From nbc.com. Sept 16, 2013. MSNBC Morning Joe Interview. Senator Elizabeth Warren.
The real debt of the US is not only the IOU it puts out but the printing of the trillion of dollars which the US government used to finance itself (over and above the value of the US economy!) under the guise of "quantitative easing" and which is held as reserve by countries like China, Japan, Russia EU etc etc etc. What will be the value of that US Dollar if they decide it is not worth the paper it is printed on and try to get rid of it or downgrade it! In 1967 when the US was promising 1 oz of gold at $38, countries with very large reserves of US Dollars approached the US for an exchange - Lyndon Baines Johnson "devalued" the US Dollar overnight by refusing to honour that promise. Overnight 1 oz of gold shot up to $100! What would happen to the value all those investments in the US, including the shares of those so called conglomerates? Will they double overnight? And what would happen to the Dollar in your pocket when it comes to buy goods with it?
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