Interest rates won't get us out of this hole. They've blown out the money supply. All the liquid cash has to be mopped up. Raising rates too high will kill off more banks that aren't prepared.
I mentioned pegging to gold, but there are other options. Pull in the excess dollars and destroy them while drilling for oil. As I explained in a response below, it's a petro dollar. Creating more petro pegs more value to each dollar. However, while this was successful under Trump and Reagan, it may not be the best option for the future. BRICS nations are about to abandon the petrodollar, which will cause us further inflation.
The BRICS nations are about to establish a gold-backed stablecoin for international trade. If the dollar is traded against that, it'll bring stability. Further stability and value will be achieved by pegging the dollar to gold at home. It won't take an act of Congress, just Trump unsuspending the Bretton Woods agreement that Nixon unilaterally suspended in 1971.
The money supply is in a historically steep decline, but I'll give it some time before I'll say it's crashing. I'm open to the idea after seeing that chart, as I'm always open to new and better information. I just want to wait and see.
The strong dollar may have been the cover story for suspending Bretton Woods, but in my opinion, the real reason was to obtain an infinite line of credit to continue funding the Vietnam war and outspend the Soviets on arms. It's one reason the US "won" the cold war. We could go into debt and Russia could not.
The dollar will have its day of reckoning, but things would have to be far, far worse in the middle of a collapse for it to be so.
Interest rates won't get us out of this hole. They've blown out the money supply. All the liquid cash has to be mopped up. Raising rates too high will kill off more banks that aren't prepared.
I mentioned pegging to gold, but there are other options. Pull in the excess dollars and destroy them while drilling for oil. As I explained in a response below, it's a petro dollar. Creating more petro pegs more value to each dollar. However, while this was successful under Trump and Reagan, it may not be the best option for the future. BRICS nations are about to abandon the petrodollar, which will cause us further inflation.
The BRICS nations are about to establish a gold-backed stablecoin for international trade. If the dollar is traded against that, it'll bring stability. Further stability and value will be achieved by pegging the dollar to gold at home. It won't take an act of Congress, just Trump unsuspending the Bretton Woods agreement that Nixon unilaterally suspended in 1971.
The money supply is in a historically steep decline, but I'll give it some time before I'll say it's crashing. I'm open to the idea after seeing that chart, as I'm always open to new and better information. I just want to wait and see.
The strong dollar may have been the cover story for suspending Bretton Woods, but in my opinion, the real reason was to obtain an infinite line of credit to continue funding the Vietnam war and outspend the Soviets on arms. It's one reason the US "won" the cold war. We could go into debt and Russia could not.
I expect this to happen.