1) To remain price competitive globally, what's to keep all Countries from debasing their currencies to, so to speak. maintain the existing price equilibrium?
2) The time frame for IMF SDR's or any alternative has to be years away! Christ, the World finance geniuses can't agree on anything that coordinates a global solution so far and at least one of the parties involved (US) maintains the reserve currency of choice which it is unlikely to relinquish willingly. Barring any unilateral moves by China, Russia and the Middle East to act independently and decisively, how on Earth is a new gold standard going to be introduced in time to save us all from economic catastrophe?
All the evidence suggests that the existing fix bit by bit of unravelling OTC derivatives is going to be addressed by QE. The problem is that if so far $5 trillion has been thrown at a problem estimated at $1 quadrillion just imagine how long this ball of string is!!!!!!!!!!
I just hope the soothsayers are wrong and we don't end up down the track fighting in the streets for food.
