IMF poised to print billions of dollars in 'global quantitative easing'

IMF poised to print billions of dollars in 'global quantitative easing'

www .telegraph.co.uk

The International Monetary Fund is poised to embark on what analysts have described as "global quantitative easing" by printing billions of dollars worth of a global "super-currency" in an unprecedented new effort to address the economic crisis.

(visit the link for the full news article)

I do not understand the author's use of the term "super-currency" when in the article it spells out a tone more akin to printing the currency used in the country that is being assisted. On more of a conspiracy theorist's note, could this be the "one world currency" finally showing itself to the public?

Anyone out there able to decipher any of this? I'm not sure I understand what the IMF is doing in terms of the "super-currency" only mentioned in the header paragraph.

PS - I believe that the Telegraph is the only paper running this story, didn't find anything from Google besides blogs running the same article. Also was not sure of any related threads (still new to most of this, sorry!) , if anyone can help provide other news links or links to related threads please do !

www .telegraph.co.uk
(visit the link for the full news article)

Simon Johnson, former chief economist at the IMF, said: "The principle behind it is that everyone would get bonus dollars and instead of the Federal Reserve having to print them, everyone gets them.

Bonus dollars? You may be onto something here, unfortunately not alot of detail was provided and it sounds like it is an idea getting thrown around right now.

-Kdial1

I don't get it.... issue billions of "what?"

A new currency called let's say "UC's (universal credits) for example".

What is it based on... are they going to say it is one for one for a US dollar or Euro?

Who will take this currency.... It would be like using a Zimbabwe dollar..

Only the banks or retailers taking it would make it 'worth' something and i doubt many people will take it because of inflation fear.

Since the IMF isn't even a country that could produce anything its 'super currency' would be the ultimate fiat in the sense that it would be backed by absolutely nothing. Printing any other currencies would be just as inflationary, although the world seems to be warming up to inflation since this generation has never seen what it's capable of.

Competitive Devaluation of currencies has been going on for awhile but took a turn for the worse last week when Switzerland intervened in the currency markets. It is turning into the new method of trade warfare. This may be the first episode of global hyperinflation on record. We'll see.

Originally posted by kdial1

Simon Johnson, former chief economist at the IMF, said: "The principle behind it is that everyone would get bonus dollars and instead of the Federal Reserve having to print them, everyone gets them.

-Kdial1

sounds like a two fer one kinda deal..say an american dollar that has a face value of 5 is now 10..Certainly wont be like bonus fries in the bottom of a McD's bag...

[edit on 16-3-2009 by Redpillblues]

reply to post by HimWhoHathAnEar


Bravo!

It is, without a doubt, the first step towards a global currency (fiat-based). From the moment that 'currency' is accepted by governments, the fractional lending scam can begin anew. This time, in trillions, just to start us off.

New brand of debt, and new yoke for the beats of burden.

All heed the division bell!

It tolls for thee.

Originally posted by infolurker
I don't get it.... issue billions of "what?"

A new currency called let's say "UC's (universal credits) for example".

What is it based on... are they going to say it is one for one for a US dollar or Euro?

Who will take this currency.... It would be like using a Zimbabwe dollar..

Only the banks or retailers taking it would make it 'worth' something and i doubt many people will take it because of inflation fear.

The article doesn't state how the money would be accepted by governments, banks, or corporations. I'm fairly positive it won't be like the Canadians that visit Cedar Point here in the summer being unable to purchase things with the Canadian Dollar because the banks and businesses in my area only take the US Dollar.

I'm pressed to say that anyone willing to partake in this "super-currency" has to sign some sort of agreement or contract stating their country, or whatever entity is adhering to this "standard", would make this IMF "super-currency" their new standard and only form of currency.

Scary

[edit on 16-3-2009 by RcknShdw]

A 2006 Bloomberg editorial about the Federal Reserve's decision to discontinue publication of the M3 report contained this interesting paragraph:

So while the discontinuation of a series very few people pay attention to may have been a surprise, it was not nefarious. Nor was it a prelude to a massive, secretive money-printing operation on the part of the Fed, which is how the hard-core conspiracy theorists are playing it.

source: www.bloomberg.com...

Ron Paul introduced legislation to require the Fed to resume publication of the M3.

The European thinktank LEAP2020 wrote at the time:

Such measure, which has had no equivalent since 1945, when the dollar imposed itself as the global monetary reference, is a major break in the confidence contract between the US and its Allies.
This is probably the reason why some refused to believe in the possibility to suppress M3 publication, and expressed doubts about LEAP/E2020’s analyses concerning a global systemic crisis.
...
the cessation of M3 publication is as important as Nixon’s unilateral decision to suspend the convertibility of the dollar into gold in 1971. In 1971, the dollar became a currency solely based on the rest of the world’s confidence. But this confidence mostly relied on the general feeling that US economy and its currency were managed transparently. With the end of M3 publication, this transparency disappears completely. The US now wants the world to trust their word, even in the field of their currency’s value. In a world where the confidence in the US has never been so low since 1945, the USD is thus turned into the central player of the beginning global systemic crisis.

source: www.leap2020.eu...


this link is worth checking out too:

www.reuters.com...

reply to post by incoherent_television


incoherent_television, could you possibly explain what M3 is? I'll Google and Wikipedia it here in a minute. Are you trying to say that this current IMF announcement is the offspring of this M3 publication and the US retreating from the gold standard?

