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How Will the Dollar Crash Affect ME PERSONALLY?

Sunday, April 26, 2015 15:10

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(Before It's News)

By: Voice of Reason

FOR MORE NEWS BY VOICE OF REASON CLICK HERE!

EVERYONE SAID, “OH, IT WILL NEVER HAPPEN… CONSPIRACY TALK”

GUESS WHAT? IT’S ALMOST COMPLETE…

THANKS TO PURE IGNORANCE, A TERRIBLE EDUCATION SYSTEM, INCOMPETENT USELESS MEDIA OUTLETS, AND LYING POLITICIANS…

THE UNITED STATES WILL PAY DEARLY!!!!!

THE BIGGEST THREAT FACING THIS COUNTRY IS THE POLITICIANS!

THANKS TO THEIR LIES, OUR FINANCIAL RUIN IS IMMINENT!

In my post titled: EMP ATTACK WOULD KILL 90% OF US POPULATION AND COINCIDENTALLY GUESS WHERE UNCLE SAM IS MOVING, I cover not only why an EMP attack is so deadly, but why it’s suspiciously strange that all of a sudden the government is moving as quickly as it can to renovate and move important assets to its Cheyenne Mountain complex that was established during the cold war, and has been largely unused the last two decades. WHY? What is going on?

While Uncle Sam feverishly works to upgrade and renovate the Cheyenne Mountain complex, at the same time MARTIAL LAW TRAINING BEGINS ACROSS SEVEN STATES, and ultimately SPREADS OUT TO WHAT APPEARS TO BE AT LEAST THIRTY STATES NOW! Allow me to state the obvious: If government KNEW there was going to be an EMP attack, then they would know where to take the fight to prevent it. I don’t think that is the cause for the MARTIAL LAW TRAINING which has suspended The Posse Comitatus Act after standing for 137 years. “PRE-OBAMA,” The Posse Comitatus Act was law that prevented the U.S. military from policing its own citizens. Not only does Obama have no problem with them policing the citizens now, D.H.S. DOCUMENTS SHOW HE HAS NO PROBLEM WITH THEM TARGETING “PATRIOTS, CAPITALISTS, AND VETERANS” either!

The government’s Cheyenne Mountain complex appears now to be one of many SECRET UNDERGROUND MILITARY INSTALLATIONS OR LIVING QUARTERS OF SOME KIND. I think it’s safe to assume that these recently discovered complexes are currently in place for the perpetuation of government itself if disaster strikes, not the people it represents. That much should be apparent by the HUMAN REMAINS DISCOVERED IN MASSIVE NEW TUNNELS LEADING TO UNDERGROUND GOVERNMENT LOCATIONS.

There is NO QUESTION the government has been preparing for something awful coming, and soon, because a NAVY SEAL CONNECTED TO THESE MYSTERY UNDERGROUND TUNNELS SAID THEY MUST BE FULLY STOCKED WITHIN 6 MONTHS. I wonder why that is? What does Uncle Sam know is coming within six months that most Americans don’t know about? Allow me to tell you:

A FINANCIAL COLLAPSE OF BIBLICAL PROPORTIONS!

HOW VULNERABLE IS AMERICA TO MASS STARVATION? VERY!

Government knows the mess they’ve made. If you’ve been reading ANYTHING I’ve been putting out for 3 years you know what’s coming too, and you know why. Who knows, maybe there has been some intelligence discovered that an enemy plans to wait until AFTER the financial collapse to detonate an EMP blast, ensuring that 250,000,000 MILLION AMERICANS suffer to the maximum extent possible. I don’t know what government does or does not know. I only know what I do. Hell on earth is coming our way when our financial ponzi scheme comes crashing down. I’ve laid the evidence out in countless pieces, the most recent few being:

AMERICANS NEED TO WAKE UP!

How The Petrodollar Quietly Died, And Nobody Noticed

Zero Hedge writes: Two years ago, in hushed tones at first, then ever louder, the financial world began discussing that which shall never be discussed in polite company – the end of the system that according to many has framed and facilitated the US Dollar’s reserve currency status: the Petrodollar, or the world in which oil export countries would recycle the dollars they received in exchange for their oil exports, by purchasing more USD-denominated assets, boosting the financial strength of the reserve currency, leading to even higher asset prices and even more USD-denominated purchases, and so forth, in a virtuous (especially if one held US-denominated assets and printed US currency) loop.

