Zero Hedge: In his book Denationalisation of Money, F.A. Hayek argued that governments have never devoted their power to providing proper money over time. They “have refrained from grossly abusing it only when they were under such a discipline as the gold standard imposed.”
The gold backing of the US dollar as the global reserve currency was lifted in the early 1970s, and paper currencies, so-called fiat currencies, have since become the norm.
For the past twenty to thirty years, the Federal Reserve and other major central banks have been steadily lowering interest rates and purchasing large amounts of government bonds as well as other assets such as corporate bonds and asset-backed securities. This has undermined the confidence in the US dollar and the euro as the world’s leading reserve currencies. A flight into tangible assets has set in, such that stocks, real estate, and precious metals have risen sharply in price. Competitors for the “exorbitant privilege” (Giscard d’Estaing) of the reserve currency have appeared, as those who issue the global reserve currencies benefit from virtually unlimited borrowing opportunities and immense profits from money creation.2 The competition has three dimensions.
Firstly, decentralized private digital currencies have emerged in contrast to the public monopolies on creating money …
Secondly, a consortium of private companies around the internet giant Facebook intends to join in the competition for the money monopoly.
Thirdly, competition for the exorbitant privilege also seems to have emerged among paper currencies Read More
Opinion: Since cryptocurrencies and China’s economic aggression are symptoms of America’s excessive deficit spending, a better question is how long can the dollar survive money printing (QE)?
The answer may be in the 3rd judgment of the 7 years tribulation.
- Rev. 6:1-2 White Horse brings a false messiah
- Rev. 6:3-4 Red Horse brings war
- Rev. 6:5-6 Black Horse brings economic crisis
- Rev. 6:7-8 Pale Horse brings death
“When He opened the third seal, I heard the third living creature say, “Come and see.” So I looked, and behold, a black horse, and he who sat on it had a pair of scales in his hand. And I heard a voice in the midst of the four living creatures saying, “A quart of wheat for a denarius, and three quarts of barley for a denarius; and do not harm the oil and the wine.”
A careful reading of the passage shows a quart of wheat, representing one person’s food for the day, will cost a day’s wages. But many will be forced to buy barley, a less expensive food usually used for animals. Three quarts of barley will also cost a denarius, but only the 1% will still be able to afford the luxury of oil and wine. Affordable access to economic commerce will be strictly limited.
Now the true picture of hyperinflation emerges, that a person will be forced to work a full day to have enough money to feed themselves for one day.
This economic event can happen suddenly following war and pandemic with the collapse of a major currency. When hyperinflation grips the world, food prices will rise out of control as happened in the post-World War I Weimar Republic, and in Venezuela today.
Read more in our paper: The 1% and Revelation: Do Not Harm the Oil and Wine HERE