Sorry, was a long 10 hour day at work and my brain isn't working quite well Thanks in advance!

reply to post by RcknShdw


As I understand it, the M3 is the broadest indicator of how much money exists in the US. Not all money is hard currency -- printed bills are a small portion of how much money exists. Google "fractional reserve banking" for more info. Basically, for every $1 you give to a bank, they can lend out 8, then count the extra 7 as assets while your original $1 is counted as a liability (because you can ask for it back at any time).

I'm suggesting that the Fed is coordinating fiscal policy with the IMF and may be using the fact that they no longer report the total dollars on the market to hide some of their actions.

The M3 was generally considered useful for evaluating the effects of inflation -- but I would argue that inflation statistics are problematic because they don't take food and fuel costs into consideration.

EDIT:

you may also want to google "europe imf loan"

www.sofiaecho.com...

Romania, Armenia, Serbia, Ukraine, Iceland, Latvia, Belarus, Russia, Pakistan...

[edit on 16-3-2009 by incoherent_television]

reply to post by incoherent_television


Thanks for the information and the links, as your posts now make more sense and I'm a little bit more informed !

It is scary that the IMF is apparently giving bailouts to full blown countries. Where are they getting this money from to do this? It -has- to be fiat, at least I think it has to be. Is there any way that the IMF figured out how to create a super currency based on gold or some other stable standard?

Googled some more to try and find more sources or different views on this "announcement". Seems in the past hour the internet is starting to bubble over with discussion of this so-called super currency. My initial Google only turned up the Telegraph article (and sadly, it's still the only news about this) and two blog/forum discussions on the topic. Now? Holy... the entire first page are links to forums or blogs discussing this thing!

I really hope we hear something about this from major US media, would be interesting to hear "our" side of the story.

[edit on 16-3-2009 by RcknShdw]

reply to post by RcknShdw


All money is fiat. This is a way of putting money in the system which will not require countries to go into further debt. The system needs cold hard cash, yet none can afford to print it at this point. This is a good solution and if it leads to a one world money system I am all for it. We have to face the fact that global trade is here for good. In order for it to be fair, we have to use the same currencies. Otherwise you can never have true supply and demand.

things do not look good if they are resorting to these unprecedented measures.
What do they see coming, which requires them to do this?

bad feeling about this!

Originally posted by HimWhoHathAnEar
Since the IMF isn't even a country that could produce anything its 'super currency' would be the ultimate fiat in the sense that it would be backed by absolutely nothing. Printing any other currencies would be just as inflationary, although the world seems to be warming up to inflation since this generation has never seen what it's capable of.

Competitive Devaluation of currencies has been going on for awhile but took a turn for the worse last week when Switzerland intervened in the currency markets. It is turning into the new method of trade warfare. This may be the first episode of global hyperinflation on record. We'll see.

That's the whole thing though... the global debt far exceeds the global product, so we have to trigger inflation to reduce the value of our debt.

World: Give me my fix.. please, I'll do anything just give me another hit. PLEASE!!!!

IMF: ...ok fine, but you owe me.

World: Ahhhhh.. thank you.

EDIT: Correcting some spelling.

[edit on 16-3-2009 by dragonking76]

reply to post by disgustedbyhumanity


In a commodity-based economy, supply attempts to meet demand. In a market-based economy, supply creates demand. Did you know you needed an iPod before Apple flooded the country with ads for the thing? Conversely, do you need ads to tell you that you need to eat every day?

EDIT:

demand itself becomes a commodity in a market economy. scarcity creates value: it's why when sony releases a new version of the playstation, it makes fewer units than it knows it can sell. producers don't compete, consumers do.



[edit on 16-3-2009 by incoherent_television]

reply to post by HunkaHunka


Inflation is simply Taxation without Representation. If you think that's a good thing then you are well prepared for the Serfdom they have in store for you.

They are called SDRs- Special Drawing Rights -They are what is referred to as a basket currency deriving it's value as reflective of the major world currencies (US$, Euro, etc)

I read this article earlier and I'm not sure about what to make of it.
It's super important to the global economy but I don't know if it can qualify as printing SDRs "out of thin air"

Y'all should learn more about SDRs if you want to know about a global currency.
Check this Thread I started:
www.abovetopsecret.com...

I explain how The BIS( the central bank for Central Banks) dropped the gold franc in 2003 and replaced it with the IMF SDR. They use it to trade monies between Central Banks to provide liquidity for cash-strapped nations. essentially they throw it around nearly rendering exchange rates and the differences in currencies void accept to investors wanting to get in on the BS.

Another important thing to realize that IMF criticism often overlooks is the fact that the IMF and BIS and WB know real wealth versus imagined and ask yourself why the IMF is the THIRD LARGEST HOLDER OF GOLD RESERVES ON THE PLANET. Only the US and Germany beat it and the official gold reserves of the US are questionable.
You'll also notice that the BIS ranks 27th:

en.wikipedia.org...

Also, I'm surprised the G20 was able to hammer this out- the media was reporting they were bickering as they commonly.

But banksters are not politicians and the Central Bankers tend to get along better than statesmen.

Again I would really urge people to look at SDRs and how they relate to the BIS----
BIS,BIS, BIS
----everybody complains about the WB and IMF but seriously know the BIS.