Wien’s Smartest Man on the Dollar

From Byron Wien’s “smartest man”:

The United States is destroying its currency.  You cannot keep borrowing from abroad at the rate you are doing it and expect the dollar to maintain its value.  America has been living beyond its means for a long time.  Most people think that means that consumers have been spending too much and borrowing to do it, but that’s not what bothers me.  The government has been spending seriously beyond its means.  It has 150 military bases around the world and is involved in three wars.  How does that make sense when you are running a deficit of $1.5 trillion?

Lots more here.

Related posts:

  1. Dollar, Dollar, What’s the Future?
  2. The Billion Dollar Fund Thing
  3. Dollar, Dollar, Toil and Trouble
  4. On a Clear Day You Can See the U.S. Dollar
  5. Auto Sector and Ad Spending

Comments

  1. kim says:

    Paul I wish you would stop perpetuating this myth.

    Have you heard about the Plaza Accord?
    http://en.wikipedia.org/wiki/Plaza_Accord

    The USA is basically doing that again. history is repeating itself. IT's technically good for us. Deal with it.

  2. jake giddes says:

    Wein is a little long in the tooth to be writing a silly article where he pretends to be talking
    to someone other than himself.

  3. Crocodile Chuck says:

    150 overseas military bases? He must have stopped counting after Europe. Try 850!