Countdown to Global Economic Meltdown Part 2

Unfortunate as it was, Connecting the Dots was on target with predictions about global economic meltdown in June. Now 3+ months later part 2 of this series is outlining more of the same dire predictions.

There is no doubt this overshadows just about every other news topic less a few. The United States economy it taking a huge hit and very scarey words like ‘depression’ are being floated for the first time in a long time. Only the most senior Americans have memories of what a depression is all about, for the rest it is just a word they read in American history. What is means in short is, the economy shit the bed.

How the Untied State economy will effect the rest of the globe can be generally see in each countries stock market. Whenever Wall street was down, other markets responded by going down. The saying that when the American market sneezes the rest get sick. This time it looks like the American market is being admitted to the hospital for a major procedure and is being fitted with diapers to try to avoid that smelly mess in the bed.

Because this is all tied to the price of oil there is only a few parts of the globe that will not be effected, or not as bad as the rest. Countries that are under sanctions for being bad boys will not face the brunt of this meltdown. Burma, North Korea and Iran are on the short list. Countries who’s economy is already in shambles like Zimbabwe will see it as just another day of misery as they whip up another batch of mud cookies. Europe, China, Taiwan, Japan will feel the biggest hit. The one two punch of the soured American economy and the price of oil will see to it that everyone is hit.

China will take a significant hit because things with the Made in China marking will end up staying in China. If a depression hits, the United States government will need to make jobs and much of what was once made in the USA then made in China will once again be Made in the USA. Other countries are likely to do the same. There will be significant changes in the exchange rates for currency and where that will settle is too hard to predict. A single global currency may be the way to go in the future and not one for each country to help insure global stability.

A very recent poll in the United States reveals that public opinion feels the Republican party is mostly to blame for this. Connecting the Dots agrees with that assessment and can narrow it down to the republicans who are best buddies with the oil industry. George Bush and John McCain are at the top of the list. Nearly 8 years has past when only very minor money was invested in alternate energy research and development. McCain is promising more of the same if elected.

Ironically you can step back a few thousand kilometers and see that what is going on is exactly the same as nature at work. Of a population of ‘x’ that grows too big and too fast, it consumes all the food and then starves off. That is a basic function of nature. Humans have consumed all the oil and now the starving part of the cycle starts. To avoid that alternative food must be found. In this case food is energy. Also making that change to another food source will effectively put a dent in global warming. As much as we humans try to forget we are part of nature, when we are reminded, it is not in subtle ways.

Connecting the Dots suggest that if you were giving thought to planting a garden in your back yard (that is if you still have a back yard) then just do it. Although it is harvest season in the north, the south’s season is just starting.

This is Part 2 of a periodic series. See part 1 here.
Other related stories: Economy staggers after Round 1 and
Just a taste of vinegar without oil

One Response to Countdown to Global Economic Meltdown Part 2

  1. Indeed, “a single global currency may be the way to go….”
    The success of the euro has shown the world that monetary union is a solid foundation for monetary stability and the optimal monetary union will be a Global Monetary Union.
    The Single Global Currency Association promotes the implementation of a Single Global Currency, within a Global Monetary Union and managed by a Global Central bank, by the year 2024. Our website is at
    The Association recently published the 2008 Edition of my book, The Single Global Currency – Common Cents for the World.
    The benefits of a Single Global Currency include:
    – Zero transaction costs to exchange currencies. Presently, $3.2 trillion is traded every trading day and all this trading and its associated costs, approximately $400 billion annually, can be eliminated.
    – The end of currency fluctuations and currency speculation.
    – The end of “Balance of Payments”, “Current Account” and “global imbalances” problems for currency areas.
    – Zero manipulation by countries of their currenciesd.
    – Zero risk of national and regional currency crises.
    – Minimal inflation.
    – Worldwide asset values will increase by about $36 trillion due to the elimination of currency risk.
    – With no currency risk, worldwide interest rates would be lower.
    The single global currency might be an enlarged transformation of one of the current major currencies (dollar, euro, yen), or it might be a new currency, and the most likely route is to continue the trend of creating and expanding regional monetary unions, and then combine those monetary unions into one. Compatible with all these and other routes is the need to convene an international monetary conference.
    When the vast benefits become better known, the people of the world will demand a Single Global Currency and ask why we have been burdened so long with the existing multicurrency system.