[felixkrull6]

Quote:

Originally Posted by VicAjax but china won't do that, because as goes the US economy, so goes the China economy. and if US and China go in the tank, everyone else will be riding the global flush right down the toilet.

Unfortunately this is exactly what the current U.S. Government is counting on in being fiscally irresponsible. To paraphrase Reagan, "if the average family ran their finances the way the U.S. government did, then they'd be bankrupt." Where are the real fiscal conservatives? If spending massive amounts on social welfare and other junk is being a compassionate conservative, then call me uncompassionate. To George W. Bush, stop calling yourself a conservative you're ruining our name!

 

[Yikes]

I won't get into the politics

(ie. reasons) but

4/10/06 I transferred 30,000 euros to The Netherlands at 1.222

I need to make another transfer. Today’s rates 1.268

Between the gas prices and the exchange rates we are seeing the biggest brakes on the economy in decades. This is an economic disaster. If this trend is not reversed the US is going to be a third rate economy in just a few years.

 

[Yikes]

Last year the Euro got much higher than it is right now. The most I paid was 1.31 but the high was over 1.36

Check it out http://www.oanda.com/convert/fxhistory

 

[Jon.]

Quote:

Originally Posted by Yikes Between the gas prices and the exchange rates we are seeing

Doesn't the US have the cheapest gas prices? I know it's cheaper then Canada and Europe.. welcome to the rest of the world.

 

[Yikes]

The difference is the amount in taxes.

We should have been paying $3.00 a gallon for the last ten years. With the majority of the money going to alternative energy research and development. If this had happened we would be well on the way to being weened off of the oil teat.

 

[smeerkaas]

just wondering..

what are the gass prices in the US?

we have to pay more then 6 dollars a gallon over here

 

[SiBurning]

Quote:

Originally Posted by saint.panda Actually, the dollar is still far from cheap. In real trade-weighted terms, it remains close to its 30 year average. (from the Economist, 2004)

Get a new chart. The USDX is at 86.06. The low was in late 2004 at about 81, so it's already broken new ground in this bear market. The only thing holding this inflating pig up is all the other inflating pigs. It's called beggar thy neighbor, which is kind of like trying to climb on your buddy's head while you're both sinking in quicksand. All this inflation also explains all those high prices. $3 copper: a 5 bagger. $70 oil: a 3.5 bagger. $12.60 silver: a 3 bagger. houses: a 2 or 3 bagger. insurance premiums: a 2 bagger. the S&P 500: a 0 bagger? (oops) The problem with the USDX is it measures one pig against other pigs. Look elsewhere and see the real damage.

By the way, (and I don't have the reference for this) if the numbers were still calculated the old fashioned way before Kennedy, and every administration since, mucked around with them, unemployment would be around 12% in the USA.

It's interesting to see posters from the US getting their heads around this. A year or two ago, you couldn't get anyone in the US--outside of financial boards--to fess up to the truth that's been obvious to everyone outside the US for years.

 

[Naris]

Quote:

Originally Posted by smeerkaas just wondering.. what are the gass prices in the US? we have to pay more then 6 dollars a gallon over here

Around three dollars a gallon (nearly four in certain areas). In my opinion the comparison doesn't work too well because most countries which have high gas costs are actually intelligent and:

1. Have really good public transportation.

2. Make really small, fuel-efficient cars.

Whereas the US is truly moronic (perhaps BECAUSE gas was so cheap for such a long time) and makes the SUV (those @#$%in Hummers, some of which people get tax breaks for...) a popular vehicle.

 

[smeerkaas]

our public transportation ain't that good

The trains are always too late.

There are no dutch car manufacturers (Well there is spyker and Donkervoort but those only produce a few cars a year)

you do see a lot of japanese cars or German Diesels

 

[Sladeophile]

Quote:

Originally Posted by Naris Around three dollars a gallon (nearly four in certain areas). In my opinion the comparison doesn't work too well because most countries which have high gas costs are actually intelligent and: 1. Have really good public transportation. 2. Make really small, fuel-efficient cars. Whereas the US is truly moronic (perhaps BECAUSE gas was so cheap for such a long time) and makes the SUV (those @#$%in Hummers, some of which people get tax breaks for...) a popular vehicle.

