Age of America Nears End

[PegLeg45]

This is something that most intelligent folks have seen coming, but here it is anyway:

IMF Bombshell: Age of America Nears End
by Brett Arends
Tuesday, April 26, 2011

The International Monetary Fund has just dropped a bombshell, and nobody noticed.

For the first time, the international organization has set a date for the moment when the "Age of America" will end and the U.S. economy will be overtaken by that of China.

And it's a lot closer than you may think.

According to the latest IMF official forecasts, China's economy will surpass that of America in real terms in 2016 — just five years from now.

Put that in your calendar.

It provides a painful context for the budget wrangling taking place in Washington right now. It raises enormous questions about what the international security system is going to look like in just a handful of years. And it casts a deepening cloud over both the U.S. dollar and the giant Treasury market, which have been propped up for decades by their privileged status as the liabilities of the world's hegemonic power.

According to the IMF forecast, which was quietly posted on the Fund's website just two weeks ago, whoever is elected U.S. president next year — Obama? Mitt Romney? Donald Trump? — will be the last to preside over the world's largest economy.


More at link.

http://finance.yahoo.com/banking-budgeting/article/112616/imf-bombshell-age-america-end-marketwatch

[Pathfinder]

Not really a surprise for anyone who has been paying attention for the past 2+ years. Yes, FQ (who voted for bho), I know this whole mess was accelerated under Bush, and most if not all of the President's since Kennedy. However, bho was anointed to drive the final nail in the coffin, and for that one can only hope he burns in hell for his transgressions.

[Rastus]

No surprise in that announcement.  Those who ignore history are doomed to repeat it.

I wonder how many "scholars" can even spell history these days? 

[crusader rabbit]

No surprise, but an overwhelmingly sad situation.  I just hope it all lasts long enough for me to tell and show my young grandsons some of the glory of what my nation was.  I fear there is not enough time left--they are nearly 3 and nearly 1 and the age of reason doesn't even start until age 7. 

[fightingquaker13]

Remember this though. Despite the fact that we have gutted our industrial infrastructure and indebted ourselves to our eyeballs (policies begun under Reagan and continuing to the present day), China is still a paper tiger. It has more people than it can feed and is utterly dependent on an export economy backed up by a grossly devalued currency. If the Yuan were allowed to float, like every other currency, the price of Chinese goods would skyrocket and it would kick their economy in the teeth. This is China's dilemna. They want the political power of edging us out.BUT, if they want the Yuan to take over as the global reserve, they have to let it float and that will tank their economy. I am concerned, but not overly worried.
FQ13

[Sponsor]

[Solus]

Remember this though. Despite the fact that we have gutted our industrial infrastructure and indebted ourselves to our eyeballs (policies begun under Reagan and continuing to the present day), China is still a paper tiger. It has more people than it can feed and is utterly dependent on an export economy backed up by a grossly devalued currency. If the Yuan were allowed to float, like every other currency, the price of Chinese goods would skyrocket and it would kick their economy in the teeth. This is China's dilemna. They want the political power of edging us out.BUT, if they want the Yuan to take over as the global reserve, they have to let it float and that will tank their economy. I am concerned, but not overly worried.
FQ13

I worry more about the Dollar losing it's status as the Global Reserve than our position relative to the Chinese economy.

With our current and deteriorating financial status, that is a real danger and would inflict tremendous negative consequences upon our standard of living and way of life.

[Pathfinder]

Remember this though. Despite the fact that we have gutted our industrial infrastructure and indebted ourselves to our eyeballs (policies begun under Reagan and continuing to the present day), China is still a paper tiger.

Thank you for once again showing your true "moral equivalency" colors. For the record, it actually started after WWII at Bretton Woods II, and we were warned by Eisenhower. Did you take a class on how to be a useful idiot or does it just come naturally?

If the Yuan were allowed to float, like every other currency, the price of Chinese goods would skyrocket and it would kick their economy in the teeth. This is China's dilemna. They want the political power of edging us out.BUT, if they want the Yuan to take over as the global reserve, they have to let it float and that will tank their economy. I am concerned, but not overly worried.
FQ13

In fact, that will happen, once the US $ tanks over the next year or so. It will happen because there are those pulling the strings that want it to happen, and we will then see a unified world currency by 2014-15, if not sooner.

One of the solutions to our current dilemma would be to default to the Fed Reserve and re-issue the dollar on a new base of some sort, but not fiat. The world powers will not allow that, and will instead move everyone to a world fiat currency that can be manipulated - so the powers will become more powerful by controlling the very means of production, consumption, and payment for the above.

[sledgemeister]

Just to put your dollar in context a few years ago our dollar was only worth .50c US now our dollar is worth 1.08 US.
A holiday in the US is looking better!

[BAC]

Just to put your dollar in context a few years ago our dollar was only worth .50c US now our dollar is worth 1.08 US.
A holiday in the US is looking better!

If you can make it by Friday I've got some passes for the NRA convention. 

[fightingquaker13]

Thank you for once again showing your true "moral equivalency" colors. For the record, it actually started after WWII at Bretton Woods II, and we were warned by Eisenhower. Did you take a class on how to be a useful idiot or does it just come naturally?

Kind of hard not to go for moral equilvalency when things are equivalent. Look, love Reagan or hate him (I'm in the midle for a lot of reasons), the fact remains that he ran up what was until then the largest peace time deficiet in US history. Likewise, the beginning of out sourcing began in the '80s. Doesn't make him a bad President, but you can't say the man is blameless either. The idea of tax cuts and increased spending financed by debt being business as usual truly metastized under Reagan. No one after him changed this mindset and that is just history Path.
FQ13