[Home]  [Headlines]  [Latest Articles]  [Latest Comments]  [Post]  [Sign-in]  [Mail]  [Setup]  [Help] 

Status: Not Logged In; Sign In

The Attack on the USS Liberty (June 8, 1967) - Speech by Survivor Phillip Tourney At the Revisionist History of War Conference (Video)

‘I Smell CIA/Deep State All Over This’ — RFK Jr. VP Nicole Shanahan Blasts Sanctuary Cities,

we see peaceful protests launching in Los Angeles” - Democrat Senator Cory Booke

We have no legal framework for designating domestic terror organizations

Los Angeles Braces For Another Day Of Chaos As Newsom Pits Marxist Color Revolution Against Trump Admin

Methylene Blue Benefits

Another Mossad War Crime

80 served arrest warrants at 'cartel afterparty' in South Carolina

When Ideas Become Too Dangerous To Platform

The silent bloodbath that's tearing through the middle-class

Kiev Postponed Exchange With Russia, Leaves Bodies Of 6,000 Slain Ukrainian Troops In Trucks

Iranian Intelligence Stole Trove Of Sensitive Israeli Nuclear Files

In the USA, the identity of Musk's abuser, who gave him a black eye, was revealed

Return of 6,000 Soldiers' Bodies Will Cost Ukraine Extra $2.1Bln

Palantir's Secret War: Inside the Plot to Cripple WikiLeaks

Digital Prison in the Making?

In France we're horrified by spending money on Ukraine

Russia has patented technology for launching drones from the space station

Kill ICE: Foreign Flags And Fires Sweep LA

6,000-year-old skeletons with never-before-seen DNA rewrites human history

First Close Look at China’s Ultra-Long Range Sixth Generation J-36Jet

I'm Caitlin Clark, and I refuse to return to the WNBA

Border Czar Tom Homan: “We Are Going to Bring National Guard in Tonight” to Los Angeles

These Are The U.S. States With The Most Drug Use

Chabria: ICE arrested a California union leader. Does Trump understand what that means?Anita Chabria

White House Staffer Responsible for ‘Fanning Flames’ Between Trump and Musk ID’d

Texas Yanks Major Perk From Illegal Aliens - After Pioneering It 24 Years Ago

Dozens detained during Los Angeles ICE raids

Russian army suffers massive losses as Kremlin feigns interest in peace talks — ISW

Russia’s Defense Collapse Exposed by Ukraine Strike


History
See other History Articles

Title: List of currencies gone worthless
Source: [None]
URL Source: [None]
Published: Aug 5, 2011
Author: Jeff Clark
Post Date: 2011-08-05 05:09:15 by Tatarewicz
Keywords: None
Views: 120
Comments: 3

BMG BullionBars recently published a poster featuring pictures of numerous currencies that have gone bust. Some got there quickly, while others took a century or more. Regardless of how long it took, though, the seductive temptations allowed under a fiat monetary system eventually caught up with these governments, and their currencies went poof!

You might suspect this happened only to third world countries. You'd be wrong. There was no discrimination as to the size or perceived stability of a nation's economy; if the leaders abused their currency, the country paid the price.

As you scroll through the currencies below, you'll see some long-ago casualties. What's shocking, though, is how many have occurred in our lifetime. You might count how many currencies have failed since you've been born.

So what's the one word for the "thousand pictures" below? Worthless.

1 Yugoslavia -- 10 billion dinar, 1993 2 Zaire -- 5 million zaires, 1992 3 Venezuela -- 10,000 bolívares, 2002 4 Ukraine -- 10,000 karbovantsiv, 1995 5 Turkey -- 5 million lira, 1997 6 Russia -- 10,000 rubles, 1992 7 Romania -- 50,000 lei, 2001 8 Central Bank of China -- 10,000 CGU, 1947 9 Peru -- 100,000 intis, 1989 10 Nicaragua -- 10 million córdobas, 1990 11 Hungary -- 10 million pengo, 1945 12 Greece -- 25,000 drachmas, 1943 13 Germany -- 1 billion mark, 1923 14 Georgia -- 1 million laris, 1994 15 France -- 5 livres, 1793 16 Chile -- 10,000 pesos, 1975 17 Brazil -- 500 cruzeiros reais, 1993 18 Bosnia -- 100 million dinar, 1993 19 Bolivia -- 5 million pesos bolivianos, 1985 20 Belarus -- 100,000 rubles, 1996 21 Argentina -- 10,000 pesos argentinos, 1985 22 Angola -- 500,000 kwanzas reajustados, 1995 Zimbabwe -- 100 trillion dollars, 2006 So, will a similar fate befall the U.S. dollar? The common denominator that led to the downfall of each currency above was the two big Ds: Debts and Deficits.

With that in mind, consider the following:

Morgan Stanley reported in 2009 that there's "no historical precedent" for an economy that exceeds a 250% debt-to-GDP ratio without experiencing some sort of financial crisis or high inflation. Our total debt, including the present value of future liabilities like Social Security and Medicare, now exceeds GDP by more than 400%.

Investment legend Marc Faber reports that once a country's payments on debt exceed 30% of tax revenue, the currency is "done for." On our current path, analyst Michael Murphy projects we'll hit that figure by October.

Peter Bernholz, the leading expert on hyperinflation, states unequivocally that "hyperinflation is caused by government budget deficits." This year's U.S. budget deficit will end up being $1.5 trillion, an amount never before seen in history.

Since the Federal Reserve's creation in 1913, the dollar has lost 95% of its purchasing power. Our government leaders clearly don't know how -- or don't wish -- to keep the currency strong.

Whether the dollar goes to zero or merely becomes a second-class currency in the global arena, the possibility of the greenback being added to the above list grows every day. And this will lead to serious and painful consequences in our standard of living. While money is only one of many problems we'll have to deal with, you can protect your assets with the one currency that can't be debased, devalued, or destroyed by irresponsible leaders.

Don't be the investor who dismisses this message from history. Use gold (and silver) as your savings vehicle. Any excuse you have now will be meaningless and irrelevant when we enter that fateful period. Make sure you own enough precious metals to make a difference in your portfolio.

Because when it comes to money, worthless is not a fun word. Regards,

Jeff Clark, for The Daily Reckoning

Post Comment   Private Reply   Ignore Thread  


TopPage UpFull ThreadPage DownBottom/Latest

Begin Trace Mode for Comment # 1.

#1. To: Tatarewicz (#0)

Make sure you own enough precious metals to make a difference in your portfolio.

That portfolio won't save you from the gangs of starving people.

RickyJ  posted on  2011-08-05   7:30:50 ET  Reply   Untrace   Trace   Private Reply  


Replies to Comment # 1.

#2. To: RickyJ (#1)

nope but the non-precious metals I've collected will.

IRTorqued  posted on  2011-08-05 11:47:16 ET  Reply   Untrace   Trace   Private Reply  


End Trace Mode for Comment # 1.

TopPage UpFull ThreadPage DownBottom/Latest


[Home]  [Headlines]  [Latest Articles]  [Latest Comments]  [Post]  [Sign-in]  [Mail]  [Setup]  [Help]