Wednesday, December 26, 2007

American Goy on Why American $ is worth less and less

Being a (barely) functional idiot, I always look for the simplest explanations first. Usually, this first hunch is correct.

The question is, why is the US$ worth less and less?
If you ask the economists, they will give you complicated answers, dealing with the global economy, oil, Iraq war, sex acts of ex president Clinton and even more, varied reasons.

I do not look to the TV news to tell my why that is.
Being a (barely) functional idiot, the explanations of the "experts" (please look up my previous post on Why American News Sucks Ass), their explanations fly right over my head. I am a layman, and so talking about the global markets, globalization, fluctuations of oil prices, make me gag on my delicious High Fructose Corn Syrup soft drink. I simply get that idiot eye stare, my mouth opens and I start to drool. Not good.

So I sat down for 5 minutes and started to just THINK about why the US$ is falling down faster than the drool from my mouth.
I recommend thinking to the majority of my fellow Americans. I realize that shutting down the TV, the internet porn, the kids, the nagging wife, the retarded husband is hard, but take 5 minutes out of your day and just... think.

Where was I?

Oh yeah.

USA owes a lot of money. The war in Iraq (and Afghanistan) is costing a shitload of money (5 billion of dollars per month, to be exact).
USA Today: Cost of War
And to finance this war, the US government is heavily borrowing money from other nations and banks. Now, what is the dream of every American who is in debt right now?

That's right - to not be in debt... Or at least to be LESS in debt.

Now imagine, Joe (and Jane) Schmoe American, that you have heavily overpaid for a War in Iraq errr I mean Christmas Shopping. you are now 5 billion in debt this month errr sorry I mean $5,000 in debt. And the interest will grow on that amount.

What to do? WHAT to do?
It is simple. Talk to your significant other and kids, and just make the debt less. It is simple - just make the $5,000 worth much less, say, $3000. There, now it is easier to pay off. However, you do not want to make your money worthless - after all, that would mean the next month's paycheck you get from your work will be 0. That would be bad (I know we Americans are bad at math, but being paid nothing for your work is generally not cool).

That is how the government of USA operates. Since USA is now incredibly in debt, why not make the debt less. It is simple to do - just sink the dollar! Make it monopoly money!

Now, this screws us (Americans) in an incredible *censored* raped way. Since in practice that means that each month you are making less and less money, even though you are technically making the same amount.
Adventures of US expatriates in Europe

However, since when do we (the People) are of concern to those who rule this country?

National US debt clock:

National Debt Clock

See also this. Please see how the debt exploded in 1985 onward, and how little debt USA had during WW2. Apparently WW2 cost much less than Gulf War 1 and Gulf War 2. Makes sense to you?
National Debt Clock FAQ

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