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TURKISH PRIME MIINISTER ERDOĞAN SUGGESTS SHIFT FROM DOLLAR TO GOLD
Sabah ^ | 10 Kasım 2012, Cumartesi

Posted on 11/13/2012 5:18:19 AM PST by DeaconBenjamin

Prime Minister Recep Tayyip Erdoğan states that instead of ruling the world under the pressure of the dollar the IMF should switch to using gold.

During his stay in Indonesia, Prime Minister Recep Tayyip Erdoğan brought up an interesting suggestion for the International Monetary Fund.

Stating that although IMF assistance may appear to be a prescription for some nations, in fact quite the opposite, the fund has often caused serious problems for countries in trouble, Erdoğan asks why it is that the fund uses dollars instead of gold.

Expressing that he doesn't feel it is right for the IMF to act according to one nation's currency, Erdoğan states, "The IMF extends aid on a who, where, how and on what conditions bases. For example, if the IMF is under the influence of any single currency then what, are they going rule the world based on the exchange rates of that particular currency?

Why do we not switch then to a monetary unit such as gold, which is at the very least an international constant and indicator which has maintained its honor throughout history. This is something to think about."

IT IS IMPERATIVE THE IMF AND OECD CHANGE

Explaining that Turkey had to pay a heavy price for the agreement they made with the IMF, Erdoğan stated, "We have not made a stand-by agreement for the past three periods. In April, we will have zeroed out our debt completely and we have no intentions of working with the IMF again."

Prime Minister Erdoğan went on to state: "One would hope that the IMF would help countries in trouble, however at present this is not the case. This is what we need to achieve."

Erdoğan also said he believed the United Nations, the International Monetary Fund, the Organization for Security and Co-operation n Europe (OSCE) and the Organization for Co-operation and Development (OECD) need to all undergo a reform.


TOPICS: Business/Economy; Foreign Affairs; Government
KEYWORDS:

1 posted on 11/13/2012 5:18:22 AM PST by DeaconBenjamin
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To: DeaconBenjamin

2 posted on 11/13/2012 5:20:17 AM PST by Travis McGee (www.EnemiesForeignAndDomestic.com)
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To: DeaconBenjamin

There is still much to be said for mercantilism, simply put, “whoever has the most specie (gold and silver), wins”.

However, there just isn’t enough specie to support this idea in a modern economy. The solution, however, is not to use fiat currencies, but to *expand* on the idea of mercantilism by adopting other resources.

That is, not just gold and silver, but a host of other, non-volatile and non-renewable resources, such as platinum group metals (6), rare earth metals (17), many concentrated gases, other metals, semi-metals and non-metals. And finally some less volatile radioactive isotopes.

Importantly, this form of mercantilism has all sorts of advantages that specie based mercantilism does not, because it is based on *utility*, *demand*, and *difficulty* as well as rarity.

(”Difficulty”, as an example, would include rare earths, because refinement of rare earths is intensely polluting. This adds to the inherent costs, thus value, in the market.)

The one limitation to this idea that must be avoided at all cost is including renewable resources, perishable resources, or labor, services and virtual resources to the mix. The reason for this is that their relative value is subjective and easy to manipulate.


3 posted on 11/13/2012 6:20:51 AM PST by yefragetuwrabrumuy (DIY Bumper Sticker: "THREE TIMES,/ DEMOCRATS/ REJECTED GOD")
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To: DeaconBenjamin
Here's a blurb from another report I found (I was curious about Turkey clearing its IMF debt by April 2013). Turkey is to clear its remaining debt to the IMF by April 2013 according to Prime Minister Erdogan in a statement made last week. “At the present we owe a total of $1.3 billion to the IMF and we will cut it to zero by next April,” Prime Minister Recep Tayyip Erdoğan said Sept. 30 at a Justice and Development Party (AKP) conference in Ankara, according to the Anatolia news agency. Erdoğan explained that his party had inherited a debt of $23.5 billion to the IMF when it came to power in 2002, but now plans to lend the fund $5 billion. He also said that his party has reduced the country’s net debt stock from 61.5 percent in 2002 to 22 percent, and grown its domestic product (GDP) from $230 billion in 2002 to $774 billion in 2011. Finally Erdogan called attention to Turkey’s average annual growth rate of 5.3 percent between 2003 and 2011, up from 3 percent between the years of 1993 and 2002, and exports which reached the record high of $135 billion in 2011 up from $36 billion in 2002. Erdogan may well be an Islamist, but I'll say this...he's obviously a fiscally responsible one. Good on him for doing right by his country, economically at least. What was that quote by Luther; "Better to be ruled by a wise Turk (Muslim) than a foolish Christian" or something like that? Heh.
4 posted on 11/13/2012 6:22:49 AM PST by AnAmericanAbroad (It's all bread and circuses for the future prey of the Morlocks.)
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To: DeaconBenjamin

I forgot; here’s the source for that blurb: http://www.spotblue.co.uk/2012/10/economy/turkey-to-clear-imf-debt-by-april-2013/


5 posted on 11/13/2012 6:24:15 AM PST by AnAmericanAbroad (It's all bread and circuses for the future prey of the Morlocks.)
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To: AnAmericanAbroad

Thank you. It looks like Erdogan is old-fashioned, putting his citizens first economically.


6 posted on 11/13/2012 3:30:09 PM PST by DeaconBenjamin (A trillion here, a trillion there, soon you're NOT talking real money)
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