IMF Flexs Again

Looking at an opportunity to increase its own prestige, the leader of the International Monetary Fund has again voiced a "need" for the establishment of an accepted international form of money. To no one's surprise the suggested monetary form was the IMF's Special Drawing Right [SDR]. In an effort to promote the financial importance and unique position of the IMF, its leader, who is the French Socialist Dominique Strauss-Kahn, addressed this past week an international monetary conference and suggested that a "new global currency might evolve out of Special Drawing Right." This "new currency" would be the international standard.



Commenting on this position statement of Strauss-Kahn was Communist Chinese Central Bank Governor Zhio Xiao Chuan who urged that the role of the IMF's SDR be expanded "so to replace the US Dollar." Simultaneously this same position was promoted by past IMF Chief, Michael Camdessus, as he "urged the happening". In a further effort to enlist support from nations who are experiencing economic growth or at least economic maturing, the IMF has proposed that its SDR basket be quickly expanded to include the yuan of Red China, the rupee of India and the real of Brazil.

A little more realistically, the IMF has also urged that Communist China readdress the value of its monetary system and seriously consider a "revaluation of its currency". The yuan has an artificially set-by-Peking value of 6.83 per dollar and that calculation has been written in stone since July of 2008.

The message being sent is that the IMF is clearly anti-dollar and anti-capitalism. Strauss-Kahn wishes to align himself with fellow socialists/communists who exercise power in Asia, Europe and South America. On this point he has done well and can show as proof the extraction of a multi-million dollar "dues" from America with the absolute assistance of President Obama; a huge loan advance from Communist China and defined in the form of SDR; and a multi-million SDR sale of gold to India.

There is no question that the American economy continues to be on a very weak foundation. Unemployment still rises; Federal debt still increases; and availability of investment money remains non-existent. With these real negative economic indicators clearly visible and emphasised more and more by pundits, Obama's Washington does nothing productive. The only real issue facing American this 2009 Thanksgiving is if our nation can successfully tread economic-water until November of 2012 when new national leadership is elected.