Posted Jan 20, 2015 by Martin Armstrong
I must take issue to the answer you gave on Jan 19th to the crypto currency and one world currency question. Mainly the first sentence. You said “ A one world currency seems to be the only POLITICAL solution”. I see that you highlighted the world political. Can you please explain your reasoning for this? My problem with a one world currency is, who would be in control of that currency the IMF? No thanks. This would be the most disastrous outcome in my opinion. (not saying that it won’t happen) Concentrated power is always a bad idea. I believe if they (the powers that be) pull this off we will be one step closer to a one world SOCIALIST government. If a one world currency is the only POLITICAL solution what would, in your opinion be the FREE MARKET SOLUTION?
ANSWER: An agreed upon one-world RESERVE currency would perhaps be a basket. I too am concerned who would be in control. I can say that the IMF is posturing already for that position. There will be the installation of corruption if the the IMF takes control. This is not my personal CHOICE. This is not about my OPINION, it is simply what is unfolding. I am certainly no fan of the IMF.
Nevertheless, the Free Markets would still prevail for each country’s currency would then float against the reserve. This would be the political solution for the major countries could then agree. The problem when one nation’s currency becomes the default world reserve currency (Babylon, Athens, Rome, Britain, Spain, France, USA, etc..), their domestic policy objectives become forced upon the world.
Just as the USA is scared to death of deflation as in the Great Depression and immediately stimulates, the Germans are obsessed with the hyperinflation of the 1920s and keep subjecting themselves and the rest of Europe to austerity (deflation) even at the expense of 60%+ unemployment. Both fight the FREE MARKETS to their own self-destruction. You can die from extreme cold as well as heat. The answer lies in between – never at the extremes of either philosophy.
We are headed into the vortex of fiscal mismanagement. The outcome will be the solution of creating a one-world currency for p