Welcome to Dollar Crisis, your source for the truth about the coming economic crisis.

"At some point, the satiation point for dollars is reached."
Paul Volcker, former Chairman, Federal Reserve Board

"When the music's over, turn out the lights..."
Jim Morrison, lead singer of the Doors

"What they ( the Democrats and Republicans) don't talk about is a dirty little secret everyone in Washington knows, or at least should. The vast majority of economists and budget analysts agree: The ship of state is on a disastrous course, and will founder on the reefs of economic disaster if nothing is done to correct it. ("GAO Chief Warns Economic Disaster Looms," AP, October 29, 2006)

America's on a world-wide buying spree, with foreign nations pimping us like our credit card companies. And just like your bank card company, these creditors can't wait to catch us with outrageous late charges, jacked-up interest rates, sneaky penalties and brutal defaults. When creditors like China, India, Russia, Saudia Arabia decide they have enough of our paper dollars, the ones in your wallet will become rapidly worthless. Say good-bye to your 401K, IRA, stock portfolio and home equity. Watch your mortgage and car payments soar.

The Administration in Washington believes in the power of the free press, not the journalistic free press of daily newspapers (which it loathes), but the high-speed printing presses at the Treasury Department. Like a busload of Mad Hatters running loose in a print shop, the Treasury covers our deficits by printing paper money day and night and issuing non-stop Treasury Bonds to foreign governments.

The fall of the US dollar has already begun and will worsen with each financial crisis. Increase spending. Cut taxes. Sell more bonds to Asia. And on Wall Street the game is: pay out bonuses, ignore risk (the taxpayer will bail you out), but ship out middle-class American taxpayer jobs to the 3rd World.

There is no free lunch, except, unfortunately, in Washington, D.C. and on Wall Street. At Dollar Crisis, we believe that a sound government must be based on a sound currency and responsible pay-as-you-go financing, that regulation has a place where greed is the rule and that the decent, hard-working middle class deserves better from its government.

News! The sharp, world-wide market sell-off on February 27 highlighted the weaknesses of the world financial system. There is no place left to hide. There is no negative risk correlation: gold went down with US stocks and Asian stocks. The housing slowdown is evolving from a subprime lending crisis into a crisis infecting the whole over-leveraged US financial system. Check out Doug Kass (the "anti-Cramer") for his perspective on the sub-prime mortgage contagion.

We don't know who. We don't know where. We don't know when, but someone, somewhere out there over-leveraged his bets and didn't price his assets right. The game will go swiftly against him. His counter-parties will fall like dominoes. A major hedge fund or a name bank will collapse, triggering a major financial collapse that all the high-speed printing presses in Washington can't stop.

Dollar Crisis is a new site. At Dollar Crisis, our mission is to bring you the truth about irresponsible politicians and your increasingly worthless paper money. Under no circumstances does the information on this website represent a recommendation to buy, sell or hold any security, investment product or commodity. Do your own research and your own due diligence. We're just writers and thinkers here.

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