The USA is still trying to expand it's military, building new base in the Philippines. This was to keep China in check Militarily, but soon US won't be able to keep all it's worldwide bases open. The Chinese may well be able to take these US military bases over without firing one shot.
The US dollar is going to crash as well as American way of life, if the dollar is no longer a world currency. We can thank Obama and the Republicans for it. It may be a good idea for Americans to get out of the dollar, buy silver and gold.
The link below shows a story of China And Saudi Arabia building the largest refinery in the world in Saudi Arabia. The refinery can handle 400,000 barrels of oil per day. So why does Saudi Arabia need the USA any more like in the past.
Surviving the killing fields of Minnesota
Todays brainwashing: GMO's are safe
Might even save your life if traveling abroad.
I know full well the world hates us.
But we have only ourselves to blame for the rotted-bastard politicians we put in place to represent us in killing people all over the world.
I firmly believe people like Bush (both of them), Cheney, Rove, Rumsfeld, Wolfowitz, Bremer, McCain, Graham. Lieberman, Levin, Hannity, Medved, Kristol, Santorum, (ANYONE who voted for the Iraq war), Gibson, Beck, etc are going to burn in hell for eternity (IF there is any after-life justice).
They have either directly (or in public forums) supported killing millions of people worldwide in the name of control and profits.
"We have allowed our nation to be over-taxed, over-regulated, and overrun by bureaucrats. The founders would be ashamed of us for what we are putting up with."
Global sentiment toward the United States has dramatically shifted, and this should not be underestimated.
Decades ago, we were one of the most loved nations on earth.
Now we are one of the most hated.
If you doubt this, just do some international traveling.
Even in Europe (where we are supposed to have friends), Americans are treated like dirt. Many American travelers have resorted to wearing Canadian pins so that they will not be treated like garbage while traveling over there.
If the rest of the world still loved us, they would probably be glad to continue using the U.S. dollar. But because we are now so unpopular, that gives other nations even more incentive to dump the dollar in international trade.
So what will happen if the reign of the U.S. dollar as the world reserve currency comes to an end?
Well, some of the potential effects were described in a recent article by Michael Payne....
"The demise of the dollar will also bring radical changes to the American lifestyle. When this economic tsunami hits America, it will make the 2008 recession and its aftermath look like no more than a slight bump in the road. It will bring very undesirable changes to the American lifestyle through massive inflation, high interest rates on mortgages and cars, and substantial increases in the cost of food, clothing and gasoline; it will have a detrimental effect on every aspect of our lives."
Most Americans don't realize how low the price of gasoline in the United States is compared to much of the rest of the world.
There are areas in Europe where they pay about twice what we do for gasoline. Yes, taxes have a lot to do with that, but the fact that the U.S. dollar is used for almost all oil transactions also plays a significant role.
Today, America consumes nearly a quarter of the world's oil. Our entire economy is based upon our ability to cheaply transport goods and services over vast distances.
So what happens if the price of gasoline doubles or triples from where it is at now?
In addition, if the reign of the U.S. dollar as global reserve currency ends, the U.S. government is going to have a much harder time financing its debt.
Right now, there is a huge demand for U.S. dollars and for U.S. government debt since countries around the world have to keep huge reserves of U.S. currency lying around for the sake of international trade.
But what if that all changed?
What if the appetite for U.S. dollars and U.S. debt dried up dramatically?
That is something to think about.
At the moment, the global financial system is centered on the United States.
But that will not always be the case.
The things talked about in this article will not happen overnight, but it is important to note that these changes are picking up steam.
Under the right conditions, a shift in momentum can become a landslide or an avalanche.
Clearly, the conditions are right for a significant move away from the U.S. dollar in international trade.
So when will this major shift occur?
Only time will tell.
Peter Schiff is very comfortable in conflict.
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