Why you wont see a 3 dollar RV.....

[DinarChiTown]

Good posts Keepm and CTS! Both valid arguements of which either or both could be possible.

We all need to take a deep breath and relax a little and consider the idea of not making millions on this investment! If there is that much currency floating around in Iraq, its not justifiably possible to see a 1-1+ RV, but I have no idea if there is that much in Iraq itself. I imagine the other countries around world have their "fair share" of Dinar like the US apparently does. I am GUESSING that half the available currency is probably outside Iraq at this point. Consider those of us here in the US who have bought Dinar, roughly 1200 buys 1 million, similar exchange throughout the world. Relatively affordable for most people. I would suggest that a lot of people around the world have tossed a few bucks at this oppurtunity. Then throw in the governments who have more than likely acquired a substantial amount of Dinar. Could it concievably amount to 1/2 the available Dinar since we have no option of depositing it into a bank? I think it could,

I am praying for .10 and dreaming about anything above that!

It seems the whole world can buy Dinar, and it appears they are. This whole Pres. order 1303, or whatever it is, does not pertain to the Dinar. Because I have seen people post from ALL over the world asking about how they can cash in their Dinar. This is no secret.

[Bull Dog]

NO ONE KNOWS POINT BLANK PERIOD!!!!!!!!!!!!!!!!!!!!!

[keepmwlknfny]

Keep, good thread.

Do you know or can find out the total amount of currency in circulation for Kuwait and Saudi Arabia?

That, together with their GDP, population, exchange rate, debt, should give us a more concrete data to be able to compare it with Iraq's...

Kuwait - GDP is 135 billion USD, population is over 3 million, exchange rate is I believe close to 4 dollars

Saudi Arabia- GDP is 438 billion USD, population is over 27 million and the exchange rate is around 27 cents

Iraq- GDP is 65 billion USD, population is over 31 million and of course the exchange rate is 1170

[DinarChiTown]

NO ONE KNOWS POINT BLANK PERIOD!!!!!!!!!!!!!!!!!!!!!

You're right BullDog but one can apply some common sense to the issue. And that common sense does not point to what everyone hopes will happen. The answer for myself, stash it in my safe deposit box and hope it's the answer to my retirement. I'm only 37, so my hopes are high!

[portocuban]

all good opinons, but no one knows exactly whats going on in iraq, good theory backed my economic knowledge, but none of use are inside the cbi working with those people. we dont know the numbers. we dont know the potential. its pointless to try and say what can and can't be. its fun and it passes by the days as we wait but nobodys opinion is better than another. saying it wont be up there to 3 dollars all the time is just as good an opinion as saying everyday there will be a rv from 3-5 dollars lol..my 2 cents, is that we are going into 2012 with our investment because from my economic knowledge iraq needs more growth both in the public and private sector before we see something awesome.

[Ore]

Also Keep,

Keep in mind that, if the total amount of IQD in circulation was in fact 27 Trillion, its only because all that currency circulated are mainly larger notes (ei. 5,000/10,000/25,000), unlike similar nations such as Kuwait and Saudi Arabia whose currency only goes up to 500 saudi riyals (w/ 0.27 usd exchange rate) or 20 Kuwait Dinars (w/ 3.60 usd exchange rate).

If Iraq's circulate currency was in low denominations and had similar purchasing power such as Kuwait and Saudi Arabia, and not is 1,0000-25,000 notes, then Iraq's total circulated currency would not really be 27 trillion, but actually 27 billion, which does not seem as much. Im comparing Kuwait and Saudi Arabia, mainly because, they are oil rich countries like Iraq, and will likely have a similar GDP.... Thoughts?

[youliveonce]

Great post.This was my concern before I invested. I don't see it going over 10-20 cents and I don't see this happening this year.

[0331]

KEEP, THANK YOU FOR BRINGING AWARENESS TO PEOPLE AND SAYING THIS IN A WAY PEOPLE COULD UNDRSTAND!!

I brought this up a few weeks ago, and got -25 for it and spent two days trying to explain hyperinflation.

My dreams were crushed when I realized this was a likely possibility, but I realized we still have a chance of making 200%-300%. That’s an amazing return!!

I understand hyperinflation is difficult to understand, and many people will not believe what you are saying because they believe there is no hyperinflation in Iraq.

They are right in a way. Inflation is currently under control at ~5% or so. That’s great, but in years past Iraq has seen amazing levels of hyperinflation. This is why they have 27 trillion in circulation. When the currency was worth $3.00USD there was only 27 BILLION in circulation.

