The next shoe is dropping. This time currencies are involved. So much money is needed to save local financial systems, that printing presses are working non-stop. A paper currency society has no limits in issuing money. There are no constraints. The only question is how much damage will occur when the inevitable inflation arrives. But first comes a currency crisis.
Ask Iceland.
And now Great Britain.
The British economy is bigger than tiny Iceland, of course.
But the road taken is the same. Sterling dropped today to a record low of 127.44 versus the yen and to 1.4130 versus the dollar. And the slide is far from over.
More is coming: a downgrade of the UK-debt in the near future can not be excluded.
Ask Iceland.
And now Great Britain.
The British economy is bigger than tiny Iceland, of course.
But the road taken is the same. Sterling dropped today to a record low of 127.44 versus the yen and to 1.4130 versus the dollar. And the slide is far from over.
More is coming: a downgrade of the UK-debt in the near future can not be excluded.
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