Falling  U.$.  Dollar


QUESTION:   Why is the U.S. Dollar falling drastically?
ANSWER:      
Simple
.  Incessant inflation caused by excessive creation of money out of thin air.

The situation is exacerbated by rampant borrowing and spending.  The monetary system is an upside-down pyramid scheme, and the debt is now so large, and spending and borrowing is so out-of-control, collapse of the pyramid is most likely inevitable.

http://finance.yahoo.com/currency

USD to EURO:

USD to Chinese Yuan:


USD to Japanese Yen:

 
USD to Swiss Franc:

USD to British Pound:

USD to Canadian Dollar:

USD to Australian Dollar:

USD to Brazilian Real:


USD to Danish Krone:

 USD to Norwegian Krone:


USD to New Zealand Dollar:

USD to Russian Rouble:

USD to Singapore Dollar:


NOTE:  Rising demand of GOLD is raising GOLD prices world-wide, and most other currencies have inflation too, but the jump in price in U.S. Dollars is much larger than other major currencies due to the falling U.S. Dollar.

$U.S. Dollar
price increase = 293% increase in 5 years (from $335 to $980):


EURO
price increase = 198% increase in 5 years (from 320 EUR to 633 EUR):


British Pound price increase = 233% increase in 5 years (from 210 GBP to 490 GBP):


Canadian Dollar price increase = 181% increase in 5 years (from 540 CAD to 975 CAD):


Australian Dollar
price increase = 193% increase in 5 years (from 545 AUD  to 1050 AUD):

 



 

As of Aug-2008, the federal government reported that inflation was 5.37% and about 4.0% on average for year 2008.



However, the federal government changed the way it measures inflation in 1983 and 1998.
Remember the double-digit inflation of the late 1970s and early 1980s ?
Based on the pre-1983 measurement method, inflation today is really 15.6% !

 

On top of that, taxes and fuel costs are not included in the CPI (Consumer Price Index) calculations, despite federal taxes as high as 31% for some people.
Consider the following:

Based on that, what do you really think the real inflation rate is ?
What ever it is, it is too high, and it is likely to get worse.
Already, inflation has been positive for 52 consecutive years (since year 1956):


Incessant inflation, year after year, for 52 consecutive years, is actually exponential inflation, since the percentage this year is really more than the percentage of the previous year, which is more than the percentage of the previous year, etc, etc., etc.  That is why the Consumer Price Index sky-rockets after 1956. It's like compounding interest, except in reverse, by eroding the value of the currency, instead of preserving it. That is, the year-to-year inflation does not reveal the exponential nature of perpetual inflation every consecutive year, as does the CPI chart, which does reveal the exponential nature of perpetual inflation.
For example,  see what $100.00 shrinks to for the current (as of AUG-2008) 5.37% inflation, after N years:

INFLATION= 1.00% 2.00% 3.00% 4.00% 5.00% 5.37% 6.00% 7.00% 8.00% 9.80% 15.60%
YEAR $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00
1 $99.00 $98.00 $97.00 $96.00 $95.00 $94.63 $94.00 $93.00 $92.00 $90.20 $84.40
2 $98.01 $96.04 $94.09 $92.16 $90.25 $89.55 $88.36 $86.49 $84.64 $81.36 $71.23
3 $97.03 $94.12 $91.27 $88.47 $85.74 $84.74 $83.06 $80.44 $77.87 $73.39 $60.12
4 $96.06 $92.24 $88.53 $84.93 $81.45 $80.19 $78.07 $74.81 $71.64 $66.20 $50.74
5 $95.10 $90.39 $85.87 $81.54 $77.38 $75.88 $73.39 $69.57 $65.91 $59.71 $42.83
6 $94.15 $88.58 $83.30 $78.28 $73.51 $71.81 $68.99 $64.70 $60.64 $53.86 $36.15
7 $93.21 $86.81 $80.80 $75.14 $69.83 $67.95 $64.85 $60.17 $55.78 $48.58 $30.51
8 $92.27 $85.08 $78.37 $72.14 $66.34 $64.30 $60.96 $55.96 $51.32 $43.82 $25.75
9 $91.35 $83.37 $76.02 $69.25 $63.02 $60.85 $57.30 $52.04 $47.22 $39.52 $21.73
10 $90.44 $81.71 $73.74 $66.48 $59.87 $57.58 $53.86 $48.40 $43.44 $35.65 $18.34
20 $81.79 $66.76 $54.38 $44.20 $35.85 $33.16 $29.01 $23.42 $18.87 $12.71 $3.36
30 $73.97 $54.55 $40.10 $29.39 $21.46 $19.09 $15.63 $11.34 $8.20 $4.53 $0.62

Notice above what  5.37% , 9.8% , and 15.6% inflation does to $100.00 in only 4 years.




Prices (above) adjusted for inflation (in 2008 U.S. Dollars)


  10 Abuses for the past 30+ years
  Numerous economic statistics never worse ever, and/or since the 1930s and 1940s
  Debt and Money (the monetary system is a pyramid scheme)
  Federal Reserve (quasi-government controlled / privately owned bank)
  M3 Money Supply (excessive money creation)
  Voting Records (see politicians voting records on illegal immigration, and other voting records)
  The Problem and the Solution (account for the human factor)
  Irresponsible Incumbents (what irresponsible incumbent politicians do while troops risk life and limb)
  PROs and CONs (why to stop re-electing irresponsible incumbent politicians)
  National Debt (it will take 143 years to pay off the National Debt)
  Consider the Following Scenario (must we always learn the hard way)?
  The Plundered Environment (population, pollution, and arable land)
  Solutions (common-sense, no-brainer reforms that politicians resist)
  Help  Educate  Others (peacefully force government to be responsible and accountable too!)
  Badly-Needed, Common-Sense Reforms
  The Cheater's Philosophy (learn to recognize the the manipulation and control mechanisms)
  Frequently Asked Questions
     

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