Again thank you. People deserve to understand.

Below is a copy of a previous post. I hope it saves you the time of arguing this point. If I am wrong please let me know

“Hyperinflation [is a term used] to describe episodes when the monthly inflation rate is greater than 50 percent. At a monthly rate of 50 percent, an item that cost $1 on January 1 would cost $130 on January 1 of the following year.” (http://www.econlib.org/library/Enc/Hyperinflation.html).

from 1990 – 2002 the Iraq Dinar decreased in value from 1 IQD/$3.20 USD to 2000 IQD/$1.00 USD. ( http://www.globalsec...ency-reform.htm )

Hyperinflation is defined when the cost of goods INTERNALLY increase markedly. And when a country excessively increases its money supply.

Durring Saddam’s regime and following war and UN embargos, the currency lost its value. 1 Dinar that was once worth > $3.00 was now worth less than a cent. What 1 IQD used to buy now cost thousands of Dinar because the currency was devalued.

In 2003 the New Iraqi Dinar was introduced, but due to the devaluation of the Dinar they were forced to print TRILLIONS of Dinars. This is an increase in the money supply.

The Dinar has remained at a hyper-inflated state ever since. THE CURRENT RATE OF INFLATION HAS BEEN STABALIZED, BUT THE CURRENCY REMAINS HYPERINFLATED.

There used to be BILLIONS of Dinar in Iraq. There are now TRILLIONS. This is because the cost of goods have skyrocketed. What used to cost 25 Dinar now cost 25,000 Dinar. That is hyperinflation.

http://www.noticias....1028_38026.shtm

One year ago this week the Iraqi people, working with the United States and our coalition partners, embarked on a difficult economic mission: to replace completely Iraq's deteriorating and easily counterfeited currency and to restore economic and financial stability to their ravaged economy. After years of hyper-inflation and falling incomes under Saddam's regime, everyone knew this was an essential reconstruction task. But many doubted that a nation-wide currency exchange could be accomplished -- What if the Iraqis didn't accept a new currency? How would the new currency be distributed to millions of people in hundreds of cities and towns? What if terrorists sabotaged the distribution?

Now, one year later, a new currency is circulating throughout Iraq and the Iraqi currency exchange is hailed as a success. The exchange rate is steady, price stability has been restored, and economic growth this year is 50 percent, one of the highest rates in the world. The new Iraqi dinar is a sturdy and secure

http://www.econlib.o...rinflation.html

“hyperinflation” to describe episodes when the monthly inflation rate is greater than 50 percent. At a monthly rate of 50 percent, an item that cost $1 on January 1 would cost $130 on January 1 of the following year.

What causes hyperinflations? No single shock, no matter how severe, can explain sustained, continuously rapid growth in prices. The world wars themselves did not cause the hyperinflations in Germany and Hungary. The destruction of resources during the wars can explain why prices in Germany and Hungary would be higher after the wars than before. But the wars themselves cannot explain why prices would continuously rise at rapid rates during hyperinflation periods.

Hyperinflations are caused by extremely rapid growth in the SUPPLY of “paper” money. They occur when the monetary and fiscal authorities of a nation regularly issue large quantities of money to pay for a large stream of government expenditures. In effect, inflation is a form of TAXATION in which the government gains at the expense of those who hold money while its value is declining. Hyperinflations are very large taxation schemes.

http://www.globalsec...ency-reform.htm

officially introduced at the end of the British mandate (1932), the dinar [consisting of 1,000 fils or 20 dirhams] was equal to, and was linked to, the British pound sterling, which at that time was equal to US$4.86. Iraqi dinar (ID) equaled US$4.86 between 1932 and 1949 and after devaluation in 1949, equaled US$2.80 between 1949 and 1971. Iraq officially uncoupled the dinar from the pound sterling as a gesture of independence in 1959, but the dinar remained at parity with the pound until the British unit of currency was again devalued in 1967.

One Iraqi dinar remained equal to US$2.80 until December 1971, when major realignments of world currencies began. Upon the devaluation of the United States dollar in 1973, the Iraqi dinar appreciated to US$3.39. It remained at this level until the outbreak of the Iran-Iraq War in 1980. In 1982 Iraq devalued the dinar by 5 percent, to a value equal to US$3.22, and sustained this official exchange rate without additional devaluation despite mounting debt. In early 1988, the official dinar-dollar exchange rate was still ID1 to US$3.22; however, with estimates of the nation's inflation rate ranging from 25 percent to 50 percent per year in 1985 and 1986, the dinar's real transaction value, or black market exchange rate, was far lower-- only about half the 1986 official rate.

