Wheeler

Really? You're bragging about a .34% increase? Did you cash in your dinar and retire yet?

The dinar wasn't artificially reduced in value. It was reduced by Saddam printing trillions of dinar. There's nothing artificial about that. When you increase the money supply by a thousand times, each dinar is going to be worth a thousand times less.

Because it isn't my opinion. Delete the three zeros = lop. Read it in plain english. 1000 dinar becomes 1 dinar. That isn't an opinion, it's a fact. Whether or not it will happen is still debatable, but the meaning of "delete the three zeros" is not.

That's not what it means. Gurus are the people that started the "news" that delete the three zeros means retiring notes. Delete/remove/raise/lift the three zeros means RD/lop. It isn't debatable.

http://www.cbi.iq/documents/Monetary_Aggregates_f.xls A redenomination is not going to make anyone any money.

In your post, you said what good is it if the value is still .00086. The value is no longer .00086 after an RD. it's .86. Did you not say that? Here's the problem. In this post, you were agreeing with someone that said it was still worthless even if it's worth .86. In the future if you don't actually agree with the post you're quoting, you might want to not quote it and say "that's how I see it." Funny how you think anyone that displays any concern for his fellow man is a saint. Maybe that says something about you? Lol, so people spend millions of dollars for philanthropic reasons, but want spend a few hours of their time? Why, pray tell, am I here then? Am I a CBI plant, trying to get you to sell your dinar? A Tampa dinar employee?

Not really any of your business, is it?

Redenominations aren't particularly complicated. Understanding the theory is actually quite simple. "Two different currency's, two different rates" has happened in every RD in history, of which there have been many dozens. As far as disaster, China did it, seems like their economy is doing pretty well.

I didn't say all, I said half. It's possible people could lose all their dinar investment (lop with closed borders, for example), but it isn't likely. So in our madoff analogy, if I am also being swindled by madoff, and tell you so, then I'm okay. But if I'm NOt being swindled by madoff, and tell you, then I'm being "irritatingly antagonistic" with "non-existent integrity"? I don't follow your logic. So, say before the whole madoff scam came to light, if an FBI agent that was involved in the investigation told his mother, who was being swindled, that she wasn't going to become a millionaire due to her madoff investment, he was being antagonistic? New dinar vs. old (current) dinar. Check the Wikipedia article about "redenomination" if you're not familiar with the process.

If a bunch of people you know had their money invested with Bernie madoff, and we're convinced they were going to become millionaires because of it, and you knew with 100% certainty that they were not going to become millionaires, and were probably going to end up losing half their money, would you say something? Would you try and help them, explain to them why they were being taken advantage of? Or would you just let them get lied to and swindled by Madoff, and laugh at them for being rubes? Why is it so hard for people to believe that there are people out there that fall into the former category, and that not everyone falls into the latter? 25 of the NEW dinar will be worth 21 dollars, so grandma will be able to buy plenty of bread and milk without a truck full of dinar. that is not the RV that everyone hopes for, it is an RD. In addition, they say they will release NEW 100 and 200 notes, so if grandma needs to buy a new flat screen or water heater, it will only take 3 or 4 bills. Not nearly a truck load.

How is a 200 dinar bill being worth 160 USD worthless? A 100 dinar bill worth 86 bucks worthless? If by worthless you mean "not going to make everyone rich" then that is correct. How could they afford to make so many millionaires? They have 30 million people and a GDP of around 120 billion a year. That's 4000 USD per person. With an economy like that how on earth could they afford to create so many millionaires?

See this thread, sanssouci? And people's responses to it?

Read it again. New 50 having the same value as 50,000 now means the new rate for the new dinar is .86. 50,000 x .00086 = 50 x .86.

Sure. Which of those countries are you expecting an RV of 10,000%? An RV to 10 cents is huge. It's an increase of well over 10,000% and would be hundreds or thousands of times bigger than the largest RV in history. Most aren't expecting a huge RV? EVERYONE is exPecting a huge RV. Youve just been conned into thinking a 10 cent RV is "modest".

What's pretty easy to understand is that Iraq isn't a very stable place. Bombings, government infighting, Maliki acting like a tyrant, the potential for civil war, the potential for the Kurds to break off and form their own country (and start their own currency), the potential for invasion from Iran, etc, etc, etc. If there was a big RV any Iraqi with half a brain would exchange all his dinar for some other commodity, whether it's USD or silver or renminbi or whatever. They'd rather have fifty cents than a 500 dinar bill right now, you think that they wouldn't also prefer 50 dollars, or 500 dollars, to that same 500 dinar bill? They'd be cashing out just as quick as you would.

"Saleh added that "the three categories consist of 200 dinars, which is equal to 200 thousand dinars at the present time and a 100 dinars, which is equal to 100 thousand dinars, and the category of 50 dinars, which is equal to 50 thousand dinars, in addition to the coin of the category of the dinar and Dinarin as well as half and quarter dinars and 100 fils and dirham " Looks like coins will be 1 dinar, half dinar (500 fils), 1/4 dinar (250 fils), and 100 fils (roughly equal to our dime). A dirham is 1/100th of a dinar, so 10 fils, equivalent to our penny. Only one I'm not sure on is what a dinarin is. Could be 1/20th of a dinar (50 fils), equivalent to a nickel. If its 50 fils it would make their coin denoms essentially identical to the ones we have here, they'd have their dollar, half dollar, quarter, dime, nickel, penny. Could also be 2 dinar or 5 dinar or something though.

The need for the auctions doesn't stop if the currency RVs. In fact the need increases, and the consequences for Iraqs reserves gets far worse. Right now there are 250 billion worth of dinar getting cashed in for 250 million USD per day. Imagine what the consequences would be if there were 250 billion worth of dinar getting cashed in for 250 billion USD. Iraqs reserves would be gone in a couple hours.

It's extremely unlikely something like this would ever happen with the dinar. Which isn't to say there aren't situations with the dinar that could totally hose investors (in country only exchange, for example), but those situations are very unlikely also.

He's talking about the number of bills/notes in circulation. Every new 50 they print will replace 2x25,000 bills, every 100 will replace 4x25,000, and every 200 will replace 8x25,000 (or 20x10,000, or 40x5,000, etc). So the total number of bills in circulation will be reduced by a significant amount.

A lop isn't a magic fix all, but it absolutely does help restore their confidence in their currency because it removed the effects of past hyperinflation. Think about it, every time an Iraqi looks at their currency they are reminded of Saddam printing trillions of dinar and screwing the entire country. A big RV would DESTROY the confidence in their currency. NO Iraqi would want to hold onto a single dinar if the government one day just decided they're now worth a dollar each. Think about it. Say you work for me, and I pay you in jelly beans. I pay you 11,700 jelly beans per day. Now, you don't trust the jelly beans. You don't trust that they're worth as much as I say they are, you're worried that one day your local grocer won't accept jelly beans, or that one day he'll tell you that your morning Starbucks isn't 1000 jelly beans anymore, it's 5,000 jellybeans. And you don't want that, so you go to the bank and exchange your jellybeans for USD, at 1170 to one, because you'd rather have 10 USD than 11,700 jellybeans. Now think what would happen if, one day, I told you the jellybean (the one that you don't even trust to be worth 1/1170th of a USD) was now worth 1000 times as much as it used to be, so now I'm only going to pay you 11.7 jellybeans instead of 11,700. You didn't trust the jellybean to be worth 1/1170th of a dollar, but you ARE going to trust to be worth the same as a dollar? NO WAY. you're going to get rid of every jellybean you get as soon as you get it. You might even refuse to be paid in jellybeans at all. Exact same situation as the dinar. They don't trust it to be worth .00086, they're sure not going to trust that it will hold its value at .86 or 1 to 1. If there was a big RV Iraqis would be cashing in their dinar even quicker than Americans. Every Iraqi with any dinar at all would be cashing them in and hoarding the USD they get.

They don't run the auctions for fun, they do it to maintain the exchange rate. Since the US departed less people trust the currency, so they go to the local bank and trade their dinar for USD. Their local bank goes to the CBI currency auctions to replenish their supply of USD. If the CBI refused to buy back the 250 billion dinar that's running though the auctions lately, the exchange rate would be getting worse. Whether they lop or don't lop they still have to maIntain the exchange rate, hence the auctions.

Are you new to the dinar world? 90% of people interpret all three zero articles as proof of an RV, including numerous people in this very thread. If you making arguments so devoid of logic that they would make Okie blush = worked rather well, then I agree.

No one is saying you are. We're saying your fathers friend is.

When someone that just invested or is thinking of investing comes here, should they see both sides of the discussion, or should they ONLY see "GO RV GO STRONG OUR BLESSING COMES SOON"? And lopsters aren't pissing in your cornflakes. Someone else did. We're just pointing it out to you.

Then I'll tell you! None of them, because it has never happened, because it's impossible.