The National Inflation Association just finished a video to explain how bad the impact is when the US dollar continues to lose its value as it is doing now. Marc Faber explains that the US dollar has already lost 95% of its value since the introduction of the Federal Reserve. But it took 100 years to get there. This time around, it will only take them 10 years to lose that much of what is left of the US dollar value. “They have become more efficient,” Faber jokes.
This decade the NIA believes that the US dollar will experience an outbreak of hyperinflation that will cause the US dollar to be completely worthless. Most economist believe that the US will most likely to experience the lost decades of inflation very similar to Japan after the burst of their bubble economy. If you watch the whole video of 12 minutes below, you will be shocked to see how bad it was and still is in Japan and how the US will become even worse than that.
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August 9th, 2010
Elisheva Wiriaatmadja
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Japan never recovered from that particular spell and the effects will be just the same in the US if not worse. It just goes to show the danger of a capitalist system that unhooks it’s monetary value from any tangible asset. The dollar is only really worth what people perceive it to be worth and the only thing that can save us now is the burgeoning middle classes of China which may turn China into a nett importer over the next 2 decades