Comments on: The United States: The Largest Ponzi Scheme in the World http://www.dailyreckoning.com.au/the-united-states-the-largest-ponzi-scheme-in-the-world/2009/02/20/ An independent perspective on the Australian and global investment markets Sat, 21 Nov 2009 17:27:32 -0600 http://wordpress.org/?v=2.8 hourly 1 By: Charles Norville http://www.dailyreckoning.com.au/the-united-states-the-largest-ponzi-scheme-in-the-world/2009/02/20/comment-page-1/#comment-67037 Charles Norville Mon, 23 Feb 2009 12:11:47 +0000 http://www.dailyreckoning.com.au/?p=5170#comment-67037 Is there enough gold to go back to it as a reliable money, it used to be US$35/oz, if it were a case of relativity of the amount of trade that a country does which in recent times was astronomical compared to the early 70's - so you trade in what standard relative to a currency? What US?.... remember there is Ero, Yuan, Jap Yen. Hmm Lets say the US decide on US$1000/oz the US govt holds about 9,600 tons bullion (who knows how much private gold there is) do the maths $1000 x 9,600t x 32,000oz/t = 307,200,000,000 = US$307.2 billion. Hmm I don't think the US has enough gold to pay back the Chinese US investment in Govt bonds in gold. Oh yea silver! I think there was about 22,300 tonnes of silver bullion in the US mint in 1991 so @ current 14$US/oz 14 x 22,300 x 35,274 = 11,000,000,000 = US$11 billion, hmm. Oh well the private ownership of gold and silver may allow the dumping of the USdollar (and AU$)by the US people and the rest of the world. I was thinking about stamps but that's just going back to paper.....bullion looks real good and silver went from US$9.25/oz to over US$14/oz in two months that's 66% incerase. The abundance ratio of gold to silver is about 1:17 the price ratio of silver to gold (we reverse the process) is about 1:65.....Hmm what's wrong here is that DR needs to do some homework on the possibility of a gold/silver money standard. Silver is better as money because it is a smaller easier trading denomination oh yea and it's cheap. Q: Is gold/silver a viable asset class for all forms of transactions? Is there enough gold to go back to it as a reliable money, it used to be US$35/oz, if it were a case of relativity of the amount of trade that a country does which in recent times was astronomical compared to the early 70's - so you trade in what standard relative to a currency? What US?.... remember there is Ero, Yuan, Jap Yen. Hmm
Lets say the US decide on US$1000/oz the US govt holds about 9,600 tons bullion (who knows how much private gold there is) do the maths $1000 x 9,600t x 32,000oz/t = 307,200,000,000 = US$307.2 billion. Hmm I don't think the US has enough gold to pay back the Chinese US investment in Govt bonds in gold.
Oh yea silver! I think there was about 22,300 tonnes of silver bullion in the US mint in 1991 so @ current 14$US/oz
14 x 22,300 x 35,274 = 11,000,000,000 = US$11 billion, hmm. Oh well the private ownership of gold and silver may allow the dumping of the USdollar (and AU$)by the US people and the rest of the world.
I was thinking about stamps but that's just going back to paper.....bullion looks real good and silver went from US$9.25/oz to over US$14/oz in two months that's 66% incerase.
The abundance ratio of gold to silver is about 1:17 the price ratio of silver to gold (we reverse the process) is about 1:65.....Hmm what's wrong here is that DR needs to do some homework on the possibility of a gold/silver money standard. Silver is better as money because it is a smaller easier trading denomination oh yea and it's cheap.
Q: Is gold/silver a viable asset class for all forms of transactions?

]]> By: Ross http://www.dailyreckoning.com.au/the-united-states-the-largest-ponzi-scheme-in-the-world/2009/02/20/comment-page-1/#comment-66816 Ross Sun, 22 Feb 2009 00:22:34 +0000 http://www.dailyreckoning.com.au/?p=5170#comment-66816 No Greg this is a different deal. It is like the collapse of the COMECON era barter trade afflicting every corner. The credits were/are worthless, the international trading community is still buying all those treasuries to keep their phoney credits alive but of coarse they are sucking every cent of productive investment out of their local economies. Discretionary consumption, industrial production and more particularly the western discretionary services economies are collapsing. In the face of this any stimulus is simply too small by quantum, you couldn't organise any such phoney credit generated quantum into activity fast enough to prevent the implosion anyway. Even a global war wouldn't mobilise economies fast enough. So its not about the US, it is about the whole system. Everyone has been/is pouring concrete into bottomless foundations. We need new buildings but it will be a rough ride. I have talked about my ideas for action before so won't harp. No Greg this is a different deal. It is like the collapse of the COMECON era barter trade afflicting every corner. The credits were/are worthless, the international trading community is still buying all those treasuries to keep their phoney credits alive but of coarse they are sucking every cent of productive investment out of their local economies.