The Iraqi dinar was worth $US3.20 before the United Nations embargo that followed Iraq's 1990 invasion of Kuwait. By August 2002 it was trading at just below 2000 to the US dollar, and by mid-April 2003 it had slipped to anywhere between 3500 and 4000 against the dollar. In July 2003 one US dollar equaled about 1,500 Iraqi dinars. Nearly all the bank notes issued after the 1991 Gulf War were without watermark or metal line due to technical difficulties, which is why so many forgeries took place.

In April 2003, following the end of major combat operations, the Iraqi economy was in distress because of closure of oil sales, imposition of UN sanctions. At that time, United States officials said that a new currency was needed, to introduce some stability. Without a proper currency in circulation there was a fear of inflation. The US decided to distribute $20 bills to the civil servants to boost the economy. This was not an issue of "dollarizing" the economy, but to get money that had real value into people's hands.

Read more:

[DinarChiTown]

Also Keep,

Keep in mind that, if the total amount of IQD in circulation was in fact 27 Trillion, its only because all that currency circulated are mainly larger notes (ei. 5,000/10,000/25,000), unlike similar nations such as Kuwait and Saudi Arabia whose currency only goes up to 500 saudi riyals (w/ 0.27 usd exchange rate) or 20 Kuwait Dinars (w/ 3.60 usd exchange rate).

If Iraq's circulate currency was in low denominations such as Kuwait and Saudi Arabia, and not is 1,0000-25,000 notes, then Iraq's total circulated currency would not really be 27 trillion, but actually 27 billion, which does not seem as much. Im comparing Kuwait and Saudi Arabia, mainly because, they are oil rich countries like Iraq, and will likely have a similar GDP.... Thoughts?

Ore,

That's the whole point, the large denominations are in circulation, totaling 27 Trillion. If they want their currency to equal 27 Billion, they have to LOP.

[beaver]

All i can say is everyone is entitled to their opinion. Not saying he is right or wrong, however nobody really knows what they can and can't do but them. Time will tell and i'm sure no matter what the rate is, we will be thankfull.

Very well Said, this is where i stand as well...

[MovieMaker]

Thank you, as always.

[tampa1000]

Man of little faith should not be in this investment, I'll take your Dinars and RV them for you!!!

[0331]

Keep , I do have a question for you.

The average life span of a dollar bill is 18-24mo.

It was printed years ago and some of it was lower denoms.

Do you think these two factors could put us in the ball park?

If its been 7yrs since it was printed then >2/3 would be destroyed and some must still be lower denoms.

[youliveonce]

The smelling salts are under our noses.It was time for a wake up call and reality check. The RV gurus are full of cow poop.

[Teresa82]

Excellent post KEEP, and I am very sorry to say folks everything he is saying is very practical and very probable.The rv will probably NOT be over a dollar.....which is still a great gain.All of the research I have done has pointed to this, but I am not as into getting raked over the coals for speaking the truth as KEEP is.

KEEP- I respect your tenacity!!!!! Thanks for bringing us back to the ground with all of this! I took one of your minuses away :D

go ahead with the minuses my reputation is pretty much fried now anyways :lol:

[keepmwlknfny]

all good opinons, but no one knows exactly whats going on in iraq, good theory backed my economic knowledge, but none of use are inside the cbi working with those people. we dont know the numbers. we dont know the potential. its pointless to try and say what can and can't be. its fun and it passes by the days as we wait but nobodys opinion is better than another. saying it wont be up there to 3 dollars all the time is just as good an opinion as saying everyday there will be a rv from 3-5 dollars lol..my 2 cents, is that we are going into 2012 with our investment because from my economic knowledge iraq needs more growth both in the public and private sector before we see something awesome.

We do know the numbers....Im not getting this 27 trillion from thin air.....look it up and you will find it.....they have been posting these numbers for years......I know its tough facing the music....I was reluctant to open my eyes fully because I really did want this to happen and solve all my problems by me making millions......but after doing more homework you will realize the reality of the situation

Man of little faith should not be in this investment, I'll take your Dinars and RV them for you!!!

Im sorry, did I say it wasent going to RV?? Didnt think so....save that comment for someone who is bashing the dinar....not pointing out facts....

[Brudog]

Keep. Keep it going you have awakened the beasts. Lmao!

