ASSAULT ON THE DOLLAR, PHASE II
The phase two plan on the assault on the US Dollar is starting. The Obama Administration is forcing China to value its currency higher, which means the US Dollar gets devalued once again. And how does China run the value of its currency up? By buying back the Yuan, and selling off some of the forty two trillion (yes trillion with a “T”) US Dollars it has stashed away in T-Bills. That means China, which has a booming economy at the moment, puts the Dollar up for sale to the highest bidder on the world monetary exchange. And no one is buying worthless unbacked IOU’s last I checked. So expect the dollar’s value to drop sharply in the coming months ahead.
And what does that mean for the average dirt biker? Since everything is produced overseas now, it means that a B8ES spark plug that use to cost you $1.99 will pretty soon run you about ten bucks a copy. Along with chains, tires, hand grips, etc. you can expect to see a 70% rise in the cost of motorcycle parts, and that’s just the beginning.
I remember back in the late nineteen seventies, in the Carter Administration, when old Jimmah' printed up 26% more currency to cover the debt on his social programs, that made Johnson’s “Great Society” debacle look like sound thinking. Interest rates shot up to around 21% on everything, gas reached one dollar a gallon for the first time in history, and the purchasing power of the dollar plummeted on the word markets. While that might have falsely bumped up our exports for a few months, it ultimately caused a great double-dip recession that gave the Carter Administration the “malaise and apathy” handle. And rightly so, since he should have been back in Georgia, tending to his peanuts.
Then we have the “print more dollars” bunch that thinks since a country can’t declare bankruptsy it can just print more money, and spend its way out of trouble, like we have now. How many times has this been tried, with terrible results? But I really think this is a grand design that the current administration hopes will cause political and social unrest, so they can stage a fake right-wing incident somewhere to declare marshal law, and effectively end the United States as we once knew it.
Now Galanter and his minions at the FED have tried to prop-up a faltering economy by injecting 126% more currency into the economy. If the interest rates shot up in 1978 from printing 26% more money, what do you think flooding the world with 126% more worthless paper will do to interest rates here in the USA? The bond market will tank, foreign nations will dump even more dollars, and, well, you will have a real crisis that will effectively end our way of life as we knew it. Obama’s “change” is not one for the better.
You can call me a reactionary right-wing nutcase, but all I am is the news messenger. News that no one at the moment is willing to take seriously. But mark my words, within one to two years, if these plans succeed, you will not be able to recognize the United States. It will resemble France circa 1970, with a dispossessed workforce, a ruined manufacturing base, and unemployment at 13% across the board. Of course social programs will hope to make up for this, and the dispossessed will look to the government for subsistence. There will be no more middle class, most having moved to Brazil, and interest rates will be up there around 30%. Just take a look at the charts, and tell me who’s been minding the hen house for the last thirty years? Look who are the owners of the United States now? My God. Frightening.
All I can say is good luck, because we’ll need it. And when it comes to the off-road motorcycle industry, we’ll be lucky to be riding old Allstate Twingles (and liking it) when we are under the thumb of the new improved Socialist States of Amerika.
And they said it couldn’t happen here. It's like the "Body Snatchers"...
And watch the bond market tank as all this unfolds, ending investment in our economy by foreign speculators who once held the US Dollar as the safest investment out there. Not anymore.
Bye bye way of life. Bye Bye restored 490 Maico. Hello 20 year old Volvo and a can of Mac & Cheese.
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