The last two days on Digg, have been amusing to say the least. Colorful sides of the community now flourish that seemed to not exist in the past. Added to these ‘new’ members, two different articles spreading FUD about a devaluing United States Dollar were on the front page.
One of theses articles, from some unpredictable radio host’s site, claimed that China had decided to dump its approximately 1 trillion USD in favor of the Euro. Few actual facts could be scraped from this fear-mongering piece. It accurately addressed the fact that the Chinese hold so much USD is of concern to everyone. What the article fails to mention is that if the Chinese did suddenly dump all of its USD cash, the entire world would be sent into a depression that would make the Great Depression look like a time of great wealth. In the best interests of the USA, the world, and itself, China would never do such a thing over night as the article suggested. Lastly, US economic diplomats are over in China discussing economic matters but that’s a far cry to what that article was claiming.
Today more rumors emerged. This time they claimed that Iran is planning on using the Euro instead of the USD for selling oil. People want to make this into something it isn’t. Looking at the current situation with the Iran, and the fact that the Iranian president wants to kill every non-Muslim in his ‘jihad’, it makes perfect sense for Iran to do what the rumors speak of. Conspiracy theorists add that Saddam Hussein was toying with the idea of selling oil only in Euros before the US invaded Iraq. So now this entire topic gets set into debating the legitimacy of the current situation involving Iraq, in which the media and some politicians want us to lose. Digression aside, it makes perfect sense for Iran to make such a move in the political chess match they are playing with their nuclear program. As there are embargoes against Iran with the USD right now anyways, switching to the Euro for them won’t affect the US unless other countries follow suit, and as explained before, if such a thing happens everyone will be hauled back into the stone ages.
Simply put, with a globalization world and increasing economic interdependence, both of the rumors that are making rounds, if true, would never impact just one group of people. If either of these rumors holds merit, soon the world as it is currently known will cease to exist. Could this be the predicted 2010 economic crash? Who knows, but no one would really want or benefit from such a situation, except an elitist minority whom assume power.
[end of transmission, stay tuned]