ozzy43

The Poor, Poor Dollar

I'm curious to know why the author chooses to swap one fiat currency for others (we can partially exempt the CHF from this statement, as it must by law be backed by 40% gold reserves). Massive monetary manipulation via fiat currencies issued by fractional reserve banking systems seems to be at the heart of the crisis, conventional wisdom notwithstanding. At a minimum, partial diversification into gold would seem to a better strategy, or at least to have some place in such a dollar-wary strategy. Fiat currencies are all, after all, subject to, well, fiat.

17-Year-High Cost-of-Living Surge Worries Bernanke, Too

Well of course - how could it be otherwise? In order to fulfill the financial promises the politicians have made to the retiring boomers, government has only one choice: inflate the supply of dollars so they can pay up, and we're seeing this occur before our eyes. Thus, the *letter* of those promises will be kept - if not the spirit, as the money will not buy the amounts of goods and services those retiring boomers thought it would. Get used to seeing the faces of seniors when you eat at McDonalds or order a pizza. They're gonna need to make ends meet. And it's always easy to find scapegoats to blame for the government's mess. Perhaps those evil speculators (who don't seem to have much lobbying clout in DC)...