Finally An Accurate Picture of the Euro/Dollar Relationship....

For those of you out there in the blogoshpere who felt that perhaps I was being too hard on the dollar and its devaluation, I finally found a picture that represents what is occurring between the dollar and the euro at this moment....

Basically, yes, the Euro is taking the Dollar in well you know...it is self-explanatory. And just as Nicholas Sarkozy has commented this will not be good for the United States and from November until now has risked breaking out into a full blown trade war between the trading partners....

Now that the risk of a trade war is settling into the reality that there is a trade war one can only speculate that currency fluctuations will grow in proportion to the intensity and amount of conflict this causes between the EU and the US. Fred Bergsten said as much in 1997 and at the time, many in the current administration were either not listening to him or not paying attention.

At its best today 1.00 U.S. Dollar = 0.6406 Euro. At its worst 1.00 U.S. Dollar = 0.5993 Euro. With all that volatility, what has gone up? Predictably both commodities and gold have risen at faster than average rates since 2001 causing an increase in the global core inflation.

Side Effect: The Global Dairy Wars

It is interesting that a "free market" promoting country, would use price controls to try to set things right, but that is exactly what the United States is doing in the vein of both China, Venezuela and the USSR. I find it a little more than ironic that after penalizing Cuba, China and Venezuela for using price controls, we are using the same types of price controls on milk and durable goods. The Milk wars would be coming, if we were not producing enough, but thankfully the US can still produce enough milk for the entire world, but you will not be paying pennies for it any more, as long as the "socialist cartels" operate the dairy business like OPEC.

Comments

Comment Rescue (?) and child-related gun violence in Delaware

In my post about the idiotic over-reaction to a New Jersey 10-year-old posing with his new squirrel rifle , Dana Garrett left me this response: One waits, apparently in vain, for you to post the annual rates of children who either shoot themselves or someone else with a gun. But then you Libertarians are notoriously ambivalent to and silent about data and facts and would rather talk abstract principles and fear monger (like the government will confiscate your guns). It doesn't require any degree of subtlety to see why you are data and fact adverse. The facts indicate we have a crisis with gun violence and accidents in the USA, and Libertarians offer nothing credible to address it. Lives, even the lives of children, get sacrificed to the fetishism of liberty. That's intellectual cowardice. OK, Dana, let's talk facts. According to the Children's Defense Fund , which is itself only querying the CDCP data base, fewer than 10 children/teens were killed per year in Delaw

The Obligatory Libertarian Tax Day Post

The most disturbing factoid that I learned on Tax Day was that the average American must now spend a full twenty-four hours filling out tax forms. That's three work days. Or, think of it this way: if you had to put in two hours per night after dinner to finish your taxes, that's two weeks (with Sundays off). I saw a talking head economics professor on some Philly TV channel pontificating about how Americans procrastinate. He was laughing. The IRS guy they interviewed actually said, "Tick, tick, tick." You have to wonder if Governor Ruth Ann Minner and her cohorts put in twenty-four hours pondering whether or not to give Kraft Foods $708,000 of our State taxes while demanding that school districts return $8-10 million each?

New Warfare: I started my posts with a discussion.....

.....on Unrestricted warfare . The US Air force Institute for National Security Studies have developed a reasonable systems approach to deter non-state violent actors who they label as NSVA's. It is an exceptionally important report if we want to deter violent extremism and other potential violent actors that could threaten this nation and its security. It is THE report our political officials should be listening to to shape policy so that we do not become excessive in using force against those who do not agree with policy and dispute it with reason and normal non-violent civil disobedience. This report, should be carefully read by everyone really concerned with protecting civil liberties while deterring violent terrorism and I recommend if you are a professional you send your recommendations via e-mail at the link above so that either 1.) additional safeguards to civil liberties are included, or 2.) additional viable strategies can be used. Finally, one can only hope that politici

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