A little blog for a restless mind

Don't Invest in USA

They have a crazy law that a crazy president just might use. Here's an excerpt.

1. During the time of war, the President may, through any agency that he may designate, and under such rules and regulations as he may prescribe, by means of instructions, licenses, or otherwise
   
   1. investigate, regulate, or prohibit, any transactions in foreign exchange, transfers of credit or payments between, by, through, or to any banking institution, and the importing, exporting, hoarding, melting, or earmarking of gold or silver coin or bullion, currency or securities, and
   2. investigate, regulate, direct and compel, nullify, void, prevent or prohibit, any acquisition holding, withholding, use, transfer, withdrawal, transportation, importation or exportation of, or dealing in, or exercising any right, power, or privilege with respect to, or transactions involving, any property in which any foreign country or a national thereof has any interest, [...]

So: when can you say it is the time of war, when can you say someone is hoarding something, etc.? Big ambiguities when the President is doing something he calls the War on Terror, and having a weak dollar. Dollar appears to be sligthly regaining strength lately only because Europian and Asian countries cannot afford it to become any weaker. Not until they have freed themselves of (most of) the dependency on dollar. When they will have converted their dollar reserves, one can only imagine what will become of dollar. Nothing rosy, that's for certain. And when dollar sinks, everything else goes up. If I were a crazy president with a dollar that isn't worth anything, I'd declare a war on, say, Iran and seize all foreign capital.
But if you're a speculative person and have the nerve, you may get rich trading in gold. That is, if you're not an American and don't plan to store your assets there, or you believe the above-mentioned law won't get into effect. You see, the value of gold is still pegged to dollar. Hint, hint, wink, wink? ;)

posted by AlesS @ 2/17/2005 12:50:00 AM