wgb52

If the Iraqi Parliament passed new laws there would be documented proof...where is it? Why is it a secret? How do we know it is true? It is simple ...PROVE it!

Skiguy, Don't worry your criticism was valid. You must remember that you cannot question anything on this site. When someone with more than 10 posts says something you have to accept it. " DinarVets strongly advises you to use common sense when reading the posts of some of these clowns." Read more: Yesterday the Iraqi govt to be was in absolute turmoil but apparently (according to Steve) passed new laws on Fil's and HCL's. He cannot document this because his sources are secret EVEN THOUGH THIS WAS A PARLIAMENTARY decision! Nobody in the whole world is privy to this info except Steve and a few others on this site! He says this is FACT so you should believe it! Ya right!! Prove it!!

I have done my homework...that is why I asked a simple question. There are no references anywhere other than heresay. Please feel free to correct me with the evidence if I am wrong.

Could someone tell me the source of this information? Thanks!

Was this just a rumor started on the other site or is there some factual basis?

Sorry but I think someone in LALA land!

Dahvina Love your lifes journey...food for thought...Thanks

What does this have to do with Iraq and Dinars?

Not funny!

$.10

I'm just hoping their will be a few Victoria Secret Models on the flight!

I've been trading currencies for almost 10 years and have always filed under capital gains rules. I see no reason why Dinar gains should be any different.

Guess I will never get it. I always felt that when the govt sells securities it reduces the money supply UNTIL it has to redeem them.

Sorry you are mistaken. I hold Dinar and I want a high RV, but your economics do not make sense. You cannot reduce the amount of money in circulation. You can take away the notes but the debt exists. It is just in a different form. Please remember that money is just a medium to exchange approximately equal values..you cannot make it disappear. Further, if reserves are limited it limits the value of your currency. You need enough to support your peg. Kuwait is NOT a similar situation as Iraq has a 1000 times more currency in circulation now than when the war began. It is also a more stable economy. Go RV but remember money does not grow on trees. $.10 would be incredible!

This is true but does not change the amount of IQD's. When you exchange Dinars for dollars you can certainly destroy the notes but the obligation remains for the dinar debt. The money supply is made up with more than paper currency. If you move money to foreign reserves (instead of paper notes) the amount of money remains unchanged.

You actually make a good argument for an RV @ 2 or 3 cents. Your assumption that the money supply is going to decrease when they remove the large bills is flawed. They are going to EXCHANGE big bills for small bills. I would be thrilled if the RV was more than $.10 but I see no way it would be possible to peg a greater exchange rate and still keep reserves in balance. Just my opinion, I think it will RV between $.01 and $.10 (which is still an incredible return!)

It is my understanding that there is more than a thousand times as much currency now as before the invasion.

For years now I have been claiming forex fluctuations as capital gains and losses. Why can't I treat Iraqi dinar the same way? I have used IRS form 6781 Gains and Losses from Section 1256.

Why would anybody be paying $2.73 now when you can still purchase a dinar for .001?

With all these huge numbers what currency are they going to use for change. If 50 dinar is the smallest denomination ( as they do not use the coins) at 3 dollar/dinar do you tell them to keep the change when you buy a loaf of bread $150 dollar? Are there smaller denominations coming?

How will the Iraqi people buy things if the RV is substantial? The smallest currency in circulation is 50 Dinar (apparently the Iraqi's do not like the coins). If the RV was 1 Dinar = 1 Dollar it would pose the question what would they use for change if you bought a loaf of bread? Is there any evidence that there is smaller units of currency ready to go? I apologize if this is a dumb question...but I am new to the Dinar dream. Thanks.