The real reason the fed will devalue the dollar

[blazespinnaker]

Not to get rid of debt, but rather nominal promises associated with entitlement reform (ie: the solution to too much social security is just to make it worthless and thus no need to change it via the political process.)

"Ironically, in the absence of an agreement on entitlement reform, the politically most convenient solution is a devaluation of the dollar."

http://www.kitcocasey.com/displayArticle.php?id=990


Given Alan credit:

"At another point, in response to a question from Democratic Senator Jack Reed of Rhode Island, Greenspan said, ``We can guarantee cash benefits as far out and at whatever size you like, but we cannot guarantee their purchasing power."

http://quote.bloomberg.com/apps/news...d=aLm76TyE5mnQ

[blazespinnaker]

Re: The real reason the fed will devalue the dollar

This is why the government probably lies about inflation.

Entitlement reform by lying to your constituents. If something is politically unpopular, just lie about it...

Yeah.