End of Brenton Woods Agreement
Right now all I have in my pocket is $17 and change. Does that qualify me for a bailout?
Andy Roney 60 Minutes 5 Oct 08
This is the point, isn't it? Why were the big banks and AIG entitled to our money? It is theft, pure and simple.
We live in an economy based on theft. It is beginning to fall apart. In the long run, it will end in default. Not next year. Not the year after. But the numbers are inescapable. There will be a default. We and our children had better plan accordingly.
Gary North, 10 Oct 08
Something new to consider when you turn over your money to your local bank is the Brenton Woods Agreement.
The collapse of the internationial markets and the dollar, undermines the Brenton Woods Agreement. Reguardless, of your stock positions, the collapse of the dollar will make what we have seen so far look like the "good old days in Oct 08". I think you should have a portfolio that has an allowance for the default of the US. If you have not considered it, you should. Tomorrow, next week, next year, 2020.... I do not know, but all Fiat currencies collapse.
In my youth I saw the movie Red Dawn, about the attack on America by the Soviet Union. I really believed it would happen like that, that the Russians would invade from Mexico etc.... Then oil prices collapsed and so did the Soviet Union.... I do not think most in the Soviet Union or America expected a collapse of their economy. I do not think most Americans expect a dollar collapse or expect it to loose its status as the Reserve Currency. Riddle me this: Why would it not? I heard Allen "the Man in Black" Greenspan told a panel in Dubai to create a gold backed currency.
What will happen to the US dollar if a country or a group of countries, creates a Gold Backed currecy? Do you think the fiat US Dollar will hold up? Which would you rather have $100k of Fiat currency or $100K of a currencies that is exchangable for gold?
Have you planted your Victory Garden, yet?