Tweet
Re: New form of money as PURE ENERGY ?
I was thinking about the growing (festering) trade imbalance between the U.S. and China, especially because China is on the verge of rejecting this current nebulous "privileged U.S. dollar world reserve-currency system". China has too many U.S. dollars "in reserve" now backed by "the full faith and credit of the United States government". ( These aforementioned quotes here are from Greenspanese. )
The Govn't of China knows that imbalances under the current "floating exchange-rate system" (Greenspanese) can be, and usually are, settled by currency adjustments, often hastened by overt fiat de-valuations of the weak (uncompetitive) currency against the appreciating ( very competitive ) strong currency. Hence, in the case of China's surplus of U.S. dollars, the U.S. dollar would be de-valued relative to the Chinese yuan in order to make U.S. exports more competitive in China's domestic economy.... But the rub would be that China's well-earned reserve of U.S. dollars would be de-valued in yuan.
This outright insanity where the cheap (weak) currency is strong in the context of world trade, and the expensive (strong) currency is weak in the context of world trade, is the application of Keynesian economics in the real world. Along with this insanity, savings (reserves) are de-valued in the trade-surplus nation, and debts evaporate in the trade-deficit nation..... So in this insanity--- and this incredible insanity could only come from economists in universities---- Zimbabwe (or America or the UK) would prosper, and China ( or any of the BRIC nations ) would be starve. In other words, nations which produce nothing except paper money, consumption, faith, credit and promises-- would prosper; and conversely, nations which work, produce, export, sacrifice and save--- would starve..... Incredible!
So in the proposed energy-standard monetary system, China would present its energy certificates to America and receive such things as enriched uranium, liquified natural-gas (LNG), coal, oil, or if China chooses: any U.S. products. Under the proposed energy-standard system, America would have to drill for oil, up-grade oil, mine for coal, drill for gas, produce LNG, and enrich uranium.... In other words, for the first time since 1971 when the gold window was closed, America would have to live within its means, sacrifice, save, plan, produce, export, and cater to the world market.
Once the world goes onto the energy standard ( or returns to the gold standard ) guess what is going to happen to "rare and endangered" field mouse preservationists, ecologists, nationalists, English-only bigots, xenophobic racists, militarists, pot-heads, drug gangsters, anthropogentic global warming idiots like Al Gore, solar panel promoters and hucksters like Solindera Co. in San Jose, stock market manipulators, big governments, the EPA, Keynesian economists, Greenspan, Bernanke, and the Federal Reserve Bank in America?
I was thinking about the growing (festering) trade imbalance between the U.S. and China, especially because China is on the verge of rejecting this current nebulous "privileged U.S. dollar world reserve-currency system". China has too many U.S. dollars "in reserve" now backed by "the full faith and credit of the United States government". ( These aforementioned quotes here are from Greenspanese. )
The Govn't of China knows that imbalances under the current "floating exchange-rate system" (Greenspanese) can be, and usually are, settled by currency adjustments, often hastened by overt fiat de-valuations of the weak (uncompetitive) currency against the appreciating ( very competitive ) strong currency. Hence, in the case of China's surplus of U.S. dollars, the U.S. dollar would be de-valued relative to the Chinese yuan in order to make U.S. exports more competitive in China's domestic economy.... But the rub would be that China's well-earned reserve of U.S. dollars would be de-valued in yuan.
This outright insanity where the cheap (weak) currency is strong in the context of world trade, and the expensive (strong) currency is weak in the context of world trade, is the application of Keynesian economics in the real world. Along with this insanity, savings (reserves) are de-valued in the trade-surplus nation, and debts evaporate in the trade-deficit nation..... So in this insanity--- and this incredible insanity could only come from economists in universities---- Zimbabwe (or America or the UK) would prosper, and China ( or any of the BRIC nations ) would be starve. In other words, nations which produce nothing except paper money, consumption, faith, credit and promises-- would prosper; and conversely, nations which work, produce, export, sacrifice and save--- would starve..... Incredible!
So in the proposed energy-standard monetary system, China would present its energy certificates to America and receive such things as enriched uranium, liquified natural-gas (LNG), coal, oil, or if China chooses: any U.S. products. Under the proposed energy-standard system, America would have to drill for oil, up-grade oil, mine for coal, drill for gas, produce LNG, and enrich uranium.... In other words, for the first time since 1971 when the gold window was closed, America would have to live within its means, sacrifice, save, plan, produce, export, and cater to the world market.
Once the world goes onto the energy standard ( or returns to the gold standard ) guess what is going to happen to "rare and endangered" field mouse preservationists, ecologists, nationalists, English-only bigots, xenophobic racists, militarists, pot-heads, drug gangsters, anthropogentic global warming idiots like Al Gore, solar panel promoters and hucksters like Solindera Co. in San Jose, stock market manipulators, big governments, the EPA, Keynesian economists, Greenspan, Bernanke, and the Federal Reserve Bank in America?
Comment