CERDAFIED-The US dollar is weakened not only by the perpetual motion of the Federal Reserve printing press but by growing concern of pending actions by world leaders. Moscow mayoral candidate, Mikhail Degtyarev, proposed legislation that seeks to ban US currency by private citizens within a year of its expected passage.
The draft legislation claims, “If US national debt continues to grow at its current rate, the dollar system will collapse in 2017.” We are several weeks from hitting our debt ceiling again and no meaningful actions have been taken by the Democrats to stop this run away train.
Other currencies are not as fragile as the US, despite this; the US is involved in the greatest give away of your tax dollars ever seen. It appears to be a free for all…..free for everyone except the American tax payers.
Degtyarev’s draft bill would mandate that after one year’s time, all US money would be seized and then reimbursed in rubles. To add insult to injury, the ruble is weak as well. In fact, it is valued at 32.7643 per one US dollar. Russia’s official interest rate has remained the same for the last 14 months in order to curb inflation. It appears that Russia is positioning it self for the survival of the fittest. And neither of us is fit.
Of course every law seems to have its exemptions no matter which country you’re in. The Federal Security Service, Foreign Ministry, Federal Treasury, Central Bank and Russian government are all exempt from the proposed bill. Russians can have foreign bank accounts with US money and make purchases via the internet.
Russia’s abandonment of the US dollar could strengthen the Ruble. However, this completely backfired on the Soviet Union in 2003, when they banned foreign currency. Getting support for this bill may take some elbow bending but not because the fear of the US dollar is unfounded but because the author of the bill has a credibility problem.
America's Ponsi Scheme is at risk of collapsing. We just keep paying off old investors with new investor money. If we do not have enough new investors to cover our debt, our house of cards will do what houses of cards always do.
(Lisa Cerda is a contributor to CityWatch, a community activist, Chair of Tarzana Residents Against Poorly Planned Development, VP of Community Rights Foundation of LA, Tarzana Property Owners Association board member, and former Tarzana Neighborhood Council board member.)
-cw
CityWatch
Vol 11 Issue 95
Pub: Nov 26, 2013
