Send Obama and Geithner to summer camp for remedial polilitcal training.
What a shame. Between Obama and Geither the only evolution to expect from Dumb and Dumber is more chaos added to our financial distress, continued devaluation of the dollar and nothing forthcoming in the way of HELP!.
Why is it that every time Tweedle dum and Tweedle-dee open their mouths at a press conference, there to soothe the angst felt by everyday citizens, the Stock Market takes a significant drop and the USD devalues even lower?
Tiny Tim Geithner has an idea. He said he was open to exploring a Chinese proposal to reduce reliance on the US dollar as the world’s reserve currency.
“Mr Geithner told the Council for Foreign Relations that he had not studied the proposal by Chinese central bank governor Zhou Xiaochuan for greater use of Special Drawing Rights in international reserves, but said “we are quite open to that”.
He hasn’t read the proposal but is letting us know he’s open to entertaining the proposal? This is a typical response from a high schooler who just found out his Dad will buy him a new car if he gets an “A” in gym.
China calls for new reserve currency
By Jamil Anderlini in Beijing
Published: March 23 2009 12:16 | Last updated: March 24 2009 00:06
China’s central bank on Monday proposed replacing the US dollar as the international reserve currency with a new global system controlled by the International Monetary Fund.
In an essay posted on the People’s Bank of China’s website, Zhou Xiaochuan, the central bank’s governor, said the goal would be to create a reserve currency “that is disconnected from individual nations and is able to remain stable in the long run, thus removing the inherent deficiencies caused by using credit-based national currencies”.
Analysts said the proposal was an indication of Beijing’s fears that actions being taken to save the domestic US economy would have a negative impact on China.
“This is a clear sign that China, as the largest holder of US dollar financial assets, is concerned about the potential inflationary risk of the US Federal Reserve printing money,” said Qu Hongbin, chief China economist for HSBC.
Although Mr Zhou did not mention the US dollar, the essay gave a pointed critique of the current dollar-dominated monetary system.
“The outbreak of the [current] crisis and its spillover to the entire world reflected the inherent vulnerabilities and systemic risks in the existing international monetary system,” Mr Zhou wrote.
China has little choice but to hold the bulk of its $2,000bn of foreign exchange reserves in US dollars, and this is unlikely to change in the near future.
To replace the current system, Mr Zhou suggested expanding the role of special drawing rights, which were introduced by the IMF in 1969 to support the Bretton Woods fixed exchange rate regime but became less relevant once that collapsed in the 1970s.
Today, the value of SDRs is based on a basket of four currencies – the US dollar, yen, euro and sterling – and they are used largely as a unit of account by the IMF and some other international organisations.
China’s proposal would expand the basket of currencies forming the basis of SDR valuation to all major economies and set up a settlement system between SDRs and other currencies so they could be used in international trade and financial transactions.
Countries would entrust a portion of their SDR reserves to the IMF to manage collectively on their behalf and SDRs would gradually replace existing reserve currencies.
Mr Zhou said the proposal would require “extraordinary political vision and courage” and acknowledged a debt to John Maynard Keynes, who made a similar suggestion in the 1940s.
The Far Left elected Obama. They aren’t Liberals, they are fanatics! After the buffoonery of their hero, they sit quietly with their hands folded wondering what has become of the candidate they fought for so viciously against anyone who questioned Obama’s mission of “HOPE and CHANGE”.
HELLO! What is your plan B for this magnanimous Party Boy. If it’s Wednesday, which it is, we know Obama has invited his party friends over to his new digs to watch him demonstrate his bowling form for upping his pin totals. Perhaps it’s awards night for nominating the dignitaries Obama insulted BEST? Or for weekly bicep measuring of the females accompanying Obama’s friends. Gee, I hope the winner is Michelle. All that heavy digging in the garden must have produced a spike in her bicep bravado.
Oh, and by the way. What has Obama been smoking lately?… his wide toothy grin is on display at every photo opportunity as the country falls into deeper disarray and financial ruin.
Two years ago, We saw the Real Obama as the empty suit he presented when matched against his formidable rival Senator Hillary Rodham Clinton. We weren’t deafened by the hysterical shouts of Chris Matthews declaring he just felt a “tickle run up is leg” after proclaiming Obama the better of the two during one of the many Obama/Hillary debate standoffs.. We knew Hillary not only made proposals for her vision of a stronger United States but she wouldn’t have said it had she not a plan worked out in advance.
Are the Clinton Haters Happy Yet? Please let us know when your emotional disconnect reconnects after Obama has you and your family out of your homes, hunting for food and shelter, destitute and indigent. When he throws you under the bus… don’t look to us for help. Remember, WE TOLD YOU SO!
Does this man look worried about our COUNTRY?
Obama of to a luncheon..
Obama with Sen Amy Klobacher
Capital Hill fun time for Obama..
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