Show me the money!

[joeorder]

Please, someone help me with the math on this thing. Here's what I understand:

(I got the GDP/debt numbers from the CBI here: http://www.cbi.iq/index.php?pid=GovernmentSecurities)

The Iraqi GDP is 82 Billion

The Iraqi debt is 92 Billion

They have approximately 30 Trillion dinars in circulation

So, if Iraq RV's at, let's say $1... where do they get the 30 trillion to pay for it?

The goal of this post is not to quibble about up-to-the-date numbers (e.g. No, their GDP is really 120Billion, etc)

The goal is to understand how an RV of the existing currency is financed.

Thank you!

[Buckeye Pilot]

Please, someone help me with the math on this thing. Here's what I understand:

(I got the GDP/debt numbers from the CBI here: http://www.cbi.iq/in...mentSecurities)

The Iraqi GDP is 82 Billion

The Iraqi debt is 92 Billion

They have approximately 30 Trillion dinars in circulation

So, if Iraq RV's at, let's say $1... where do they get the 30 trillion to pay for it?

The goal of this post is not to quibble about up-to-the-date numbers (e.g. No, their GDP is really 120Billion, etc)

The goal is to understand how an RV of the existing currency is financed.

Thank you!

Are you really that dumb with less than 5 posts ask a question thats been answered............OH nevermind. Read!

[keepmwlknfny]

Please, someone help me with the math on this thing. Here's what I understand:

(I got the GDP/debt numbers from the CBI here: http://www.cbi.iq/in...mentSecurities)

The Iraqi GDP is 82 Billion

The Iraqi debt is 92 Billion

They have approximately 30 Trillion dinars in circulation

So, if Iraq RV's at, let's say $1... where do they get the 30 trillion to pay for it?

The goal of this post is not to quibble about up-to-the-date numbers (e.g. No, their GDP is really 120Billion, etc)

The goal is to understand how an RV of the existing currency is financed.

Thank you!

They wouldnt be able to back the currency if it RVd at one dollar......they currently practice the islamic law of banking where everything is backed up 100%......

[Candinar]

Are you really that dumb with less than 5 posts ask a question thats been answered............OH nevermind. Read!

I actually do some research before I invest into anything. Common sense can be a friend.

[joeorder]

I understand they have 40 Billion US in reserves. Let me say this is 30 for easy math against the 30 trillion.

So, their 30 billion dollars backs the 30 trillion dinars, hence the value of 1000 dinars per dollar.

So, let's say they RV'd at 100 dinars per dollar. They would need $300 billion to back this, right?

So, is it true they would have to borrow 270 billion to do that?

If all this is true, who would be loaning them that money?

And, what would be Iraq's reasons to borrow that much for this purpose?

[keepmwlknfny]

I understand they have 40 Billion US in reserves. Let me say this is 30 for easy math against the 30 trillion.

So, their 30 billion dollars backs the 30 trillion dinars, hence the value of 1000 dinars per dollar.

So, let's say they RV'd at 100 dinars per dollar. They would need $300 billion to back this, right?

So, is it true they would have to borrow 270 billion to do that?

If all this is true, who would be loaning them that money?

And, what would be Iraq's reasons to borrow that much for this purpose?

Yep....they would need larger reserves to back their currency....or reduce the money supply....one or the other.....thats why this is a speculative investment....we dont know whats going to happen but I think we can agree that the value will go up, we just dont know how they plan on doing it....

[matlok12]

Are you really that dumb with less than 5 posts ask a question thats been answered............OH nevermind. Read!

your response is just as dumb genius

[LaGrange]

They wouldnt be able to back the currency if it RVd at one dollar......they currently practice the islamic law of banking where everything is backed up 100%......

I thought only 2 state banks practiced Islamic Banking. Where do you get this info??

[keepmwlknfny]

I thought only 2 state banks practiced Islamic Banking. Where do you get this info??

Yea the two biggest ones!! I would say pretty much a majority.....Rasheed and Radifiafifaiaifia However you spell it hahaha.....but even the CBI......they have what 50 billion USD in reserves?? That pretty much backs up the entire money supply of 58 trillion some....I believe that is damn close to the exact numbers for M2....please correct me if Im wrong....its been a long day....

[eddie21]

ok it like this .

your 10.00 buy 10000.00iqd right

let say it a 1to1 cash in

you would get 10000.00 usd

pay bank 200.00 for cash in so u have 9800.00

after you pay taxes you will have 6000.00

the bank will sell to us gov

how the us gov get a higher buy back at 1.25

so they will get 12500.00

they take that and buy oil at a much lower rate.

let say 50.00 so they order 250 bit cost 12500.

no the gov sells for let say 75.00 per b

75x250 they make 18750.00

know how does iraq bay for this right

oil to iraq is free it will cost them

about .67 cent that right so 167.50 is what it would cost

so 10.00 made you 9800.00-taxes =6000.00

the banks made 200.00 +

the us gov made 18750.00+3800.00=22550.00-6000.00=16550.00

it cost iraq 167.50

[keepmwlknfny]

ok it like this .

your 10.00 buy 10000.00iqd right

let say it a 1to1 cash in

you would get 10000.00 usd

pay bank 200.00 for cash in so u have 9800.00

after you pay taxes you will have 6000.00

the bank will sell to us gov

how the us gov get a higher buy back at 1.25

so they will get 12500.00

they take that and buy oil at a much lower rate.

let say 50.00 so they order 250 bit cost 12500.

no the gov sells for let say 75.00 per b

75x250 they make 18750.00

know how does iraq bay for this right

oil to iraq is free it will cost them

about .67 cent that right so 167.50 is what it would cost

so 10.00 made you 9800.00-taxes =6000.00

the banks made 200.00 +

the us gov made 18750.00+3800.00=22550.00-6000.00=16550.00

it cost iraq 167.50

The US will not be buying oil from Iraq with dinar that we cash in.....the economists view of a cash in that you are stating from, has had many holes shot through it....wont work out that way

[Nani?]

ok it like this .

your 10.00 buy 10000.00iqd right

let say it a 1to1 cash in

you would get 10000.00 usd

pay bank 200.00 for cash in so u have 9800.00

after you pay taxes you will have 6000.00

the bank will sell to us gov

how the us gov get a higher buy back at 1.25

so they will get 12500.00

they take that and buy oil at a much lower rate.

let say 50.00 so they order 250 bit cost 12500.

no the gov sells for let say 75.00 per b

75x250 they make 18750.00

know how does iraq bay for this right

oil to iraq is free it will cost them

about .67 cent that right so 167.50 is what it would cost

so 10.00 made you 9800.00-taxes =6000.00

the banks made 200.00 +

the us gov made 18750.00+3800.00=22550.00-6000.00=16550.00

it cost iraq 167.50

newbies explaining to other newbies... is that the blind leading the blind... and really Keep you have been around long enough to understand this concept. Yet you stick to just looking a the numbers and not the mechanism.

The US will not be buying oil from Iraq with dinar that we cash in.....the economists view of a cash in that you are stating from, has had many holes shot through it....wont work out that way

could you look up a few posts? you stated we don't know how they will do it... yet your sure of how they won't do it are ya?

[pennoch3000]

Can you spell "OIL"?

[LaGrange]

Yea the two biggest ones!! I would say pretty much a majority.....Rasheed and Radifiafifaiaifia However you spell it hahaha.....but even the CBI......they have what 50 billion USD in reserves?? That pretty much backs up the entire money supply of 58 trillion some....I believe that is damn close to the exact numbers for M2....please correct me if Im wrong....its been a long day....

I can't get into economics beccause I am no expert on that but I wonder how much they hold in euros, pounds, yen, gold etc???????

Edited June 16, 2011 by LaGrange

[keepmwlknfny]

I can't get into economics beccause I am no expert on that but I wonder how much they hold in euros, pounds, yen, gold etc???????

Well I pretty sure that is total reserves which could possibly include others but they place the value in USD.....or maybe they do only hold USD....not 100% on the types held but last time they talked about it, they had 50 billion....so unless that has changed, they seem to be practicing islamic law....

[LaGrange]

Well I pretty sure that is total reserves which could possibly include others but they place the value in USD.....or maybe they do only hold USD....not 100% on the types held but last time they talked about it, they had 50 billion....so unless that has changed, they seem to be practicing islamic law....

I think they would have to hold more for business exchanges, they do business with many countries. Just throwing that idea out there. I have no clue. lol

[keepmwlknfny]

and really Keep you have been around long enough to understand this concept. Yet you stick to just looking a the numbers and not the mechanism.

could you look up a few posts? you stated we don't know how they will do it... yet your sure of how they won't do it are ya?

Yea I understand the concept and it doesnt fly....Im not even talking about the numbers..well in a sense I am because if the US buys oil with dinar its counterproductive to both nations.....you should read my post I made about the US buying oil with dinar....you will understand what im talking about....you can find it in Iraq news forum and also I made one in dinar rumors...both with similar titles....its actually some good info that everyone should read...especially the ones that have so much faith into that so called economists explanation of an rv and how it would work...

[LaGrange]

Damnit Keep, my head hurts. I'll think about this tomorrow.

Thanks in advance! lol

Edited June 16, 2011 by LaGrange

[keepmwlknfny]

Damnit Keep, my head hurts. I'll think about this tomorrow.

Thanks in advance! lol

My bad!! Ill buy you a couple cold ones to make up for it when this thing is done hows that?

[Buckeye Pilot]

your response is just as dumb genius

Well.......

I actually do qualify as a Genius, I have an IQ 151.

Let me guess, Someone will be offended by my responce and give me Neg-

Go for it.

[keepmwlknfny]

I actually do qualify as a Genius, I have an IQ 151.

Coulda fooled me!! I have yet to see anything that would indicate an IQ over 90 from you......but I guess its easy to just throw numbers out there when your behind a computer....

[LaGrange]

My bad!! Ill buy you a couple cold ones to make up for it when this thing is done hows that?

Cool, I'll get the next round. We'll have to get a group and meet up some place nice.

[Dalite]

Think credit default swaps

Iraq wants to unwind their inflation

They do an in country RD to drop the 3 zeros ( trillions to billions in 2 easy steps). Revenue neutral and parity with the USD - starts the path to a single currency.

Prices, Wages, Loans, Contracts, etc adjusted.

After RD settles, RV is announced. Lower denominations are spent into the economy as loans are created. Larger bills coexist at redenominated value. They are contracted as the lower denoms work through the system.

The US needs oil. The UST handles the dinar held in the US, and cancels inflation of the large notes in exchange for oil. (the Federal Reserve sticks to it's motto: munch all you want; we'll print more...) oil surpluses can be resold at market value, or used as credit default swap to cancel debt with foreign US treasury bond holders. Many possibilities here...

Economic growth in Iraq, reduction of Debt in US, canceling of inflation carried by the large dinar notes, reduction of Iraq's liability carried by the remnants of Saddam era hyperinflation

Just a few thoughts. Very simplistic and doesn't go into much details...

[Buckeye Pilot]

Coulda fooled me!! I have yet to see anything that would indicate an IQ over 90 from you......but I guess its easy to just throw numbers out there when your behind a computer....

And this post comes from the "LOP" Man that cant comprehend a simple paragraph of why a lop will not happen in Iraq........EVER.

Encore Please..........

[keepmwlknfny]

And this post comes from the "LOP" Man that cant comprehend a simple paragraph of why a lop will not happen in Iraq........EVER.

Encore Please..........

please do enlighten me then!! Been waiting FOREVER for you to show me the way since I am so wrong about the possibilities of a RD.....just show me a glimpse of you having an IQ over 50......