Did it ever occur to you that some people actually use a big SUV because they have a lot of kids? That's also a big difference between us and the so called intelligent countries, we actually like to have more than one kid! I think it's a bit of a myth that public trasportation in EU is so good, even our friend smeerkaas agrees. The bus systems here and in towns I have visited in America have been pretty good. It's been a while since I was in EU, but I know that the train system over there is supposed to be all high and mighty, but if the trains are late, the people get mad.

And number 2 is the exact reason I'm proud to be an American with a fast ass gas guzling car AND truck. Am I perpetuating the problem? Perhaps. I also have a motorcycle that I ride a lot that gets 50 MPG and I go a few weeks between tanks on each vehicle. But IMO gas prices are finally catching up to what they should have been for a long time. The problem I see with gas prices (and they're still well below $3 here) is that there is a huge tax on them that could be done away with if gov pork spending went down, and not even that much! 100 Mil would make a big difference, and in our Gov, 100 Mil is like the change (pork) you take out when you wash your pants... I just don't understand...

 

[SiBurning]

Quote:

Originally Posted by Sladeophile And number 2 is the exact reason I'm proud to be an American with a fast ass gas guzling car AND truck. Am I perpetuating the problem, perhaps. I also have a motorcycle that I ride a lot that gets 50 MPG and I go a few weeks between tanks on each vehicle. But IMO gas prices are finally catching up to what they should have been for a long time. The problem I see with gas prices (and they're still well below $3 here) is that there is a huge tax on them that could be done away with if gov spending went down, and not even that much! 100 Mil would make a big difference, and in our Gov, 100 Mil is like the change (pork) you take out when you wash your pants... I just don't understand...

We'll have new taxes in the US soon. Traditionally, the money was split three ways. Something like 1/3 to the drillers, 1/3 to the rest of the supply chain, 1/3 to the government. Unfortunately, the taxes are on a dollar basis, and need to be adjusted up to account for the higher prices. while I'm at it, the oil companies aren't taking more on a percent basis, just the dollar amounts on which those percents are based is now higher. they're still targeting an 8-9% return on investment, which is so low these days that noone wants to invest in them.

 

[fearless]

Here's some advice, buy some silver and gold. When the dollar goes down precious metals go up. Gold and silver have doubled since 2004 and are at near 20 year highs! Silver went up 8% just yesterday and is up over 60% this year! This is because precious metals have actual value as opposed to the dollar that is worth less evey time the Fed prints up more money (backed by nothing) and racks up more debt, deflating it's value.

http://www.chicagotribune.com/busine...i-business-hed

http://today.reuters.com/business/ne...20Abdul%20Hadi

 

[PinkFloyd]

Have a read

 

[Sladeophile]

Quote:

Originally Posted by SiBurning We'll have new taxes in the US soon. Traditionally, the money was split three ways. Something like 1/3 to the drillers, 1/3 to the rest of the supply chain, 1/3 to the government. Unfortunately, the taxes are on a dollar basis, and need to be adjusted up to account for the higher prices. while I'm at it, the oil companies aren't taking more on a percent basis, just the dollar amounts on which those percents are based is now higher. they're still targeting an 8-9% return on investment, which is so low these days that noone wants to invest in them.

There are a lot of companies that are making a much larger profit than the big oil companies. I don't blame them, they don't really have control over it. I just have a hard time swallowing that pill when there is a TON of oil in our own country and no one will let us get it! We also haven't built a refinery in decades...

 

[bobeau]

Quote:

Originally Posted by PinkFloyd You all do realise that if China sold it's stash of US dollars on the open market the entire US economy would collapse within hours? Just an interesting factoid

As would their's.