Your not supposed to believe in the dollar

in the sept 7 TYT Cenk talks about investors buying gold because they dont believe in the dollar. I wanted to point out a few things.
  1. The dollar is the property of the federal reserve bank.
  2. The U.S. government pays interest for the dollar with our tax money.
So if somebody has a million dollars its their money but the interest has to be paid so it becomes worth less the longer they hold it the more interest to be paid and the less its worth. To avoid the loss you spend it, the more the dollar is spent the better value we the people get on the dollar. Ideally you would put extra dollars in the investment market and ideally they would quickly circulate through the companies they invest in to the employees who produce more so the country as a whole produces more wich makes the dollar worth more, the investment made worth more etc...
If you dont belive in the capital market then you buy gold to keep the dollar circulating. 

So it would seem to me that this investor is doint the "right thing" for our capitalist system and that any "statement" we can read from the story is about our capital market, or our system of investment, but it may well be the american worker that kept him from investing in any american companies. For Cenk to say it points to a collapse of the dollar is just as outrageous and counter-productive as whats comming from the right. Why don't you tell us about the companies that aren't investing in anything, the ones holding large sums of the federal reserve's dollars and manipulating the system so that we the people pay the interest on their money, and further be able to purchase more should they decide to spend it later?
The whole thing points to the fact that we as a country don't know or agree on the basic principles of how our economy works. I mean this is basic stuff, how is our economy going to be the best in the world or even continue to exist if the participants dont understand it? 
I think the president should give a speech on the basics of how our economic system works. It would give everyone a basis when talking about reforming the system or regulating or whatever the current term is. Lets have one of our "national discussions" abou t how our economy works. 
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of course they are going to increase taxes. we lowered taxes and went to war twice, with borrowed money. How many generations do you want to wait before we pay for that? 
 nothing at all in your post about how getting rid of the democrats is going to do anything to the economy. we just saw how bad the republicans are for the economy. So the job reports wont be as large as we like, when the republicans were in they were in the negatives, even with the largest gains in history it will take decades to get them back. I havent heard any republicans answers other than tax cuts, wich have a been horrible in the past.
 Why dont you tell us how the american economy is going to function under the republicans? Why dont you explain how confidence in the market and sending more money to china and other productive nations would benefiit us?
How exactly would it help us to have mattress' stuffed with cash?
  Nice partisan hatchet job no information at all just that the nation hates dems. well the dems have been kicking your ass for the last couple cyles. ...at least your post reminds me of why i dont talk to republicans.  

by stevebeast on 09/08/2010 10:06:40 PM EST

there isn't much to cut.  Instead the Republicans are going to whine and complain and then sign on to the tax increase claiming the Democrats made us do it.

As for Cenk, he's right.  The dollar is crashing as intended.  you can't dump trillions of dollars into global markets without it eventually impacting the value of the dollar.  It usually takes 10 to 18 months, that would be about now.

Berating people for being smart with their money is stupid, instead give them something to believe in and they'll invest.  Right now, with reason, they don't believe in Obamanomics.  It might have something to do with Geitner.

If given a choice I would keep Rahm and dump Geitner.  Too bad it's going to be the other way around. 

Don't waste your vote, vote Green or Independent in the next election.

by mcamelyne on 09/09/2010 06:14:01 AM EST

I think that people were divesting from our capital markets before Obama, in fact stabalizing the markets is one thing i would give obama credit for. Nobody has defined Obamanomics, sure he wants to end the tax cuts, probably a good idea taxes have been going down my entire life as costs have gone up, but you cant call that Obamanomics.
Cenk may be right that the dollar is crashing, but the story had nothing to do with dumping trillions in foreign markets, it was about an investor buying gold.

by stevebeast on 09/09/2010 12:04:24 PM EST

[ Parent ]

the dumping trillions in the markets.  Actually, Obamanomics sounds better than Geitneranomics.  Obama is not an economist, that much is obvious.

A jobless recovery is an oxymoron.

Paying unemployment money and teachers salaries is not stimulus, that's maintaining status quo.

Transferring American wealth to banks is just plain dumb.

Don't waste your vote, vote Green or Independent in the next election.

by mcamelyne on 09/09/2010 11:51:41 PM EST

[ Parent ]
to suggest that Geithner is an economist either.

by SalemP on 09/10/2010 01:31:05 AM EST

[ Parent ]

Here is his bio...

Timothy Franz Geithner (pronounced /ˈɡaɪtnə ;r/; born August 18, 1961) is an American economist, banker, and civil servant. He is the 75th and current United States Secretary of the Treasury, serving under President Barack Obama. He was previously the president of the Federal Reserve Bank of New York.

http://en.wikipedia.org/wik i/Timothy_Geithner

Or maybe he just has his priorities screwed up.  He forgot that when he took his oath of office that he stopped working for the banks.

Don't waste your vote, vote Green or Independent in the next election.

by mcamelyne on 09/10/2010 07:56:30 AM EST

[ Parent ]

The fed has been printing dollars like crazy for many years and the "investment" has been the wars. Its not a problem in progress or something that could happen in the future. The dollar is already done, its a bubble, one event will blow up the bubble, it could happen anytime.

The BRIC countries have already seen this years ago, and they will blow up that bubble whenever is more conveniant for them.

by Vittorio2 on 09/10/2010 10:50:59 PM EST

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