James Rickards: The dollar is not necessarily on the road to ruin, but that outcome does seem highly likely at the moment. There is still time to pull back from the brink, but it requires a specific set of policies: breaking up big banks, banning derivatives, raising interest rates to make the US a magnet for capital, cutting government spending, eliminating capital gains and corporate income taxes, going to a personal flat tax, and reducing regulation on job-creating businesses. However, the likelihood of these policies being put in place seems remote – so the dollar collapse scenario must be considered.
via Peter Schiff Speaks to James Rickards, Author of Currency Wars | Peter Schiff | Safehaven.com.
These dollar collapse scenarios never discuss what will replace the dollar. Let’s see, the euro, the yuan, the yen, ? All have major problems that seem intractable to m or will get worse as time passes. Paraphrasing Winnie, the dollar seems like the worst standard until you consider the alternatives.