Bretton Woods Agreement and The US Debt
In 1944, the Bretton Woods Agreement caused most world governments to duplicate the US Federal Reserve System. If a country did not duplicate the Fed, the country would not be allowed to join the World Bank or the World Trade Organization. This is why today's financial crisis is a global financial crisis.
Today, this is changing. The central banks of the world do not trust the US. They do not like the fact that in 2009 the US has essentially printed trillions of counterfeit dollars.
Technically, every dollar we print, robs foreign countries currencies of value, just as printing dollars robs the value of your savings in your bank. Simply said, the more money the US prints, the less valuable all money becomes. Every dollar printed makes your money worth less and less.
If central banks around the world start dumping dollars and buying gold, who knows how high gold will go?
A depression with hyperinflation will be the destruction of the middle class.
The rich will become richer and many in the middle class will join the poor. This does not mean that the rich are safe. Many of today's rich will go sliding past the middle class and join tomorrow's poor. This is a tragedy.
We are in the midst of the greatest wealth-transfer in the history of the world. Wealth will flow from the financially ignorant to the financially informed. This transfer of wealth could be your time. It could be your turn to take a shot at the goal line.
