Comments on: Head of IMF Proposes New Global Currency

By: Creative Destruction Engineering

Creative Destruction Engineering — Sat, 27 Feb 2010 23:08:12 +0000

One world currency? Just another ideological dream. It will be corrupted by the controllers as all other currencies have been corrupted. Even gold.

By: g7enn

g7enn — Sat, 27 Feb 2010 19:14:32 +0000

This meshes with what Lindsey Williams is saying on 2/25/10:

http://www.parenting-healthy-children.com/Parenting.xml

By: Krommentaar

Krommentaar — Sat, 27 Feb 2010 18:50:08 +0000

Let me think, a new currency, maybe a new bank too which can print endlessly the new bank notes? How about “tollar” and International Federal Bank or something…

By: frances snoot

frances snoot — Sat, 27 Feb 2010 14:57:38 +0000

“Mr. Obama plans to rely on a new debt commission to come up with recommendations on how to meet his promise to bring the figure down to the equivalent of 3% of GDP by 2015, according to budget analysts briefed on the proposal.”

http://online.wsj.com/article/SB10001424052748704722304575037470289762694.html

By: ronron

ronron — Sat, 27 Feb 2010 14:39:37 +0000

@Snoot. phil posted a vid on the other thread you should watch.

By: Hullaballoo

Hullaballoo — Sat, 27 Feb 2010 14:33:09 +0000

I think that the IMF is putting the cart before the horse here. The same people that brought you the IMF brought you the EU and the WTO. Right now, I think they should focus on keeping as much of the EU together as they can if they want to achieve their objectives of ‘ever closer union.’ The IMF is going to find itself facing a credibility problem as far as the IMFC is concerned if the ECB can’t keep the eurozone together.

Anyway, the EU is at its core a fascist institution which, by its very DNA can only grow into a non-representative prison for the people living within its boarders. At least with the council of ministers the member states had more say.

By: frances snoot

frances snoot — Sat, 27 Feb 2010 14:29:53 +0000

http://insideglobalbanking.com/2009/11/23/debt-and-deficits-an-eu-perspective/

But a deficit below 3% of GDP, as stated in the Maastricht Treaty, has become a long term goal – so long term, that I doubt its value.

(no so long-term…2013)

By: DepressionAlert

DepressionAlert — Sat, 27 Feb 2010 14:19:33 +0000

Mark my words, there will be no basket of currencies associated with any future world wide monetary system. There will be only one method of payment , through one central computer system (backed by two commodities-Gold and Silver).

By: frances snoot

frances snoot — Sat, 27 Feb 2010 14:18:34 +0000

The US has to have inflation or there won’t be global liquidity: we are moving to the sdr/system; the 3% rule will see fruition come in the form of the new reserve system. There is no other alternative (unless GATA has some ideedee?)

Where did the 3% ruling for debt/gdp come from? It is being applied in the Eurozone and US: where else? Is this a global regulation?

By: frances snoot

frances snoot — Sat, 27 Feb 2010 14:16:20 +0000

That arbitrary 3% to GDP! (Maybe it wasn’t arbitrary)

“Most economists, including Mr. Bernanke, say the debt won’t shrink until the deficit is restrained to about 3 per cent of GDP. That’s roughly the annual rate of growth the U.S. economy can manage in normal times without stoking inflation. If the deficit grows more quickly than the economy, the government has no ability to begin paring the debt.”

http://www.theglobeandmail.com/report-on-business/fix-the-deficit-first-bernanke-tells-us-politicians/article1480580/

By: frances snoot

frances snoot — Sat, 27 Feb 2010 14:11:00 +0000

The problem was addressed by the IMF in 2004:

http://www.allbusiness.com/finance-insurance/monetary-authorities-central-bank/164731-1.html

Creating an atmosphere conducive to their goals is what the IMF/BIS system is all about!

By: frances snoot

frances snoot — Sat, 27 Feb 2010 14:01:56 +0000

“Strauss-Kahn, a former finance minister of France, said that during the recent global financial crisis, the dollar “played its role as a safe haven” asset, and the current international monetary system demonstrated resilience.
“The challenge ahead is to find ways to limit the tension arising from the high demand for precautionary reserves on the one hand and the narrow supply of reserves on the other,” he said.”

He’s talking about providing liquidity without exporting inflation from the US. The ‘way’ Strauss-Kahn most probably plans to meet this goal is further sdr allotments. The article implies an expansion of the sdr for global liquidity.

Zhou:

“The centralized management of its member countries’ reserves by the Fund will be an effective measure to promote a greater role of the SDR as a reserve currency. To achieve this, the IMF can set up an open-ended SDR-denominated fund based on the market practice, allowing subscription and redemption in the existing reserve currencies by various investors as desired. This arrangement will not only promote the development of SDR-denominated assets, but will also partially allow management of the liquidity in the form of the existing reserve currencies. It can even lay a foundation for increasing SDR allocation to gradually replace existing reserve currencies with the SDR.”

http://www.bis.org/review/r090402c.pdf

http://articles.moneycentral.msn.com/Investing/JubaksJournal/OurBiggestExportInflation.aspx

By: DepressionAlert

DepressionAlert — Sat, 27 Feb 2010 13:59:34 +0000

Look beyond the Horizon.

A Silver lining awaits all who yearn for a better day.

By: Hullaballoo

Hullaballoo — Sat, 27 Feb 2010 13:51:13 +0000

No surprise