Reply #25: Financial gurus and economists please comment on this:

[Pooka Fey]

I heard an economist talking on AAR (can't remember his name -sorry). He said that the U.S. is heading straight for another Great Depression that will make the last one look like a walk in the park. He compared our current crisis to Argentina before its economy collapsed. He said the tipping point will happen when * gets his way again, and raids Social Security. That's the only big pot of money left in the government for the Cocaine-Addict-in-Chief to burn through. Apparently that's what happened to send Argentina into a free fall. Another scenario is * cutting taxes for the rich AGAIN. This economist said that "Chimp Inc." doesn't think that any economic rules apply to them.

I heard another economist (sorry I can't remember this guy's name either) on Majority Report saying that another scenario will cause a collapse. China/Japan, current U.S. mortgage holder, might decide it wants its money repaid in euros rather than dollars. If so - we're completely screwed. Up until now, the U.S. has just been running to the xerox machine to print more dollars, but euros as a currency actually represent a unit of value, and we can't just pull those out of thin air. That's why we had to control Iraq oil - as a bargaining chip against Asia; since we have no money.

Those of you who understand economics - can you tell me if I'm understanding this stuff correctly? Next question - didn't the Great Depression cause a worldwide depression? Would that happen again - or are Europe and Asia in a strong enough position that they wouldn't be affected? Last question - what do us poor working stiffs do if/when this comes to pass?

:shrug: