Informative Podcast on Why The Dinar Will Never Revalue

I still run into people who say all the gurus are full of crap but is there any chance that this currency will revalue? Sam and I recently recorded a Podcast to discuss the economics behind a revalue and why it is not possible for any currency to do what these paid gurus claim.

We decided to break down some basic economic terms and talk about some basic principles. I am among one of the many people who were scammed by all the guru lies. Now its time to fight for the truth.
:panda :
So check out the Podcast below



http://iraqcurrencywatch.com/2016/02/24/why-the-iraqi-dinar-will-never-revalue-part-1/

They are great podcasts If I could get these people to listen to 1 of them they would wake up. It's incredible reading the wsomn forum. I never did get an opportunity to get in TNT since he closed it down days after I texted him back in Sep 2013 LMAO. These plankton writes how a 100 trillion Zim is going to worth 65mil dollars LMAO I can't make this stuff up if I had a year to formulate "The Never Ending Nigerian Currency Scam" I would make a movie but I couldn't find actors good enough to act as dumb as these damn dinarians 

Part two of the Podcast Why The Dinar Will Not Revalue is up and ready to go. At the end of this one we give a major endorsement to Dinar Daily. In this Podcast we discuss the Petro Dollar System, The Global Currency reset, and Gold. Check it out.

http://iraqcurrencywatch.com/2016/02/25/why-the-iraqi-dinar-will-never-revalue-part-2/

I was just thinking that we should write a commercial for Dinar Daily and insert it into a future Podcast. any ideas?

Digitally backed was the key statement.

We will never see an asset based currency, digital or otherwise. It is just too cumbersome in this day and age when commodities gain and lose value in the bat of an eye.

I disagree with your opinion.

Hat wrote:Digitally backed was the key statement.

Money is money....  regardless if it's digital or not.

Think about it for a minute. You buy a million widgets from XYZ country in East Bumbleflop, and you agree to pay 100K USD. Now that USD is relatively stable. But if that USD were backed by assets, i.e. gold, oil, or any other commodity you care to name, and face it they are all commodities, then the value of the USD would vary widely according to market conditions. We have seen such things vary by 15, 20, even 30% in a matter of hours. So then how do you set the actual price? Value now? Value on delivery? What if it's net 30 and the market tumbles over that 30 day period?

I'm trying to keep it short and simple, but the simple fact is asset based currency sounds good, but there is a reason there are not asset based currencies anywhere now. (OK, I'll admit the last I checked there was still one, but it was some little backwater 3rd world country with little if any foreign trade.) Oh, BTW, for the record, the US was one of the last to move from an asset based currency. We had to Europe and Asia were screwing us over big time.

Kevind53 wrote:We will never see an asset based currency, digital or otherwise. It is just too cumbersome in this day and age when commodities gain and lose value in the bat of an eye.

You are absolutely 100 percent right Kevin! The gurus like to talk about all the oil that Iraq has then they say we are going back to asset back currencies.

Now everyone has the impression that currency will be backed by oil and we are going back to that. The only problem is that oil has never backed currency. NEVER! There is only one asset that has ever backed anything. That asset is gold. There has never been a time in history when oil backed currency.

Even the Petro-Dollar system is not a true currency backing even though it gives the U.S. dollar strength. All the oil in Saudi Arabia is not going to magically transport out of the ground and go into the central bank for the purpose of currency backing. That's absurd.

So when these gurus say we are going back to asset backed currencies and then mention oil it really shows how clueless they are. Their is nothing to go back too. If this was an actual event it would be an entirely new system of money, not an old system that we are returning to.

but these guys need to make up some newfangled system due to the elephant in the room. Their is over 35 trillion dinar outside of the CBI.

So they make up things like we are going to go back to something that never existed in the first place in order to make the numbers jive.

My question would be; Why can't Iraq back its currency like the United States? No physical asset, but by the full faith and credit of and in the United States.
Just a thought.

They can and they do, as do most countries. But riddle yourself this, what full faith and credit is worth more? The full faith and credit of an established and stable country, one that has been so for over 200 years, never defaulted on a loan, with a 17 Trillion Dollar GDP, (approx $53K per capita), the largest economy in the world, with multiple sources of revenue and resources, and arguably the strongest military in the world, or the war torn country that has been struggling with security, with a 230 Billion dollar economy, a GDP of under $7K per capita, a credit rating at junk bond levels, with large swaths of it's land under hostile control because it's army seems unable to hold ground in the face of any sort of attack, with one source of income? The IQD is 1/1000th the value of the USD as much as anything because the full faith and credit of Iraq is worth that much. There are other factors, but we really don't need to look much further than that.

Hat wrote:My question would be; Why can't Iraq back its currency like the United States? No physical asset, but by the full faith and credit of and in the United States.
Just a thought.

It should be pointed out that the United States does back a portion of its currency. The claim that they do not is a totally fabrication by gold and silver bugs. The United States has 8,133.5 tones of gold for the express purpose of currency backing. That is more then Germany and the IMf combined.

but I would say don't take my word for it check out this link.

http://demonocracy.info/infographics/world/gold/gold.html

Most currencies have reserves of some sort. Some reserves are precious metals and others are paper. Reserves serve as a way to place faith in the value of the countries currency.

The dollar and the dinar both circulate in Iraq. taking their reserves out of the equation would make the dinar much weaker and people would seek to use the dollar instead of the dinar.

In round numbers, the U.S. is 18 Trillion in debt of which each citizen is on the hook for 59 thousand plus. Yes we are the greatest but we had to have started somewhere. That's all I'm pointing out. Im not into the gold and silver sellers schtick, or the cabal, or the guru's, and the holy rollers that pray for the "blessing."

HAT - You need to remember that about 90% of Iraq's GDP is oil related.  As we've seen over the past couple of years the price of oil fluctuates wildly, so all of the oil producing countries in that region have pegged currencies and tightly manage their money supply to keep the currency's value stable.  Otherwise it would be impossible to conduct business.  They all back their currencies with foreign currency reserves, although they use a different percentage figure for backing depending on a number of factors.  As an oil-based economy Iraq can't have a free floating currency, so the only question is the percentage of their money supply that they will back with their reserves.  Until conditions drastically improve they really don't have any choice other than to back the dinar at a higher percentage than their neighbors, and that leaves very little room for an increase in the value.

:tup:

I hear they're going to back it with sand. Can never have too much sand ya know? Florida beaches will be the biggest customer. IMO.