Sep 20, 2007

Yen Empire

Yen Empire


In essence, by imposing the U.S. Dollar as a reserve currency on the rest of the world, the United States extracts an imperial tax from dollar holders, that is to say, from those countries that hold U.S. dollars as reserves, including U.S. government bonds. In this sense, from an economic point of view, over the last 3-4 decades, Japan has been the “best” American vassal that has cumulatively contributed probably the largest amount of tribute into the American coffers. If the Japanese themselves were able to raise the status of the Japanese Yen to a major reserve currency of the world and reduce or remove the dollar as their reserve currency, then they will be able to transform themselves from an American vassal into an empire, a Yen Empire with all the benefits and privileges that an empire confers. This is not to say that Japan will create the most powerful empire in the world, for this is China’s destiny, but it is nevertheless far better to extract tribute from others instead of paying them.


David Wozney said...

A “Federal Reserve Note” is not a U.S.A. dollar. In 1973, Public Law 93-110 defined the U.S.A. dollar as having the value of 1/42.2222 fine troy ounces of gold.

PoliShifter said...

Those days are coming to an end.

Part of why we invaded Iraq was because Saddam threatened to trade oil in Euros. This would undermine the U.S. treasury's ability to float bonds. What makes our bonds valuable in part is that they can be traded for dollars and dollars can buy a tangible resource like oil.

Iran is threatening to trade oil in Euros hence our need to threaten them.

China recently threatened to dump dollars. Scared the beejeebus out of the U.S. who quickly sent emmisarries to China to see what we can do to "work things out".

Fade said...

Poli= It's all very apparent to anyone who bothers to scrutinize the situation. Did you catch the deplorable interview with Ahmadinejad this weekend? That 60 minutes asshole was doing his riproaring best to be the offended American and look all tough while asking the most highly loaded questions I've ever seen, including asking him what he admires about Bush... WTF??! There is NOTHING to admire about the biggest fuckup in the Whitehouse in the history of this nation. In the end, I am sure the bushbots loved the line of questioning, but to anyone with an actual brain, it just looked like Tony Snow was up there pitching Administration bs at the President of Iran in a completely unbalanced manner. God, if only even ONE "Journalist" like that cunt could sit Bush down and ask him some real fucking questions. I love how the interviewer tried to make Bush into some religious man,and Ahmad asked him "What kind of religion invades a country and occupies it?" and managed to mention Abu Ghraib, Guantanamo,etc. "Is this christianity?" No, its' not. And any christian that can see past their hatred knows this. Bush, unfortunately, is NOT A CHRISTIAN, and neither is ANY Pro-War American who supports torture. The president of Iran came off as sincere and sane, when confronted by angry,irrational arrogance. I am sure the global audience ended up with the same perception. America cannot win against the rest of the world. We can not hold indefinite battle on every front, as much as the Rambo pundits would love to see. I'm no fan of Armageddon. But if these stupid bastards get their way, they will force it on the rest of us.

navyswan said...

we're fucked

Hill said...

Ditto what navyswan said.

Yes, we are.

Dr. Zaius said...

Jeepers, Fade, don't go all pollyana on us.

Fade said...

Well Doc Z, that Chicken Little shit is doing wonders for the Wingers on the right. This whole Fonzie cool "It's all good" apathy is starting to feel kinda well, ineffective.

I don't know why... Perhaps the American people need to be scared of the REAL threats and not the fake ones, if they're going to shit their pants ANYWAY, they might as well shit them for the RIGHT Reasons...

As Larry Kudlow said last night- "Hillary's got a war on smoking. You wonder where these Democrats priorities are." Meanwhile, visited my mom in a hospital room, Squamous cell carcinoma, oral kind, from smoking. Just one of thousands like her, dying across America this morning, without health insurance. Somehow as I sat there next to her, I managed to contain my fear of terrorists blowing up the hospital.

Kudlow is the kind of guy that would have been arguing AGAINST warning labels on cigs back then, AND discounting Doctors reports that Smoking causes cancer. How many Hundred thousands will die in America this year from ... Smoking? compare that to the terrorist threat and even brain damaged, closet-craig-Kudlow should understand WHERE The Democrats priorities are.

Is it lack of proper healthcare thats turning America into a nation of fucking morons that can't see the forest for the trees?

Personally, I blame Bill Clinton. Oh wait,scratch that, the new Demoncrat du jour is Hillary. Even though she's a closet Republican. In the end, I am starting to think she WILL get elected- by a landslide of Republicans ala Joe Lieberman. Thanks, Hillary supporters- for NOT A GODDAMN THING.

Edwards, all day, everyday. Nothing else is acceptable.