[quote=partypup]
I’m just curious: where do you see the dollar heading? Specifically, it now hovers at 76.49 on the USD index, which represents a 3.67% loss in one month
1. Where do you think the dollar will sit on that index by Dec 2010?
[/quote]
Probably about the same. Maybe somewhat higher. Our trade deficit is very low by historical standards. Annualized July trade deficit was at the lowest level since 2001.
[quote]2. Do you believe the U.S. will retain its sole reserve currency status by Dec 2010?[/quote]
Reserve currency status is irrelevant. It’s merely a notational agreement. Balance of trade is what matters. I do not foresee any significant changes in the balance of trade, with China in particular, by Dec 2010.
[quote]And as for food…there is this little issue called “climate change” that you should probably prepare yourself for.[/quote]
Oh yeah, how could I forget that … a 34 cm rise in sea levels and a 4 C increase in mean surface temperature by 2100 (mostly in Canada and Siberia). The horror!
On the other hand, there’s this neat picture that shows how much India & such can increase their agri output when they industrialize…
