[Marxism] Japan said to warn of huge dollar selloff ifdropcontinues

Charles Brown cbrown at michiganlegal.org
Mon Dec 6 08:36:10 MST 2004

*	From: "Marvin Gandall" <marvgandall at rogers.com> 

So long as the Japanese, with 800 billion in $US reserves, and the Chinese
with about $600 billion don't start dumping the dollar, it will be difficult
for anyone else - another central bank or private speculators - to do so.
The Russians, with 50 billion USD, are relatively minor players. In fact,
the Asians and Europeans would intervene to buy dollars to halt a selloff
because the flip side would be a rapid appreciation of their own currencies.
All these states need to sell into the US market, and understand no one
would benefit from a dollar collapse and the large risk of an ensuing
American depression which would quickly become global. Everyone is eager to
avoid a panic, and is looking instead to engineer an orderly and coordinated
decline and trade rebalancing. But it's as yet unclear to what degree they
will succeed in doing so, and who will mainly benefit.


CB: I agree with your counsel that we not cheer a crisis, but is it that the
Managers of world capitalism now have the potential to keep it under control
such that bite of periodic crises can be avoided through orderly economic
engineering ? It seems this would be very impressive centralized planning.

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