[Drunken Irish]

Man of little faith should not be in this investment, I'll take your Dinars and RV them for you!!!

TYPICAL.....

Faith has nothing to do with the rate of the RV

[keepmwlknfny]

Keep , I do have a question for you.

The average life span of a dollar bill is 18-24mo.

It was printed years ago and some of it was lower denoms.

Do you think these two factors could put us in the ball park?

If its been 7yrs since it was printed then >2/3 would be destroyed and some must still be lower denoms.

Well they are more then likely printing more to keep them in circulation when ones are turned in and damaged just like we do here in the states....and the numbers Im goin off of are from the end of 2009.....6 years later and they are posting 27 trillion dinar in circulation......and I know what ur sayin about the lower denoms.....I wish I could find more proof but there is only one document ever talking about 14 denoms being printed back on 2006 but even those dont count towards physical in circulation....maybe total M2 money supply....but not the amount in circulation.....

Excellent post KEEP, and I am very sorry to say folks everything he is saying is very practical and very probable.The rv will probably NOT be over a dollar.....which is still a great gain.All of the research I have done has pointed to this, but I am not as into getting raked over the coals for speaking the truth as KEEP is.

KEEP- I respect your tenacity!!!!! Thanks for bringing us back to the ground with all of this! I took one of your minuses away :D

go ahead with the minuses my reputation is pretty much fried now anyways :lol:

Love ya!!!

[RyanMac]

welllll lets say that the 40% of the population is in fact children. that leaves 18.6 million people holding your 27trillion dinar? or if we want to use the numbers of 31 million people, that leaves, with math only, each person holding around 870,000 dinar. clearly its not broken down where every single person has exactly the same amount of money, but you get my drift.

what does the avg person make per week there? how much does it cost to feed a family over there for just one day? are the prices on the shelf of a store in iqd and usd? in theory, if they get paid 117000 dinar per week, 100 usd, does that even feed the family and pay bills? who knows if they get paid cash or in a check even? we know little to nothing, and lets leave it at that.

[0331]

Well they are more then likely printing more to keep them in circulation when ones are turned in and damaged just like we do here in the states....and the numbers Im goin off of are from the end of 2009.....6 years later and they are posting 27 trillion dinar in circulation......and I know what ur sayin about the lower denoms.....I wish I could find more proof but there is only one document ever talking about 14 denoms being printed back on 2006 but even those dont count towards physical in circulation....maybe total M2 money supply....but not the amount in circulation.....

Love ya!!!

I wasn't sure if they printed everything at one time and just released it over time or if they were still printing

I'd like to hear what the newest dated bill any one has is???

Edited March 16, 2011 by 331

[Dinarius Rucker]

We do know the numbers....Im not getting this 27 trillion from thin air.....look it up and you will find it.....they have been posting these numbers for years......I know its tough facing the music....I was reluctant to open my eyes fully because I really did want this to happen and solve all my problems by me making millions......but after doing more homework you will realize the reality of the situation

Im sorry, did I say it wasent going to RV?? Didnt think so....save that comment for someone who is bashing the dinar....not pointing out facts....

Just thinking out loud....

Many post about all the "smoke and mirrors" used by the Iraqi government.

What's the chance that the 27 trillion is a number they just threw out there to block

speculators from getting a clear picture of what is going on with an RV?

[RyanMac]

sry for the second post, but couldnt edit

and its really no skin off my butt if someone with internet muscles wants to try to make me or anyone else feel stupid, ill sleep fine all the same. until we actually do see some sort of rv, of course, in which case ill be sleeping a lot better.

[Teresa82]

Well they are more then likely printing more to keep them in circulation when ones are turned in and damaged just like we do here in the states....and the numbers Im goin off of are from the end of 2009.....6 years later and they are posting 27 trillion dinar in circulation......and I know what ur sayin about the lower denoms.....I wish I could find more proof but there is only one document ever talking about 14 denoms being printed back on 2006 but even those dont count towards physical in circulation....maybe total M2 money supply....but not the amount in circulation.....

Love ya!!!

[easyrider]

Just thinking out loud....

Many post about all the "smoke and mirrors" used by the Iraqi government.

What's the chance that the 27 trillion is a number they just threw out there to block

speculators from getting a clear picture of what is going on with an RV?

its probable. The only thing that concerns me is I have seen more than one article pertaining to the 27 trillion so who knows lets all hope fpr the best but i am most def. out of the 3+ ball park range i still believe a dollar can come in and thats the highest it will go imho.