If and when it happens, it is going to be very bad. should have stayed on the gold standard, imho
These articles are written by retards.
The first question is what will replace the US Dollar?
So I read the article and it’s a rehash of a rehash of a rehash. You know, first start with a little history Bretton Woods blah blah blah ....then talk about gold blah blah blah.
And then voila .... the replacement is CHINA! Well, well, well, WHY?
Oh bwcause, well because, us because they got some good gold plays going on!
Uh huh ....
Bullshit.
That’s damned depressing.
I just wish the price of gold would move up a little.
“From 1950 to 1970 the Bretton Woods system worked fairly well.”
Except it didn’t.
By 1959 the “Triffin Dilemma”, which isn’t mentioned in the article, was already showing itself. The number of dollars in circulation was exceeding the gold reserves backing them. And this was largely due to the desire of foreign banks to hold dollar reserves.
The US couldn’t run an active Cold War foreign policy and have the dollar be the world’s reserve currency at the same time, at least not with the dollar remaining strong. Ultimately this led to inflation and the devaluing of the dollar.
A better solution would have been not to use the dollar as the reserve currency and to instead use Special Drawing Rights.
If you mean it will be inflated to death, then yeah. That is exactly what is happening now.
If you believe all that, I advise you to run to the bank first thing Monday morning and covert all your US dollars to Chinese yuan.
The dollar is already dead. Go price a pound of hamburger. If you can stand that, go price a new pickup truck. If I told my father that a fancy pickup can go north of $60,000, he’d have laughed in my face. The last truck he bought cost $4000 in 1968.