Suddenly, $ won't do?

["John Gelles" <jjgelles@xxxxxxxx>]

Significant debt, that may survive bursting asset
value bubbles will start off denominated in dollars.

Greenspan has an unlimited supply of dollars.

Creditors will not be content to be paid in
dollars of rapidly depreciating value. They will
want euros and yen. But there will be no way
for creditors to change out of dollars into some
other measure of what they are owed. Greenspan
(and producers) rule. Creditors will get only
what Greenspan can afford.

Producers will be able to demand currency
other than dollars. Yet they may fear that no
currency has the power to hold value against
global fads.

That would throw the world back into barter.

The crisis of bubbles, and debt in need of
reorganization, is no crisis when barter works.

But the abandonment of money for barter is
not a likely scenario when debt reorganization
is far simpler.

Accordingly, Greenspan, with unlimited dollars
behind him and a congress that will reorganize
debt rather than suffer the consequences of
inaction, will, in partnership with his superpower
masters, easily stand against the numbers
recently presented here in chicken little
scenarios.

The real issue is how much damage to the
working class this republic will allow before
remedies are applied to the aftermath of
capital asset revaluations.  Politics suggests
that economic performance achieved while
recent bubbles formed set a standard that
will not easily be lowered without costing
incmbent politicians their position and power.

Suddenly $ won't do?  I don't think so.
$ will do nicely. Debt will be adjusted as
necessary. Global capitalism will be modified
to fit the needs of great powers that allow
it to exist. Financial anamolies, defined by
numbers, are solved with numbers.

The real problems of toxic waste, viral disease,
resource shortages, possible global warming,
etc., and military antagonisms among rivals
armed with nuclear weapons, remain.

John Gelles