Hey Rock, What I believe, for what it's worth,
Say Iraq revalues at 1 to 1. I take my Dinars to the bank and they credit my account. The bank either decides to keep the Dinar and add it to their foreign currency portfolio (because they believe it will go higher) or it's turned over to our central bank, The Treasury/ Uncle Sam, who credits the banks account. Uncle Sam can either hold on to the Dinar so as not to cause Iraq to fail (The US has to much invested to want that) or we can use this newly revalued currency to by their oil. I see other countries doing the same. Iraq gets their currency back- We get their oil. As for the "30 million Iraqis in line ahead of me", Why? They are Iraqi, in Iraq, with their own money which is worth as much as our dollar. Why exchange it? And as for all our "credited" accounts. This country runs on credit and so does the world. When we give/ loan another country money, do you think they receive physical cash? Most people use their credit cards for goods, services, bill paying, etc. At the end of the month, usually with a linked bank account, we make a payment on that card. No physical cash changed hands, only on paper with the strokes on a keyboard. Even the bank account is usually replenished with a paycheck and not cash. Think about your own bank statement. Do you think that the money it says you have in your account is sitting in the bank's safe with your name on it? It's all on paper. Is this a simplistic view? Obviously. If time and space allowed, could I go more in to detail? You bet. But the point I'm trying to make is that in a world run on credit, recorded on paper or with the stroke on a keyboard, Iraq will not have to cover all of the Dinar floating around the world. Right, wrong or somewhere in between, this is my belief system that keeps me on this roller coaster. Not trying to change your thoughts jut expressing mine.