The main thrust for this shift away from the USD, if primarily in the non-mainstream media, was that with Russia and China, as well as the rest of the BRIC nations, increasingly seeking to distance themselves from the US-led, “developed world” status quo spearheaded by the IMF, global trade would increasingly take place through bilateral arrangements which bypass the (Petro)dollar entirely. And sure enough, this has certainly been taking place, as first Russia and China, together with Iran, and ever more developing nations, have transacted among each other, bypassing the USD entirely, instead engaging in bilateral trade arrangements, leading to, among other thing, such discussions as, in today’s FT, why China’s Renminbi offshore market has gone from nothing to billions in a short space of time.

And yet, few would have believed that the Petrodollar did indeed quietly die, although ironically, without much input from either Russia or China, and paradoxically, mostly as a result of the actions of none other than the Fed itself, with its strong dollar policy, and to a lesser extent Saudi Arabia too, which by glutting the world with crude, first intended to crush Putin, and subsequently, to take out the US crude cost-curve, may have Plaxico’ed both itself, and its closest Petrodollar trading partner, the US of A.

As Reuters reports, for the first time in almost two decades, energy-exporting countries are set to pull their “petrodollars” out of world markets this year, citing a study by BNP Paribas (more details below). Basically, the Petrodollar, long serving as the US leverage to encourage and facilitate USD recycling, and a steady reinvestment in US-denominated assets by the Oil exporting nations, and thus a means to steadily increase the nominal price of all USD-priced assets, just drove itself into irrelevance.

A consequence of this year’s dramatic drop in oil prices, the shift is likely to cause global market liquidity to fall, the study showed.

This decline follows years of windfalls for oil exporters such as Russia, Angola, Saudi Arabia and Nigeria. Much of that money found its way into financial markets, helping to boost asset prices and keep the cost of borrowing down, through so-called petrodollar recycling.

But no more: “this year the oil producers will effectively IMPORT capital amounting to $7.6 billion. By comparison, they EXPORTED $60 billion in 2013 and $248 billion in 2012, according to the following graphic based on BNP Paribas calculations.”

In short, the Petrodollar may not have died per se, at least not yet since the USD is still holding on to the reserve currency title if only for just a little longer, but it has managed to price itself into irrelevance, which from a USD-recycling standpoint, is essentially the same thing.

Jeff Thomas writes: Historically, when a nation’s debt exceeds its ability to repay even the interest, it can be assumed that the currency will collapse. Typically, governments exacerbate the situation by printing large amounts of currency notes in an effort to inflate the problem away, or at least postpone it.

SOUND FAMILIAR ANYONE?

The greater the level of debt, the more dramatic the inflation must be to counter it. The more dramatic the inflation, the greater the danger that hyperinflation will take place. No government has ever been able to control hyperinflation. If it occurs, it does so quickly and always ends with a crash.

Although there are observers (myself included) who frequently discuss what a reserve-currency crash would mean to the world, there is little or no discussion as to how this would impact people on the street level, and perhaps that discussion should begin.

When currencies crash, the state often tries to float a new currency. Sometimes, it’s accepted, sometimes not. Generally, the people of the country (and those trading within the country) move immediately to “the next best thing.” In 2009, when the Zimbabwe dollar crashed, several currencies were used, but the US dollar was the clear favourite, as it was the world’s reserve currency and therefore the most “spendable” currency.

Not surprisingly, the Zimbabwean government fought the use of the dollar, as they wanted to retain control of the economy and the people. People were therefore penalised for using the US dollar and other currencies.

And that’s what most governments do, but here’s where that idea usually falls down: First, the “black-market” currency is so desired by the now-jaded citizens that they do all they can to avoid the new official currency. Soon, most transactions, although illegal, are undertaken in the black-market currency. Second, since no one really wants the new currency, even the political leaders are soon using the black-market currency.

468×60, created 6/30/10

Ultimately, the black-market currency is legalised (since it’s the only truly workable solution), and it often becomes the unofficial currency, if not actually the official one.

