> Let's say Japan follows Argentina the way of the Dodo, and then a
> couple of other minor countries too.  Let's say the 'Great Reckoning'
> all happens and the USD goes to hell.  The credit cycle is over!
> Doom!

I don't understand. How do you envision this 'end-game' scenario coming
about? What do you see happening to the value of the USD, and how can it
significantly change in value? Moreover, if the USD becomes worthless, then
the advantage is to those who DO have mortgages, since they'll be able to
pay them off easily. Glory be to those in debt, when their debts become
worthless. And if the USD undergoes severe deflation, then the place to put
wealth would be in USD, since it will be undergoing the greatest long-term
gain.

SnowDog



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