logical answer

[umbertino]

how about they lop 3 zeros and give .50 cents per dinar i.e. 250,000 becomes 250 then divide by .50 per = 50 bucks before tax

now that sounds more realistic. even 1 for 1 after lop would be as high as it goes, and it won't. so that gives ya $250 per 250 note

so on and so on down the stack

Maybe so but please let me state from the bottom of my heart ( and my Bank account)... FXXK THE LOP.

[butkus51]

Imgesting: You have the coolest beard and your insights are well thought out and expressed. I have noticed in general that there is a definite improvement in the logic put forth by posters in this site. A few months ago, I didn't find that to be true. Well, with me being rather new, I will probably bring down the curve a bit, but I know when to use (their; there; they're). I do agree with the orignal poster. One thing that has to be taken into consideration is that the Iraqi is a little more sophisticated than we give them credit for. They are a proud people and if the RV came in at $0.10, they would feel that they were insulted and the M - A - S would be on thin ice, and we know how thin the ice is in Iraq.

[hame55]

Sensible, logical, what Kuwait wants, what the dinar RV means to the US in tax revenue......what does any of this have to do with the rate of the dinar RV? NOTHING......ABSOLUTELY NOTHING.......the rate will be determined by the economics of the country in conjuction with its ability to financially support a paticular value based on the amount of dinar in the money supply including how much is in circulation....period.

Yoyu want to pick a rate....great, pick one based on some financial facts, not based on what makes sense to you......com'on already, get real.

Smee - I love your logic. You have to be mostly right - what Heavy mentioned was EGO (which is not completely irrelevant) So...two questions - if they are still auctioning off IQD that means more in circulation and lower RV rate? Secondly, could they RV even though they are auctioning? Some have posted they will not RV while auctions continue.

[30 at 50]

No no no......a rate less then one to one is the ONLY logical answer when you look at the facts......they CANT rv to anything near a dollar with the amount they have in circulation....its impossible.......this isent about getting US tax dollars to fill in holes....this is mainly about Iraq....we are just a side affect.....and no one is going to be yelling and screaming about the US setting Iraq back up either....the value of the dinar is not going to start an uproar of countries getting mad at the US because they start out low and gradually rise in value....thats usually how these things work....nothing out of the norm with that scenerio.....and who told you that Kuwait came to the UN and IMF and said they wanted Iraq to start out where their currency is?? Did the riddler get you hooked with that nonsense???

Well put Keep...I feel this is about a sound business plan...Maliki even said so last Feb. He said " the dinar has all the reasons to grow stronger "..

http://www.zawya.com/story.cfm/sidZAWYA20100301063801/PM:%20Iraqi%20dinar%20re-evaluation%20has%20to%20do%20with%20economic%20conditions

I think it will come out at somewhere between 1 cent and .10 cents on the USD this is 12 to a 100 times !!..that would be huge..and a great step toward further appreciation to who knows where..Hey I would be ticked pink at a 1 cent RV..that's a 100 bagger..this would give massive support to the people and gov.

[NotMyFirstBBQ]

No no no......a rate less then one to one is the ONLY logical answer when you look at the facts......they CANT rv to anything near a dollar with the amount they have in circulation....its impossible.......this isent about getting US tax dollars to fill in holes....this is mainly about Iraq....we are just a side affect.....and no one is going to be yelling and screaming about the US setting Iraq back up either....the value of the dinar is not going to start an uproar of countries getting mad at the US because they start out low and gradually rise in value....thats usually how these things work....nothing out of the norm with that scenerio.....and who told you that Kuwait came to the UN and IMF and said they wanted Iraq to start out where their currency is?? Did the riddler get you hooked with that nonsense???

So what you are saying is that a depleting natural resource, where some people have claimed that by 2050 we will have all but run out of, is not worth screaming and fighting over? That is it quite literally worth billions, if not closer to trillions of dollars per year is not worth screaming and fighting over? Not only that, but CURRENTLY the U.S. is the largest importer of oil in the world, has spent billions of dollars, freed the people of Iraq from a brutal dictator, is assisting the GOI, is assisting the Iraqi banking system, is keeping peace in the ME and you're telling me that the U.S. has absolutely no say in what will happen in Iraq? That the U.S. is a "side effect"? IMHO I disagree with you.

If you think the U.S. hasn't gone into countless other countries and negotiated terms in which favours them, and I will use NAFTA as an example, then my friend I think you may be a bit naive as to the pull the US has internationally.

Also, my understanding is that Iraq has not had "hyperinflation" there for at least 4-5 years now. Inflation is in the single digits, that being close to 3% since 2009 and only recently did it go up to 5%. This is NOT hyperinflation. Inflation in N. America is at 1.5%-3% per year, and Iraq is only 2% above that! I don't see how a LOP, other than having a massive amount of their currency abroad, helps. They brought out the larger demoninations to help battle hyperinflation, and that is why they are now bringing out the lower denoms (reportedly) because it is under control and it will add stability to the Dinar. So again, IMHO, I disagree.

[banned]

Point well taken, and there was a great post yesterday leading in the same direction, more specifically that the rate needs to be balanced..One thing that throws me though I think and I could be wrong but Saudi Arabia is at .27 to the US dollar...I could be wrong though....Anyway Heavy great point & I look forward to the reactions to this thread.

Bluejay. If RV was .27 cents. wouldnt you be happy with that ? that would be £270,000 per Mill Dinar. yes sure $1.00 would be great, but right now i would be happy with 10 cents, just to be out of this RV roller coaster