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Old 28th October 2007 | 04:23
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CanadaKid
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History repeats

Having a currency pegged to the US dollar can't help. The US Federal Reserve Bank is printing US dollars at an unprecedented rate. As more dollars are printed, any linked currency loses value.

Similarly, any commodity priced in US dollars will cost more.
The cost per barrel of oil has not gone up in price significantly.... the number of devalued US dollars to purchase a barrel has increased.

What's a merchant to do but ask for more pieces of devalued paper to achieve his previous profit margin! The consumer has to work harder to make up the difference.

Empire of Debt written by William Bonner & Addison Wiggin describes these phenomena of human nature from a historical and current perspective.
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