Discretionary consumption, industrial production and more particularly the western discretionary services economies are collapsing.

In the face of this any stimulus is simply too small by quantum, you couldn't organise any such phoney credit generated quantum into activity fast enough to prevent the implosion anyway. Even a global war wouldn't mobilise economies fast enough.

So its not about the US, it is about the whole system. Everyone has been/is pouring concrete into bottomless foundations. We need new buildings but it will be a rough ride. I have talked about my ideas for action before so won't harp.

]]> By: Greg Atkinson http://www.dailyreckoning.com.au/the-united-states-the-largest-ponzi-scheme-in-the-world/2009/02/20/comment-page-1/#comment-66671 Greg Atkinson Sat, 21 Feb 2009 02:08:01 +0000 http://www.dailyreckoning.com.au/?p=5170#comment-66671 I guess we can write forever about the economic woes in the United States but it all come backs to the simple fact that the country was living beyond it's means and it is now adjusting to what the nation can actually afford to spend and consume. As I rambled on about <a href="http://www.shareswatch.com.au/blog/economy/the-us-auto-industry-bailout-and-some-inconvenient-truths/" rel="nofollow">here</a> the U.S. economic "miracle" was the result of a lot of luck and now that luck seems to have run out. Just as the world survived the end of the British Empire the world economy will adjust to a decline in U.S economic power as Asia eventually takes up the slack. I just wish all this would happen quicker, I am sick of watching my stocks slide lower every day :) I guess we can write forever about the economic woes in the United States but it all come backs to the simple fact that the country was living beyond it's means and it is now adjusting to what the nation can actually afford to spend and consume. As I rambled on about
here the U.S. economic "miracle" was the result of a lot of luck and now that luck seems to have run out. Just as the world survived the end of the British Empire the world economy will adjust to a decline in U.S economic power as Asia eventually takes up the slack. I just wish all this would happen quicker, I am sick of watching my stocks slide lower every day :)

]]> By: Jon Bain http://www.dailyreckoning.com.au/the-united-states-the-largest-ponzi-scheme-in-the-world/2009/02/20/comment-page-1/#comment-66667 Jon Bain Sat, 21 Feb 2009 00:24:08 +0000 http://www.dailyreckoning.com.au/?p=5170#comment-66667 not only ponzis, but they FAKED their lunar landings too : http://www.poseidons.net/space/moonwalker.htm not only ponzis, but they FAKED their lunar landings too : http://www.poseidons.net/space/moonwalker.htm

]]> By: Pookiedog http://www.dailyreckoning.com.au/the-united-states-the-largest-ponzi-scheme-in-the-world/2009/02/20/comment-page-1/#comment-66650 Pookiedog Fri, 20 Feb 2009 20:27:34 +0000 http://www.dailyreckoning.com.au/?p=5170#comment-66650 Yes, it just a matter of time before the scheme is exposed! But I never knew there was something charming about the colonization of any country... Yes, it just a matter of time before the scheme is exposed! But I never knew there was something charming about the colonization of any country...

]]> By: Coffee Addict http://www.dailyreckoning.com.au/the-united-states-the-largest-ponzi-scheme-in-the-world/2009/02/20/comment-page-1/#comment-66611 Coffee Addict Fri, 20 Feb 2009 06:17:19 +0000 http://www.dailyreckoning.com.au/?p=5170#comment-66611 Ponzi Devours Chameleon (A Financial Horror Movie Sequel to I.O.U.S.A.) Bill: The chameleon is of course Switzerland. The impact of the UBS case on the Swiss banking system could be immeasurable. While transparency is ultimately necessary and desirable, both the Ponzi and the Chameleon will die as a result of this encounter. Ponzi Devours Chameleon (A Financial Horror Movie Sequel to I.O.U.S.A.)

Bill: The chameleon is of course Switzerland. The impact of the UBS case on the Swiss banking system could be immeasurable. While transparency is ultimately necessary and desirable, both the Ponzi and the Chameleon will die as a result of this encounter.

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