second-biggest economy.
Wait 'til they get labour unions
They are a union.