Reply to: Fiat currency - is it doomed to failure?

[scooterscot]

The market prices the economy not the politics. Deal with it, understand it, profit from it. Otherwise service it.

[LondonManc]

You funny. Euro is 1/3 stronger against the pound in only a few years.

Yeah, nothing to do with Brexit fear-mongering by those with vested interests...

[scooterscot]

The problem is not fiat currency, it is the countries' management of their economies that is the problem.

Don't believe most countries are in a position to manage their economies. Banks used to exist as a place to hold your deposits. Now that is simply not true, a bank would be the last place I'd try to store my wealth. Certainly in the UK.

5 high st. banks in the UK account for 90% of all deposits whereas in Germany high st. banks account for 12% of deposits, and 70% of deposits are with 1500 local not for profit banks you've never heard of that support the local economy. And you have folks like Lord King coming on the telly posturing over the state of things w.r.t to Brexit yet he himself was instrument in supporting the efforts of centralisation of the banking system.

Pity it's an RT interview (there are other sources of the same topic), but Professor Richard Werner of Southampton university provides a excellent explanation of the current state of affairs. The last 5 minutes should be an eye opener for you all.

[scooterscot]

The Euro isn't strong enough to be a reserve anything.

You funny. Euro is 1/3 stronger against the pound in only a few years.

"Melchett: 'If nothing else works, a total pig-headed unwillingness to look facts in the face will see us through.' "

[GJABS]

The problem is not fiat currency, it is the countries' management of their economies that is the problem. All four countries you have listed, Venezuela, Turkey, Argentina, and South Africa, are basket cases with bad leaders.
Within a well managed economy, a nation's fiat currency will survive indefinitely, because it takes its value from the steady rate of taxation (payable only in the local fiat currency) of its citizens resulting from economic activity.

[AtW]

The Euro isn't strong enough to be a reserve anything.

Splitting reserves between USD and EUR hedges movements between those two currencies (vs local second rate like Sterling), simples

[LondonManc]

EUR is the second reserve currency now, there is no place for 3rd which is why Sterling needs to go, this will happen as a condition of re-joining EU - moronic Brexiteers will be responsible for that

The Euro isn't strong enough to be a reserve anything.

[LondonManc]

I'm not so sure. I think the US dollar will divide into various forms of US dollar between the states. Like New York state dollar, Californian dollar etc. But only four or five states, the rest will be stuck with a deprecating original dollar.

Get back to licking your window.

[GreenMirror]

FIAT currency is borrowing from the future. At some point the future will want it back.

[AtW]

The US will prevent any other currency becoming strong enough to challenge it as the global currency, until something is good enough and trusted enough to become a gold-backed currency. Which means the USD is safe for a long time to come yet. Sorry scoots.

EUR is the second reserve currency now, there is no place for 3rd which is why Sterling needs to go, this will happen as a condition of re-joining EU - moronic Brexiteers will be responsible for that

[vetran]

Is ScooterScot Baroness Mone of Mayfair OBE's secret lover?

Nah that's Mich! He would.

Dame Edna is more Scoots league.

[Mordac]

I'm not so sure. I think the US dollar will divide into various forms of US dollar between the states. Like New York state dollar, Californian dollar etc. But only four or five states, the rest will be stuck with a deprecating original dollar.

If you're supposed to be on prescription medication, it's a good idea to take it once in a while...

[fullyautomatix]

Is ScooterScot Baroness Mone of Mayfair OBE's secret lover?

[barrydidit]

More of the usual Magic Beans promotion.

zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz

This is the bit scoots struggles with

[BR14]

More of the usual Magic Beans promotion.

zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz