Fi3ry_Ph03n1x

My good man: When it says "42,681" in billions of IQD, you have to multiply it to know how many billions it is. In this case, it's around 43 thousand billion, or 43 trillion. The "1" at the end represents 1 billion, so 681 is 681 billion, etc. ........... 42,681 X 1,000,000,000 --------------------------- = 42,681,000,000,000 = 42.681 Trillion IQD Can I get a witness on this? FP

When you start you pay $1,000. So now that is a negative amount because you no longer have it. When you get a total of $3,200 back, you have to pay yourself back the $1,000 that you are in the negative for, and whatever remains is your profit.

I found three. "Isnt" should have an apostrophe, "any more" should be two words in your sentence, and a question should end with a question mark! I'm just messing with you pep007. All of us make little mistakes like that in our posts, and I don't really care about these little details. After all, we aren't writing college theses here. I think that Pacster made some good points and, if he forgot to subtract the initial investment from his profit calculation, then so what? It doesn't hurt to point it out, but that wasn't the main point of the post. The main point that I got from it, is that Iraq is not positioned to support an RV with trillions in the money supply, but that we could see a $3.20:1 RV in a redenominated currency based on their reserves. That seems like a much more important point to discuss than spending our time worrying about math errors. Do you think that he has made any errors in the data he mined from the CBI website or see any significant inaccuracies in the way he presented it? I would be far more interested in that discussion, personally. FP

This is definitely the question of the hour. Possum on attire, congeneality, and dress codes will be most informative! Thank you for boiling it down to the crux of the matter, TJ. By the way, still my favorite avatar on the entire site! FP

Haha! Yeah, I guess I am pretty opinionated. But at least I'm not telling people that they will be sued for posting their opinions on a website. I was kinda wondering about Pacster too. I haven't seen him much on here before. FP

This is one of the most ridiculous posts I've ever heard. It even says right here in the chat room that information provided on this website is for entertainment only. No one here that I have seen is claiming to be a financial advisor and is certainly not being paid by you for financial advice. You take whatever advice you want, but any lawyer who hears a tale of woe because some guy on a website forum told you that your dinar was worthless and you want to sue him for it will laugh you out of his office unless you pay a big retainer. In that case, he may take a ridiculous, frivolous law suit just to get some more money from a sucker. You'll lose the case because no one here is your financial advisor and you ultimately have to make up your own mind. Besides, I like most people think that in the worst case the dinar will go up modestly in value and have always promoted holding on to your dinar. Good luck finding someone who said that you should sell it, and you'll need a miracle with this lawsuit idea that must have been thought up somewhere inside of a donkey's backside. FP

Thor, he isn't saying that you make $3.20 for every dinar you own... but $3.20 for every dollar that you initially invested. If you paid $1,000, you come out with $3,200 in his scenario. A great ROI, even if we don't get the millions we hope for. FP

Dude, did you even read his post? He said that he is expecting to get a 300% return on investment (ROI). Why on God's green earth would he want to sell it to you and give up all of his profit? FP

Armond, he got it right. It is 42,681 billion from cell BX42. In other words, 42,681 x 1 billion is 42.681 trillion. FP

Boonduck, did you ever watch the Money Masters video? It may be fifteen years old, but I didn't enjoy it for the quality of the documentary, but rather for the great insights into European and American financial history. I'd like to hear your thoughts about it too, if you've had a chance to watch it. FP

Hi bstephie123, and thanks very much for your nice words and your question. My 'big picture' about why they would choose to print so much money is actually addressed in another post of this thread. #45 on page 5 if you haven't seen it yet. As for more specifically why there is so much of it (43 trillion compared to the USD around 8.5 trillion), I think it is the IMF's intention to keep the purchase power of the IQD very low until such time as Iraq proves that they are going to play according to the IMF's rules and be compliant with international financial trading standards as well as UN sanctions, human rights, and a basket of other ways that Iraq can prove to be a good neighbor on the macro scale. I didn't even mention nuclear and other weapon/warfare compliance and oversight, etc. When the IMF is ready, I think they will allow the CBI to revalue its currency back near the 1 USD range. We can only hope that they don't redenominate the currency then as well. Hope this answers your question from my perspective, and thanks again for your post. By the way, I do my best never to discard an idea or question from anyone who is genuinely seeking to know more as opposed to, well, most of the posts I come across around here. You obviously intend to understand more about this investment and are open-minded. I very much respect that. Thanks much, FP

Well, not everyone agrees with the idea that the large denomination notes are the only bills that will be removed from the currency. But even if that were true, the notes being removed wouldn't have anything significant to do with the managed float. With the float, if the value starts to fall, the CBI compensates for it by buying up more currency to stabilize it. If it rises, they sell instead to tamp down any growth in the value of the currency. So any changes in the total money supply could be managed by buying or selling more of the currency. I'm sure there are other ways that central banks control the exchange rate too. This is just my understanding of what the CBI is doing with a managed float. So to answer your question: There can be negative impacts from movement in the USD, or changes in the IQD money supply, but the purpose of the managed float is to counteract those external forces and keep the exchange rate stable. So far, the CBI has done a stellar job of maintaining the ER against all other contributing factors. How this will affect the IQD in the future, only time will tell that. FP

Taxguy, thanks for your insights. In the USA, Ben Bernanke couldn't get away with intentionally misleading people by saying one thing with the intention of doing exactly the opposite. As you know, I didn't delve into any hypotheticals about why Shabibi would make this statement as it petains to Maliki's suspected goals and plans. It is not outside the realm of reason and possibility that Shabibi is intentionally misleading us with plans to do something entirely different. I'm not saying that this statement completely contradicts the possiblity of an RV/RI, but if that is the intention, this statement is certainly misleading. So essentially you are stating in an informed and intelligent way what others have said, that this is a smoke screen (by the way, why is all 'good news' taken as gospel by some, but every piece of 'bad news' is either being misinterpreted or a smoke screen? Some people need to take the blinders off and be open-minded about all info, IMO). All in all, a good post, sir, and I thank you for your thoughtful contributions to the discussion. FP

Ben Bernanke makes statements like this about the Fed and the USD/economy all the time. Every word he says has the capacity to have huge effects on Wall St. and our economy. I think that these kind of statements are not only normal, but necessary to show that the CBI is effectively managing the Iraqi economy. FP

Aww, puffs! I thought we were friends! And now you're calling me names? That's not nice. Besides, Henny Penny went around making doomsday predictions. In my post, I didn't predict anything, I only accurately interpreted a news article. When Enorrste does this, there are pages and pages of hymns, anthems, and "Hail to the Chief"s lauding his accomplishment. Gotta play fair if you're going to be a chat moderator. And for those of you who made note, I agree: "Horrible" was an exaggeration. This news is pretty much the opposite of what we want, but it isn't horrible. For those who noted that this has been going on, I never said anything about what they have been doing. I only interpreted their stated intentions. It was a gross misinterpretation of the article that caused me to bring it up at all. FP

I'm not sure about your numbers, mayo007 (I found that they actually had $43 trillion off of the CBI website), but I gave my opinion of this in a thread in the Dinar Rumors forum called, "For New 'Dinarians". Computer problems right now, so I can't link to it, but it is on the first page at the moment. FP

If you click on the blue arrow in the quote at the beginning of this thread, it should take you straight to the original article. let me know if it doesn't work and I'll get a direct link. It's pretty new in this Iraq & Dinar Related News forum, though... FP

timsters, I do think that Iraq wants their currency valued closer to the USD. But I am not yet convinced that they can afford to RV it. I think they will move the Dinar up to 'international levels' by redenominating at some point. Then, in your example, "a brick would cost 1 IQD", but you wouldn't have enough money in the world to buy 45 trillion bricks. That's a lot of bricks, and I don't think that Iraq can cover the cost of all of them. JMO FP

High Hopes, Barbann is right. This article has already been discussed at length. How effectively it has been refuted, though, is up to the opinion of each reader. Obviously many people here don't give it much credit. I think that we have good reason to believe that a redenomination will occur. Go back through some of the old posts in the forum. There is a lot of good discussion on the subject already. There is a thread in the rumor section entitled, "For New Dinarians..." answering common questions. It's not a well-liked point of view, but that is only because I take articles like the one you pointed out seriously. As I said, though, each of us have to make up our own minds. FP

1170 IQD buys $1 USD, bobstick. FP

That's a joke, right? Wikipedia is basically the largest encyclopedia ever made. Credibility, dropping, but so that you don't question me or Wikipedia, here are a few other links that explain managed floats as well: http://library.thinkquest.org/19552/managed.htm http://financial-dictionary.thefreedictionary.com/Managed+Float http://ideas.repec.org/p/cpr/ceprdp/3064.html If a "library" and "finiancial dictionary" are also questionable sources in your estimation, I don't know what else I can do. FP

Is it change we can believe in?

How will they collect all of the big notes without changing the rate? In your scenario, won't they need those large notes in circulation since the rate is so low? How will they pay for things in cash if they only have small bills until the end of the year? FP