Editor’s Note: The following report is excerpted from Jerome Corsi’s Red Alert, the premium online newsletter published by the current No. 1 best-selling author, WND staff writer and columnist. Subscriptions are $99 a year or $9.95 per month for credit card users. Annual subscribers will receive a free autographed copy of “The Late Great USA,” a book about the careful deceptions of a powerful elite who want to undermine our nation’s sovereignty.
The nation’s media – finally – is recognizing and acknowledging what is happening to the U.S. dollar under the direction of President Barack Obama, Jerome Corsi’s Red Alert reports.
In a clear sign the dollar collapse is so imminent that the mainstream media can no longer cover up the inept way the Obama administration has managed international economics, the New York Times finally published on Thursday an editorial declaring the end of the U.S. dollar is at hand.
“[The United States] is running huge budget and trade deficits, and is relying on the kindness of restless foreign creditors who are starting to feel uneasy about accumulating even more dollar assets,” New York University economics professor Nouriel Roubini, commonly known on Wall Street as “Dr. Doom,” wrote in the New York Times editorial published on Tuesday, May 13. “The resulting demise of the dollar may be only a matter of time.”
Even more emphatically, the Telegraph in Great Britain picked up the story written by James Quinn, a Wall Street Journal correspondent.
Almost as if on cue, President Obama, in his town hall meeting in Rio Rancho, N.M., outside Albuquerque, on Thursday, May 14, 2009, declared that the current level of federal deficit spending was “unsustainable” and warned of skyrocketing interest rates if the U.S. government, of which he is the chief executive, continues to finance government by borrowing from other countries, according to a report published by Bloomberg.
“We can’t keep on just borrowing from China,” Obama told the Rio Rancho audience. “We have to pay interest on that debt, and that means we are mortgaging our children’s future with more and more debt.”
The only surprise here was that the Rio Rancho town hall meeting may have been the first time these realizations occurred to President Obama.
More likely, judging from the New York Times decision to publish the Roubini op-ed piece, the news was that the Obama administration was already at the point where the truth had to be confessed to the U.S. public, even though WND has been predicting these dire economic consequences for years and Red Alert has been sounding the warning since its inception last year.
As far back as 2006, WND asked the question whether the U.S. dollar was facing collapse.
WND has reported the true deficit of the federal government as measured by the U.S. Treasury according to generally accepted accounting principles, or GAAP methods, was $5.1 trillion in 2008, not the $455 billion previously reported by the Bush administration on a cash basis, and the GAAP negative net worth of the U.S. exceeds $65.5 trillion, an amount that exceeds the gross domestic product of the world.
WND has also reported the U.S. Treasury is planning to raise $2.5 trillion in debt in 2009 and an additional $4 trillion in 2010 to provide financing for the projected Obama administration deficits.
The massive amount of U.S. Treasury debt financing is projected to increase the $10 trillion national debt at the end of the Bush administration by 65 percent in just the first two years of the Obama administration.
In his New York Times editorial, Roubini admitted China’s currency, the renminbi, is “far from ready to achieve reserve currency status.” Still, he suggested correctly, “If China and other countries were to diversify their reserve holdings away from the dollar – and they eventually will – the United States would suffer.”
In 2007, WND first reported China had made a major policy decision to hold a smaller percentage of their then-$1 trillion in foreign exchange reserves in U.S. dollar assets.
Roubini suggested the possibility China could begin borrowing and lending internationally in its own currency.
“The renminbi, rather than the dollar, could eventually become a means of payment in trade and a unit of account in pricing imports and exports, as well as a store of value for wealth by international investors,” he wrote. “Americans would pay the price. We would have to shell out more for imported goods, and interest rates on both private and public debt would rise. The higher private cost of borrowing could lead to weaker consumption and investment, and slower growth.”
Yet, WND has been warning that globalist economists have an alternative for the dollar ready to implement.
Red Alert’s author, whose books “The Obama Nation” and “Unfit for Command” have topped the New York Times best-sellers list, noted that while bureaucrats in the Obama administration are convinced the politically correct vehicles for Detroit to manufacture are small, energy-efficient electric hybrids, the American car buyer might shrug shoulders in disdain when the 2010 Obamamobiles begin showing up on car lots for sale.
Corsi received his Ph.D. from Harvard University in political science in 1972. For nearly 25 years, beginning in 1981, he worked with banks throughout the U.S. and around the world to develop financial services marketing companies to assist banks in establishing broker/dealers and insurance subsidiaries to provide financial planning products and services to their retail customers. In this career, Corsi developed three different third-party financial services marketing firms that reached gross sales levels of $1 billion in annuities and equal volume in mutual funds. In 1999, he began developing Internet-based financial marketing firms, also adapted to work in conjunction with banks.
In his 25-year financial services career, Corsi has been a noted financial services speaker and writer, publishing three books and numerous articles in professional financial services journals and magazines.
For more information on the future of Obamamobiles and for financial guidance during difficult times, read Jerome Corsi’s Red Alert, the premium, online intelligence news source by the WND staff writer, columnist and author of the New York Times No. 1 best-seller, “The Obama Nation.”