FIRST, THE EURO CRASH:

It’s safe to say that the EU, the US, and quite a few other jurisdictions are nearing currency crashes, and in all likelihood, the euro will go before the dollar. So, unless the EU has already prearranged a new euro, the US dollar might well be chosen as an immediate solution to the problem, as the US dollar is presently recognised and traded throughout Europe. Therefore, a relatively painless transfer could be made.

THEN, THE DOLLAR CRASH:

However, the dollar, which is presently praised as being a sound currency, is really only sound in relation to the euro (and some other lesser currencies). Once its less stable brother, the euro, collapses, the dollar will be exposed.As the US dollar is a fiat currency and is on the ropes, the US (and any other country that is using the dollar as its primary currency when the time comes) will experience a currency emergency at the street level that will be unprecedented.

The big question that is generally not being discussed is: The day after the crash (and thereafter), what will be the currency that is used to buy a bag of groceries, a tank of petrol, a meal at a restaurant? Certainly, the need will be immediate and will be on a national level in each impacted country, affecting everyone.

AND THEN…

I have discussed for some time that the US will be prepared ahead of time with a new, electronic currency. This will serve four purposes:

It will allow the US government to blame paper currencies for the crash, in order to distract the public from recognising that the government itself is the culprit.
It will allow the US government to create a currency system that disallows the holding of tradable currency by the population—that is, a debit card would be created by banks through which all transactions must pass, assuring that all transactions are processed by (and thereby subject to the control of) a bank.
It will allow the US government to have knowledge of every penny earned and spent by any individual or organization, allowing for direct-debit income taxation.
If the US does institute such a system, US citizens will then become the most economically controlled people in the world, overnight.

It’s likely that a black-market system would spontaneously be created by US citizens in order to bypass the new government system. A portion of daily trade would occur under the table. It would unquestionably be made illegal, and we can only speculate as to how prevalent it would become: 10% of all transactions? 30%? Anyone’s guess. Certainly, the government would crack down, and penalties might become severe.

Elsewhere in the world, there would be greater freedom, but what would their currencies be? There are many countries that presently use the US dollar as one of their official currencies. After a crash, the greater the link to the US dollar, the greater the loss of economic freedom, although, in most such countries, the government is likely to be less efficient than in the US, which would work in favour of the individual.

Such countries would also have the option of switching from the dollar to another dominant currency. With the euro and dollar gone, that currency might be the Chinese yuan. The difficulty with this possibility is that, presently, the yuan is not in common use on the street.

Adoption of a currency such as the yuan would require a sudden switch in monetary policy, complete with teething problems. However, recent developments amongst the BRICS and others indicate that many countries are already seeing the writing on the wall and are readying themselves for the use of the yuan as an alternate.

A RETRUN TO PRECIOUS METALS AS CURRENCY?

A further possibility is taking place in Mexico today. Mexico is remonetising silver. A one-ounce pure silver Libertad coin will function in parallel to (and be interchangeable with) the existing paper peso. Banks will value the Libertad daily, based upon the silver price. Thus, Mexico will create a legal way for its citizens to protect themselves against devaluation of the peso, whilst creating an internal protection against currency crashes in other countries.

If the Mexican government remains consistent in its plan, it will do more than simply help stabilise Mexico economically; it will serve as an example to other countries that when the Goliaths of the euro and US dollar fall, there is a very sound alternative.

Further, the more countries that follow this policy, the more silver (and for that matter, gold) would become an international currency. It would matter little to a petrol station owner in Canada, Australia, or Chile whether his till was filled with coins marked, “Mexico,” or whether they said “Iceland,” “New Zealand,” or “South Africa.” After all, an ounce of silver is an ounce of silver, no matter what the issuing country is.

As the Great Unravelling proceeds, we would be wise to monitor what happens with the Libertad in Mexico and watch for a similar return to precious metals in other jurisdictions. As this development progresses, we might wish to consider that, whatever jurisdictions are the most forceful in demanding the continued use of doomed paper currencies (or, worse, transferring into electronic currencies), we may choose to store our wealth, no matter how great or small, in a safer jurisdiction. Further, we may choose to reside in a jurisdiction where a currency crisis will be less likely to occur; to live under a government that does not seek to monitor and tax our every economic transaction

International Man Editor’s note: To help you protect your life savings from a drop in the dollar, and depending on one currency and the whims of one government, we’ve prepared a free, in-depth video presentation called, “Internationalizing Your Assets.”

You’ll discover how easy, and essential, it is to move a portion of your savings overseas and protect yourself from rising taxes, capital controls, asset forfeiture, and even predatory lawsuits. Doug Casey and Peter Schiff round out our all-star panel of experts. Click here to watch this insightful webinar, it’s completely free.

SO… WHAT HAPPENS TO YOU PERSONALLY?

LUCKY YOU! You will get to run for your life from those who need what you have, or you will end up in a FEMA camp, or you will be dead. As I said in my post titled: U.S. DOLLAR DOMINATION IS OVER:

To begin, I think we can all assume that when we are both $18 TRILLION IN DEBT (making us the largest debtor in the world), and have over $200 TRILLION in unfunded liabilities, that becoming a BANKRUPT NATION with a WORTHLESS CURRENCY is VERY bad. I don’t think you need to be a member of any party to come to that conclusion.

FACT:

We are $18 TRILLION in debt. Very soon the interest payments on the debt we owe will EXCEED our GDP, or what we earn as a nation.

TRANSLATION:

That is like making 35k per year, and the interest on your credit cards, or the minimums due on them, being more than than your ENTIRE take home pay. That means there is no money for a car, a home, food, or EVEN the Obamacare you love paying for so much.

FACT:

We have around $200 TRILLION in unfunded liabilities

TRANSLATION FOR NORMAL PEOPLE:

That means that the sh**load to end all sh**loads of promises have been made by politicians to buy votes for things that PEOPLE WILL NEVER SEE IN A MILLION YEARS, even though they were promised.

TRANSLATION FOR LIBERALS:

YOU’VE BEEN DUPED! All the free stuff you were promised isn’t coming, and lower levels of poverty IS coming. Good work vetting your candidates or learning history. Well done.

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WHAT HAPPENS WHEN INTEREST EXCEEDS INCOME?

When the interest on our debt is greater than our ability to pay it, the county goees bankrupt. When was the last time you saw lenders (other nations in this case) rushing to lend money to bankrupt people? I hope I don’t have to elaborate on that point. That’s when the lights go out and you better be locked and loaded.

Moving on, in the past, because we were the World Reserve Currency, we have always just “printed more money out of thin air,” because we’ve controlled the printing press. Kinda convenient right? It was for a long time. It won’t be soon, when the world takes away our ink. The problem with just printing more money is it makes the existing money worth less. If it’s worth less, when we exchange it with other countries for their currencies in order to be able to buy THEIR goods, it buys LESS. We’ve seen that erosion over my lifetime. When I was kid, you could go to Europe, and almost anywhere you went, you were filthy rich and could buy anything with a $100 in your pocket. Now go try that.

SO WHAT YOU SAY! YOU DON’T GO TO EUROPE.

YOU BUY THINGS HERE!

Uh, ok. You DO realize we currently have a trade deficit of about $500 BILLION annually right? NEWS FLASH: We buy a LOT of things from other places. In fact we buy WAY more from other places than we do from OUR OWN COUNTRY! Why do you suppose that is? That’s because we’ve outsourced so much of our production capability to other countries for cheep labor. TRANSLATION: What little we produce here, no one here wants.

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WHAT DO YOU GET WHEN YOU MIX A BANKRUPT COUNTRY NO ONE WILL LEND TO, FULL OF ANGRY CITIZENS PROMISED THINGS THEY WILL NEVER SEE, AND WHO CAN NO LONGER IMPORT ALL THE THINGS THEY’VE GROWN ACCUSTOMED TO BECAUSE OUR DOLLAR WON’T BUY SO MUCH AS A USED SHOELACE ANYWHERE ELSE?

YOU GET A COUNTRY THAT HAS TO LIVE OFF WHAT IT PRODUCES!

WAIT! WE DON’T PRODUCE MUCH…

RIGHT! AND THERE ARE 100 MILLION PEOPLE WITH 300 MILLION GUNS!

http://www.contactingthecongress.org

THANK YOUR GOVERNMENT FOR SCREWING YOU! THERE ARE THEIR NUMBERS:

By: Voice of Reason

FOR MORE NEWS BY VOICE OF REASON CLICK HERE!

THE VOICE OF REASON